Myriad Genetics (MYGN) Downgraded by Zacks Investment Research

Zacks Investment Research downgraded shares of Myriad Genetics (NASDAQ:MYGN) from a hold rating to a sell rating in a research report report published on Monday morning, Zacks.com reports.

According to Zacks, “Myriad Genetics exited third-quarter fiscal 2019 on a mixed note with earnings ahead of the Zacks Consensus Estimate and revenues missing the mark. The company reported a drop in GeneSight and Vectra revenues affected by adverse third quarter seasonality. This apart, escalating R&D and SG&A expenses led to huge operating margin contraction. Over the past three months, Myriad Genetics has underperformed its industry. On a positive note, Myriad Genetics is observing growth in EndoPredict, Vectra, Hereditary Cancer and Prolaris testing revenues. The FDA approvals and encouraging test results buoy optimism. We are upbeat about Myriad Genetics’ expectation to witness stable pricing in Hereditary Cancer testing through fiscal 2020. Moreover, the company seems to be positioned to deliver strong fiscal 2019 results on solid performance Counsyl buyout synergies, success of the Elevate 2020 program and augmenting reimbursements for the tests.”

Several other brokerages have also recently weighed in on MYGN. Needham & Company LLC reissued a strong-buy rating and issued a $41.00 price objective (up previously from $37.00) on shares of Myriad Genetics in a research note on Tuesday, March 12th. BidaskClub raised shares of Myriad Genetics from a hold rating to a buy rating in a research note on Wednesday, March 27th. Finally, ValuEngine cut shares of Myriad Genetics from a hold rating to a sell rating in a research note on Wednesday, May 8th. Four equities research analysts have rated the stock with a sell rating, three have issued a hold rating, four have issued a buy rating and one has given a strong buy rating to the company. Myriad Genetics currently has a consensus rating of Hold and an average price target of $39.19.

NASDAQ MYGN opened at $26.41 on Monday. The firm has a market cap of $1.95 billion, a price-to-earnings ratio of 22.01, a P/E/G ratio of 1.59 and a beta of 0.55. Myriad Genetics has a fifty-two week low of $26.02 and a fifty-two week high of $50.44. The company has a current ratio of 3.15, a quick ratio of 2.86 and a debt-to-equity ratio of 0.24.

Myriad Genetics (NASDAQ:MYGN) last posted its earnings results on Tuesday, May 7th. The company reported $0.34 earnings per share for the quarter, missing analysts’ consensus estimates of $0.38 by ($0.04). The company had revenue of $216.60 million for the quarter, compared to the consensus estimate of $217.76 million. Myriad Genetics had a return on equity of 9.82% and a net margin of 2.62%. The business’s quarterly revenue was up 18.3% compared to the same quarter last year. During the same period in the previous year, the firm posted $0.34 EPS. As a group, sell-side analysts predict that Myriad Genetics will post 1.44 earnings per share for the current year.

In other Myriad Genetics news, insider Ralph L. Mcdade sold 1,975 shares of the company’s stock in a transaction on Tuesday, March 12th. The shares were sold at an average price of $31.00, for a total transaction of $61,225.00. Following the sale, the insider now owns 122,604 shares of the company’s stock, valued at $3,800,724. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which is accessible through this hyperlink. Corporate insiders own 5.80% of the company’s stock.

A number of institutional investors and hedge funds have recently modified their holdings of the business. BlackRock Inc. boosted its position in Myriad Genetics by 6.4% during the fourth quarter. BlackRock Inc. now owns 12,202,442 shares of the company’s stock valued at $354,727,000 after acquiring an additional 735,832 shares during the last quarter. Baillie Gifford & Co. raised its holdings in shares of Myriad Genetics by 0.6% during the first quarter. Baillie Gifford & Co. now owns 9,540,586 shares of the company’s stock valued at $316,747,000 after purchasing an additional 55,642 shares during the period. Vanguard Group Inc raised its holdings in shares of Myriad Genetics by 4.4% during the third quarter. Vanguard Group Inc now owns 8,656,933 shares of the company’s stock valued at $398,219,000 after purchasing an additional 365,697 shares during the period. D. E. Shaw & Co. Inc. raised its holdings in shares of Myriad Genetics by 0.8% during the fourth quarter. D. E. Shaw & Co. Inc. now owns 3,922,852 shares of the company’s stock valued at $114,037,000 after purchasing an additional 29,874 shares during the period. Finally, Frontier Capital Management Co. LLC raised its holdings in shares of Myriad Genetics by 4.4% during the first quarter. Frontier Capital Management Co. LLC now owns 3,363,970 shares of the company’s stock valued at $111,684,000 after purchasing an additional 140,404 shares during the period. 99.22% of the stock is currently owned by institutional investors and hedge funds.

About Myriad Genetics

Myriad Genetics, Inc, a molecular diagnostic company, focuses on developing and marketing novel predictive medicine, personalized medicine, and prognostic medicine tests worldwide. The company offers molecular diagnostic tests, including myRisk Hereditary Cancer, a DNA sequencing test for hereditary cancers; BRACAnalysis, a DNA sequencing test to assess the risk of developing breast and ovarian cancer; BRACAnalysis CDx, a DNA sequencing test for use as a companion diagnostic with the platinum based chemotherapy agents and poly ADP ribose inhibitor Lynparza; riskScore, a clinically validated personalized medicine tool; GeneSight, a DNA genotyping test to optimize psychotropic drug selection for neuroscience patients; and Tumor BRACAnalysis CDx, a DNA sequencing test that is designed to be utilized to predict response to DNA damaging agents.

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