Denali Therapeutics (NASDAQ:DNLI) Shares Down 8.9% on Analyst Downgrade

Denali Therapeutics Inc. (NASDAQ:DNLI) traded down 8.9% on Monday after Bank of America lowered their price target on the stock from $30.00 to $28.00. Bank of America currently has a buy rating on the stock. Denali Therapeutics traded as low as $15.16 and last traded at $15.20. 480,547 shares traded hands during trading, a decline of 52% from the average session volume of 1,002,589 shares. The stock had previously closed at $16.69.

DNLI has been the subject of several other research reports. B. Riley reissued a “buy” rating and set a $35.00 price target (down previously from $38.00) on shares of Denali Therapeutics in a research report on Wednesday, March 5th. The Goldman Sachs Group reduced their price target on shares of Denali Therapeutics from $45.00 to $40.00 and set a “buy” rating for the company in a research report on Tuesday, January 28th. Morgan Stanley started coverage on shares of Denali Therapeutics in a research report on Friday. They set an “overweight” rating and a $33.00 price target for the company. Baird R W raised shares of Denali Therapeutics to a “strong-buy” rating in a research report on Tuesday, January 7th. Finally, William Blair reissued an “outperform” rating on shares of Denali Therapeutics in a research report on Friday, February 28th. Two equities research analysts have rated the stock with a hold rating, fifteen have given a buy rating and one has issued a strong buy rating to the stock. Based on data from MarketBeat.com, the company has an average rating of “Moderate Buy” and a consensus target price of $37.20.

Insider Buying and Selling

In other news, Director Vicki L. Sato sold 3,080 shares of Denali Therapeutics stock in a transaction on Thursday, January 2nd. The shares were sold at an average price of $20.91, for a total transaction of $64,402.80. Following the transaction, the director now owns 107,976 shares in the company, valued at $2,257,778.16. This trade represents a 2.77 % decrease in their position. The sale was disclosed in a legal filing with the SEC, which is available through this hyperlink. Also, CEO Ryan J. Watts sold 29,266 shares of Denali Therapeutics stock in a transaction on Monday, January 6th. The stock was sold at an average price of $20.22, for a total transaction of $591,758.52. Following the transaction, the chief executive officer now owns 260,721 shares in the company, valued at $5,271,778.62. This represents a 10.09 % decrease in their position. The disclosure for this sale can be found here. Over the last quarter, insiders have sold 47,940 shares of company stock worth $973,442. 7.90% of the stock is owned by insiders.

Institutional Inflows and Outflows

Several institutional investors and hedge funds have recently modified their holdings of the business. Polar Asset Management Partners Inc. boosted its stake in shares of Denali Therapeutics by 1,240.9% during the 4th quarter. Polar Asset Management Partners Inc. now owns 551,092 shares of the company’s stock worth $11,231,000 after acquiring an additional 509,992 shares during the last quarter. GF Fund Management CO. LTD. bought a new stake in shares of Denali Therapeutics during the 4th quarter valued at $62,000. Woodline Partners LP bought a new stake in shares of Denali Therapeutics during the 4th quarter valued at $2,038,000. Squarepoint Ops LLC raised its position in shares of Denali Therapeutics by 44.2% during the 4th quarter. Squarepoint Ops LLC now owns 48,619 shares of the company’s stock valued at $991,000 after purchasing an additional 14,896 shares during the period. Finally, Twinbeech Capital LP bought a new stake in shares of Denali Therapeutics during the 4th quarter valued at $5,188,000. Hedge funds and other institutional investors own 92.92% of the company’s stock.

Denali Therapeutics Stock Performance

The stock has a market capitalization of $2.17 billion, a P/E ratio of -5.42 and a beta of 1.46. The company’s 50-day moving average price is $20.80 and its 200 day moving average price is $24.30.

Denali Therapeutics (NASDAQ:DNLI) last announced its quarterly earnings data on Thursday, February 27th. The company reported ($0.67) EPS for the quarter, beating the consensus estimate of ($0.75) by $0.08. Analysts predict that Denali Therapeutics Inc. will post -2.71 earnings per share for the current year.

About Denali Therapeutics

Denali Therapeutics Inc, a biopharmaceutical company, develops a portfolio of product candidates engineered to cross the blood-brain barrier for neurodegenerative diseases and lysosomal storage diseases in the United States. The company’s transport vehicle (TV)-enabled programs include DNL310 ETV, an IDS enzyme replacement therapy program for MPS II; TAK-594/DNL593 which is in Phase 1/II for frontotemporal dementia-granulin; DNL126 program for MPS IIIA; and DNL622 for MPS I, as well as other preclinical programs that target amyloid beta and HER2.