Bicycle Therapeutics PLC Sponsored ADR (BCYC) Soars 19.3%: Is Further Upside Left in the Stock?
Bicycle Therapeutics PLC Sponsored ADR (BCYC) shares rallied 19.3% in the last trading session to close at $26.25. This move can be attributable to notable volume with a higher number of shares being traded than in a typical session. This compares to the stock's 17.6% loss over the past four weeks.
The sudden soar in the stock price is likely to be due to the company’s announcement regarding the pricing of an underwritten public offering of 9,411,766 American Depositary Shares (ADS). Each ADS represents one ordinary share and has been offered to investors at a price of $21.25 per share, bringing the total proceeds to a whopping $200M. Additionally, Bicycle has also granted the underwriters in the offering, a 30-day option to purchase up to 1,411,764 additional ADSs at the quoted price. The anticipated closing date of the offering is on or about July 17, 2023, subject to customary closing conditions.
This company is expected to post quarterly loss of $1.10 per share in its upcoming report, which represents a year-over-year change of -22.2%. Revenues are expected to be $13.77 million, up 214.5% from the year-ago quarter.
Earnings and revenue growth expectations certainly give a good sense of the potential strength in a stock, but empirical research shows that trends in earnings estimate revisions are strongly correlated with near-term stock price movements.
For Bicycle Therapeutics PLC Sponsored ADR, the consensus EPS estimate for the quarter has remained unchanged over the last 30 days. And a stock's price usually doesn't keep moving higher in the absence of any trend in earnings estimate revisions. So, make sure to keep an eye on BCYC going forward to see if this recent jump can turn into more strength down the road.
The stock currently carries a Zacks Rank #3 (Hold). You can see the complete list of today's Zacks Rank #1 (Strong Buy) stocks here >>>>
Bicycle Therapeutics PLC Sponsored ADR is a member of the Zacks Medical - Biomedical and Genetics industry. One other stock in the same industry, BioNTech SE Sponsored ADR (BNTX), finished the last trading session 0.5% higher at $109.51. BNTX has returned -1.8% over the past month.
BioNTech SE Sponsored ADR's consensus EPS estimate for the upcoming report has changed -42.5% over the past month to -$0.72. Compared to the company's year-ago EPS, this represents a change of -109.9%. BioNTech SE Sponsored ADR currently boasts a Zacks Rank of #2 (Buy).
Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report
Bicycle Therapeutics PLC Sponsored ADR (BCYC) : Free Stock Analysis Report
BioNTech SE Sponsored ADR (BNTX) : Free Stock Analysis Report
