Denali Therapeutics (NASDAQ:DNLI) Trading Down 8.9% Following Analyst Downgrade

Denali Therapeutics Inc. (NASDAQ:DNLI) was down 8.9% during trading 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. Approximately 480,547 shares traded hands during mid-day trading, a decline of 52% from the average daily volume of 1,002,589 shares. The stock had previously closed at $16.69.

A number of other analysts have also recently commented on the stock. Robert W. Baird began coverage on shares of Denali Therapeutics in a research note on Tuesday, January 7th. They issued an “outperform” rating and a $31.00 price target for the company. William Blair reissued an “outperform” rating on shares of Denali Therapeutics in a research report on Friday, February 28th. B. Riley reaffirmed a “buy” rating and set a $35.00 target price (down previously from $38.00) on shares of Denali Therapeutics in a report on Wednesday, March 5th. Morgan Stanley started coverage on shares of Denali Therapeutics in a research note on Friday. They issued an “overweight” rating and a $33.00 price target on the stock. Finally, HC Wainwright boosted their price objective on Denali Therapeutics from $80.00 to $87.00 and gave the stock a “buy” rating in a report on Friday, February 28th. Two research analysts have rated the stock with a hold rating, fifteen have assigned a buy rating and one has given a strong buy rating to the stock. Based on data from MarketBeat, Denali Therapeutics has a consensus rating of “Moderate Buy” and a consensus price target of $37.20.

Insider Buying and Selling

In other Denali Therapeutics news, Director Steve E. Krognes sold 3,339 shares of the firm’s stock in a transaction on Tuesday, January 7th. The stock was sold at an average price of $20.81, for a total value of $69,484.59. Following the sale, the director now owns 25,757 shares of the company’s stock, valued at approximately $536,003.17. This trade represents a 11.48 % decrease in their position. The sale was disclosed in a document filed with the SEC, which can be accessed through the SEC website. Also, Director Vicki L. Sato sold 3,080 shares of the firm’s stock in a transaction dated Thursday, January 2nd. The shares were sold at an average price of $20.91, for a total value of $64,402.80. Following the completion of the sale, the director now directly owns 107,976 shares in the company, valued at $2,257,778.16. This trade represents a 2.77 % decrease in their ownership of the stock. 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. Company insiders own 7.90% of the company’s stock.

Hedge Funds Weigh In On Denali Therapeutics

A number of institutional investors have recently added to or reduced their stakes in the stock. Sterling Capital Management LLC grew its stake in shares of Denali Therapeutics by 589.9% during the fourth quarter. Sterling Capital Management LLC now owns 1,773 shares of the company’s stock worth $36,000 after buying an additional 1,516 shares during the last quarter. Quest Partners LLC acquired a new position in Denali Therapeutics in the 3rd quarter worth about $73,000. GF Fund Management CO. LTD. bought a new position in Denali Therapeutics in the fourth quarter valued at about $62,000. Point72 Hong Kong Ltd bought a new stake in shares of Denali Therapeutics during the fourth quarter worth about $65,000. Finally, PNC Financial Services Group Inc. increased its stake in shares of Denali Therapeutics by 30.5% in the fourth quarter. PNC Financial Services Group Inc. now owns 3,790 shares of the company’s stock valued at $77,000 after buying an additional 885 shares during the period. 92.92% of the stock is currently owned by institutional investors and hedge funds.

Denali Therapeutics Stock Performance

The business’s fifty day moving average is $20.80 and its 200-day moving average is $24.30. The firm has a market cap of $2.17 billion, a P/E ratio of -5.42 and a beta of 1.46.

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