Mirum Pharmaceuticals (NASDAQ: MIRM) has been downgraded from a “strong-buy” to a “buy” rating by analysts at Wall Street Zen, as detailed in a research note published on Saturday. This change reflects a broader reassessment of the company’s stock, which has garnered mixed reviews from various equities research firms.
Several financial analysts have recently evaluated Mirum Pharmaceuticals, contributing to a diverse range of recommendations. On December 11, 2023, Raymond James Financial reaffirmed a “strong-buy” rating and set a target price of $110.00 for the company’s shares. In contrast, Cowen initiated coverage on September 24, 2023, with a “buy” rating.
In a notable adjustment, JPMorgan Chase & Co. raised their price objective for Mirum’s shares from $53.00 to $77.00 on September 12, 2023, while assigning an “overweight” rating. Similarly, Robert W. Baird increased their target price from $80.00 to $88.00 on December 8, 2023, giving the stock an “outperform” rating. Additionally, TD Cowen upgraded Mirum Pharmaceuticals to a “strong-buy” rating on September 25, 2023.
Currently, the consensus from analysts shows two with a “strong-buy” rating, twelve recommending a “buy,” and one analyst assigning a “sell” rating. According to data from MarketBeat, the overall consensus rating for Mirum Pharmaceuticals stands at “buy,” with a consensus price target of $100.25.
Quarterly Earnings Show Improvement
Mirum Pharmaceuticals reported its quarterly earnings on November 4, 2023, revealing an earnings per share (EPS) of $0.05. This result surpassed the consensus estimate of a loss of ($0.10) by $0.15. The company’s revenue for the quarter was $133.01 million, exceeding the estimated $130.11 million. This marked a significant year-over-year revenue increase of 47.1%, up from a reported loss of ($0.30) EPS during the same period last year.
Mirum has faced challenges, with a negative return on equity of 16.47% and a negative net margin of 8.78%. Analysts project that Mirum Pharmaceuticals will post an EPS of -1.43 for the current fiscal year.
Institutional Investors Show Interest
Recent transactions by institutional investors indicate growing interest in Mirum Pharmaceuticals. During the third quarter, Tudor Investment Corp ET AL acquired a new position valued at $2,027,000. Other significant investments include CIBC Bancorp USA Inc., which bought shares worth about $315,000, and PharVision Advisers LLC, which invested approximately $273,000.
Additionally, Virtus Advisers LLC and Voleon Capital Management LP are among other institutional players that have increased their stakes in the company, reflecting a strategic bet on Mirum’s potential growth in the biopharmaceutical sector.
Mirum Pharmaceuticals focuses on developing and commercializing innovative therapies for rare cholestatic liver diseases. The company aims to address the unmet medical needs of patients with genetic and progressive forms of pediatric liver disorders. Its lead product candidate, maralixibat (Livmarli), is designed to inhibit ileal bile acid transport, aiming to reduce systemic bile acid accumulation and alleviate associated liver damage and pruritus.
As the market continues to respond to these developments, analysts and investors will be closely watching Mirum Pharmaceuticals’ performance in the coming quarters.
