Avalo Therapeutics (NASDAQ:AVTX) Stock Falls 6.6% – Should You Sell?

Avalo Therapeutics, Inc. (NASDAQ:AVTX)’s stock price was down 6.6% during trading on Tuesday. The company traded as low as $12.41 and last traded at $12.3620. Approximately 667,714 shares were traded during trading, a decline of 41% from the average daily volume of 1,137,168 shares. The stock had previously closed at $13.24.

Wall Street Analyst Weigh In

AVTX has been the subject of a number of research analyst reports. HC Wainwright lowered their price target on Avalo Therapeutics from $35.00 to $30.00 and set a “buy” rating for the company in a report on Friday, August 7th. Weiss Ratings raised Avalo Therapeutics from a “sell (e+)” rating to a “sell (d-)” rating in a research report on Tuesday, August 11th. Leerink Partners assumed coverage on Avalo Therapeutics in a research note on Monday, July 6th. They set an “outperform” rating and a $38.00 price objective on the stock. BTIG Research reaffirmed a “buy” rating and issued a $58.00 price objective on shares of Avalo Therapeutics in a report on Tuesday, June 16th. Finally, Cantor Fitzgerald reaffirmed an “overweight” rating on shares of Avalo Therapeutics in a report on Wednesday, September 16th. Twelve equities research analysts have rated the stock with a Buy rating and one has issued a Sell rating to the company. Based on data from MarketBeat.com, Avalo Therapeutics currently has an average rating of “Moderate Buy” and an average target price of $45.10.

Avalo Therapeutics Stock Down 8.6%

The stock has a market cap of $648.65 million, a price-to-earnings ratio of -2.78 and a beta of 0.68. The firm’s 50 day moving average is $17.54 and its two-hundred day moving average is $16.90.

Avalo Therapeutics (NASDAQ:AVTX) last issued its earnings results on Thursday, August 6th. The company reported ($0.83) EPS for the quarter, missing analysts’ consensus estimates of ($0.58) by ($0.25). On average, analysts anticipate that Avalo Therapeutics, Inc. will post -2.80 EPS for the current fiscal year.

Insider Transactions at Avalo Therapeutics

In other news, CFO Christopher Sullivan sold 12,394 shares of the business’s stock in a transaction on Wednesday, September 16th. The shares were sold at an average price of $16.33, for a total transaction of $202,394.02. Following the completion of the transaction, the chief financial officer owned 39,900 shares of the company’s stock, valued at approximately $651,567. The trade was a 23.70% decrease in their ownership of the stock. The sale was disclosed in a legal filing with the SEC, which can be accessed through the SEC website. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Insiders sold 24,258 shares of company stock valued at $415,434 in the last quarter. Company insiders own 4.46% of the company’s stock.

Institutional Trading of Avalo Therapeutics

Several hedge funds have recently bought and sold shares of AVTX. Braidwell LP acquired a new position in Avalo Therapeutics during the 2nd quarter valued at about $30,107,000. Seven Fleet Capital Management LP grew its position in Avalo Therapeutics by 806.0% in the 1st quarter. Seven Fleet Capital Management LP now owns 573,883 shares of the company’s stock worth $8,568,000 after purchasing an additional 510,540 shares during the last quarter. Squarepoint Ops LLC increased its stake in shares of Avalo Therapeutics by 624.9% in the second quarter. Squarepoint Ops LLC now owns 589,245 shares of the company’s stock valued at $10,889,000 after purchasing an additional 507,960 shares during the period. DV Trading LLC acquired a new stake in shares of Avalo Therapeutics in the first quarter valued at approximately $5,376,000. Finally, Affinity Asset Advisors LLC increased its stake in shares of Avalo Therapeutics by 27.6% in the first quarter. Affinity Asset Advisors LLC now owns 1,340,840 shares of the company’s stock valued at $20,019,000 after purchasing an additional 289,786 shares during the period. 87.06% of the stock is currently owned by institutional investors.

Avalo Therapeutics Company Profile

Avalo Therapeutics, Inc is a clinical-stage biotechnology company focused on developing therapies for immune-mediated diseases. The company’s research strategy centers on addressing conditions in which abnormal immune-system activity contributes to inflammation and tissue damage.

Avalo’s lead product candidate is AVTX-009, a fully human monoclonal antibody designed to neutralize interleukin-1 beta, a pro-inflammatory cytokine involved in several inflammatory disorders. The company is evaluating AVTX-009 in clinical development for hidradenitis suppurativa, a chronic inflammatory skin condition, and may pursue additional indications in which interleukin-1 beta plays a role.

The company was formerly known as Cerecor Inc and adopted the Avalo Therapeutics name as it shifted its strategic focus toward immunology and inflammation.