Arena Pharmaceuticals (ARNA): Can This Stock Rise Further?

12:44 pm ET, 20 Mar 2018

Arena Pharmaceuticals, Inc. (ARNA) was up by 29% in today’s trading.   The reason behind this is the company’s successful results from etrasimod's trial.

Estrasimod is an S1P modulating drug for ulcerative colitis

This success comes as a result of Arena’s restructured R&D program after the failure of its obesity drug Belviq.

The test data also hints at etrasimod's match with the Celgene's Ozanimod, which is another drug at a promising stage. Celgene's S1P modulator's efficiency has been evident from its Phase 2 trials and is progressing into Phase 3 studies.

According to Finstead research, Arena Pharmaceutical’s price upside is 54%.  This upside is based on yesterday's price. 

Can the stock rise further? We think so. The average analyst price target is almost $47.

Arena Pharmaceutical’s valuation ratios (e.g., forward P/E) are negative because the company is not profitable. Trading shares of unprofitable companies is highly speculative.  

The Short Share of Float is higher than the average for the industry, which is an indication of likely high volatility in the upcoming days.

Over the last year, ARNA returned +1892.90%.  This return is higher than Biotechnology sector (27.31%), Healthcare industry (20.94%), S&P 500 (14.07%) returns.

Disclaimer: The news article above expresses the author’s opinion about the topic of the article. We strongly advise you not to base your investment decisions just on this article alone. If you’d like to become a writer for Finny Bites, please send us an email at hi@askfinny.com.

Arena Pharmaceuticals, Inc. (ARNA) Stock Guide

Updated at: 1:52 am ET, 12 Jul 2020

Before we start: if you're looking for ARNA stock price, you can quickly find it out by visiting Finny and typing "ARNA quote". If you're looking for a quick scoop on ARNA stock (chart, price target, market cap, news and buy or sell analysis), go to Finny and look for "ARNA". You'll get all this info in one place. Or you can just type "ARNA news" to get the latest stock news.

Looking to buy or sell Arena Pharmaceuticals, Inc. (ARNA)? Interested in getting the full scoop on ARNA, including earnings and dividends, stock forecast, buy or sell analysis and key stats? If so, you came to the right place.

In this ARNA stock guide, we'll address key questions about ARNA, above and beyond what you can find on Yahoo Finance, Zacks, MarketWatch or Morningstar.

Here is what you'll be able to find in this guide:

Earnings and Dividends: earnings, earnings date, dividend rate and dividend yield;
Analyst Predictions: stock forecast and analyst ratings;
Analysis: Finny Score and buy or sell analysis;
Key Stats: revenue, market cap, revenue growth, profit margin, P/E ratio, P/B ratio, industry, sector, and number of employees.

And here is the list of questions we'll answer:
1. What are ARNA earnings?
2. When is ARNA earnings date?
3. What is ARNA stock forecast (i.e., prediction)?
4. ARNA buy or sell? What is ARNA Finny Score?
5. What are the reasons to buy ARNA? Why should I buy ARNA stock?
6. What are the reasons to sell ARNA? Why should I sell ARNA stock?
7. What are ARNA key stats: revenue, market cap, revenue growth, profit margin, P/E ratio, P/B ratio industry, sector, and number of employees?

So let's start. Scroll down to the question that interests you the most.

Earnings and Dividends

1. What are ARNA earnings?

ARNA trailing 12-month earnings per share (EPS) is -$6.47.

2. When is ARNA earnings date?

ARNA earnings date is August 05, 2020.

Analyst Predictions

3. What is ARNA stock forecast (i.e., prediction)?

Based on ARNA analyst price targets, ARNA stock forecast is $70.55 (for a year from now). That means the average analyst price target for ARNA stock is $70.55. The prediction is based on 7 analyst estimates.

The low price target for ARNA is $56.00, while the high price target is $95.00.

ARNA analyst rating is Buy.

Analysis

4. ARNA buy or sell? What is ARNA Finny Score?

#{finnyScore:56}Our quantitative analysis shows 5 reasons to buy and 4 reasons to sell ARNA, resulting in Finny Score of 56.

5. What are the reasons to buy ARNA? Why should I buy ARNA stock?

Here are the reasons to buy ARNA stock:

6. What are the reasons to sell ARNA? Why should I sell ARNA stock?

Let's look at the reasons to sell ARNA stock (i.e., the bear case):

  • ARNA stock price ($65.92) is close to the 52-week high ($69.01). Perhaps now is a good time to sell? See ARNA price chart.
  • ARNA quarterly revenue growth was -100.00%, lower than the industry and sector average revenue growth (0.52% and 1.16%, respectively). See ARNA revenue growth chart.
  • ARNA short share of float is 7.96%. The stock is much more frequently shorted than the average industry, sector or S&P 500 stock. See ARNA short share of float chart.
  • ARNA short interest (days to cover the shorts) ratio is 7.19. The stock garners more short interest than the average industry, sector or S&P 500 stock. See ARNA short interest ratio chart.

Key Stats

7. What are ARNA key stats : revenue, market cap, revenue growth, profit margin, P/E ratio, P/B ratio industry, sector, and number of employees?

Let's look at the key statistics for ARNA:

Metrics ARNA
Price $64.24
Average Price Target / Upside $70.55 / 9.82%
Average Analyst Rating Buy
Forward Dividend Yield 0.00%
Industry Biotechnology
Sector Healthcare
Number of Employees 194
Market Cap $3.65B
Forward P/E Ratio -7.57
Price/Book Ratio 790.49
Revenue (TTM) $4.61M
YoY Quarterly Revenue Growth N/A
Profit Margin 0.00%

If you liked this analysis, check out Stock Guides for other stocks.

Disclaimer: The news article above expresses the author’s opinion about the topic of the article. We strongly advise you not to base your investment decisions just on this article alone. If you’d like to become a writer for Finny Bites, please send us an email at hi@askfinny.com.

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