Reata Pharmaceuticals Inc. [NASDAQ: RETA] stock went on an upward path that rose over 8.74% on Thursday, amounting to a one-week price increase of more than 42.58%. The company report on May 19, 2021 that Reata Announces that The FDA Has Asked The Company to Request a Pre-NDA Meeting for Omaveloxolone for the Treatment of Friedreich’s Ataxia.
Reata Pharmaceuticals, Inc. (Nasdaq: RETA) (“Reata,” the “Company,” or “we”), a clinical-stage biopharmaceutical company, announced that it received a communication from the Division of Neurology Products 1 (“Division”) of the U.S. Food and Drug Administration (“FDA”) stating that, after a preliminary review of briefing materials for an upcoming Type C meeting, a pre-NDA meeting is the most appropriate format for a discussion of the development program for omaveloxolone in Friedreich’s ataxia (“FA”). The Division suggested that the Company withdraw the current meeting request for a Type C meeting and instead request a pre-NDA meeting, which the Division will grant upon receipt. The Division asked the Company to focus the new briefing package on questions, issues, and needs applicable to a pre-NDA meeting. As requested by the FDA, the Company plans to withdraw the current request for a Type C meeting and submit a request for a pre-NDA meeting as soon as practicable.
“We welcome the opportunity to have a pre-NDA meeting regarding our omaveloxolone development program for the treatment of patients with FA,” said Warren Huff, Reata’s President and Chief Executive Officer. “We look forward to working with the FDA on our goal of securing the regulatory review and approval necessary to make omaveloxolone available to patients with FA.”.
Over the last 12 months, RETA stock dropped by -29.03%. The average equity rating for RETA stock is currently 1.20, trading closer to a bullish pattern in the stock market.
The market cap for the stock reached $4.04 billion, with 36.20 million shares outstanding and 29.76 million shares in the current float. Compared to the average trading volume of 367.64K shares, RETA stock reached a trading volume of 1031219 in the most recent trading day, which is why market watchdogs consider the stock to be active.
Guru’s Opinion on Reata Pharmaceuticals Inc. [RETA]:
Barclays have made an estimate for Reata Pharmaceuticals Inc. shares, keeping their opinion on the stock as Overweight, with their previous recommendation back on April 26, 2021. While these analysts kept the previous recommendation, Stifel dropped their target price from $315 to $280. The new note on the price target was released on July 10, 2020, representing the official price target for Reata Pharmaceuticals Inc. stock. Previously, the target price had yet another raise to $237, while BTIG Research analysts kept a Buy rating on RETA stock.
The Average True Range (ATR) for Reata Pharmaceuticals Inc. is set at 6.48, with the Price to Sales ratio for RETA stock in the period of the last 12 months amounting to 470.28. The Price to Book ratio for the last quarter was 10.94, with the Price to Cash per share for the same quarter was set at 21.46.
RETA Stock Performance Analysis:
Reata Pharmaceuticals Inc. [RETA] gain into the green zone at the end of the last week, gaining into a positive trend and gaining by 42.58. With this latest performance, RETA shares gained by 22.92% in over the last four-week period, additionally sinking by -33.45% over the last 6 months – not to mention a drop of -29.03% in the past year of trading.
Overbought and oversold stocks can be easily traced with the Relative Strength Index (RSI), where an RSI result of over 70 would be overbought, and any rate below 30 would indicate oversold conditions. An RSI rate of 50 would represent a neutral market momentum. The current RSI for RETA stock in for the last two-week period is set at 67.16, with the RSI for the last a single of trading hit 75.87, and the three-weeks RSI is set at 60.98 for Reata Pharmaceuticals Inc. [RETA]. The present Moving Average for the last 50 days of trading for this stock 97.65, while it was recorded at 90.91 for the last single week of trading, and 115.09 for the last 200 days.
Insight into Reata Pharmaceuticals Inc. Fundamentals:
Operating Margin for any stock indicates how profitable investing would be, and Reata Pharmaceuticals Inc. [RETA] shares currently have an operating margin of -2509.42. Reata Pharmaceuticals Inc.’s Net Margin is presently recorded at -2747.00.
Return on Total Capital for RETA is now -31.21, given the latest momentum, and Return on Invested Capital for the company is -40.58. Return on Equity for this stock declined to -73.49, with Return on Assets sitting at -32.18. When it comes to the capital structure of this company, Reata Pharmaceuticals Inc. [RETA] has a Total Debt to Total Equity ratio set at 94.44. Additionally, RETA Total Debt to Total Capital is recorded at 48.57, with Total Debt to Total Assets ending up at 45.97. Long-Term Debt to Equity for the company is recorded at 76.16, with the Long-Term Debt to Total Capital now at 39.17.
Reflecting on the efficiency of the workforce at the company, Reata Pharmaceuticals Inc. [RETA] managed to generate an average of -$907,516 per employee. Receivables Turnover for the company is 0.81 with a Total Asset Turnover recorded at a value of 0.01.Reata Pharmaceuticals Inc.’s liquidity data is similarly interesting compelling, with a Quick Ratio of 7.00 and a Current Ratio set at 7.00.
RETA Stock EPS
With the latest financial reports released by the company, Reata Pharmaceuticals Inc. posted -2.03/share EPS, while the average EPS was predicted by analysts to be reported at -2.84/share. When compared, the two values demonstrate that the company surpassed the estimates by a Surprise Factor of 28.50%. The progress of the company may be observed through the prism of EPS growth rate, while Wall Street analysts are focusing on predicting the 5-year EPS growth rate for RETA.
Reata Pharmaceuticals Inc. [RETA] Insider Position Details
There are presently around $2,819 million, or 81.70% of RETA stock, in the hands of institutional investors. The top three institutional holders of RETA stocks are: WELLINGTON MANAGEMENT GROUP LLP with ownership of 4,355,767, which is approximately 0.231% of the company’s market cap and around 0.40% of the total institutional ownership; CPMG INC, holding 2,896,901 shares of the stock with an approximate value of $323.29 million in RETA stocks shares; and VANGUARD GROUP INC, currently with $271.69 million in RETA stock with ownership of nearly 4.934% of the company’s market capitalization.
Positions in Reata Pharmaceuticals Inc. stocks held by institutional investors increased at the end of May and at the time of the May reporting period, where 116 institutional holders increased their position in Reata Pharmaceuticals Inc. [NASDAQ:RETA] by around 2,680,904 shares. Additionally, 94 investors decreased positions by around 2,151,984 shares, while 30 investors held positions by with 20,427,969 shares. The mentioned changes placed institutional holdings at 25,260,857 shares, according to the latest SEC report filing. RETA stock had 38 new institutional investments in for a total of 1,333,816 shares, while 38 institutional investors sold positions of 1,177,121 shares during the same period.