Myriad Genetics (MYGN) Cut to “Sell” at Zacks Investment Research

Myriad Genetics (NASDAQ:MYGN) was downgraded by Zacks Investment Research from a “hold” rating to a “sell” rating in a note issued to investors on Monday, 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 analysts have also commented on MYGN. BidaskClub raised Myriad Genetics from a “hold” rating to a “buy” rating in a report on Wednesday, February 20th. Needham & Company LLC reaffirmed a “strong-buy” rating and set a $41.00 target price (up from $37.00) on shares of Myriad Genetics in a report on Tuesday, March 12th. Finally, ValuEngine downgraded Myriad Genetics from a “hold” rating to a “sell” rating in a research report on Wednesday, May 8th. Four equities research analysts have rated the stock with a sell rating, three have issued a hold rating, four have given a buy rating and one has issued a strong buy rating to the company’s stock. The company has a consensus rating of “Hold” and an average target price of $40.19.

Myriad Genetics stock traded down $0.83 during midday trading on Monday, hitting $27.21. 45,510 shares of the company were exchanged, compared to its average volume of 790,207. The firm has a market cap of $2.03 billion, a price-to-earnings ratio of 22.68, a price-to-earnings-growth ratio of 1.66 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 quick ratio of 2.68, a current ratio of 3.15 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 EPS for the quarter, missing the consensus estimate of $0.38 by ($0.04). The company had revenue of $216.60 million for the quarter, compared to analyst estimates of $217.76 million. Myriad Genetics had a return on equity of 9.82% and a net margin of 2.62%. The firm’s revenue was up 18.3% on a year-over-year basis. During the same period last year, the business earned $0.34 earnings per share. Equities analysts expect that Myriad Genetics will post 1.44 EPS for the current year.

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

Several hedge funds and other institutional investors have recently added to or reduced their stakes in the company. New York State Teachers Retirement System lifted its position in shares of Myriad Genetics by 0.6% in the first quarter. New York State Teachers Retirement System now owns 50,798 shares of the company’s stock valued at $1,686,000 after acquiring an additional 307 shares in the last quarter. Mason Street Advisors LLC lifted its position in shares of Myriad Genetics by 1.4% in the first quarter. Mason Street Advisors LLC now owns 23,532 shares of the company’s stock valued at $781,000 after acquiring an additional 315 shares in the last quarter. LeJeune Puetz Investment Counsel LLC lifted its position in shares of Myriad Genetics by 1.6% in the fourth quarter. LeJeune Puetz Investment Counsel LLC now owns 24,925 shares of the company’s stock valued at $725,000 after acquiring an additional 400 shares in the last quarter. Taylor Frigon Capital Management LLC lifted its position in shares of Myriad Genetics by 1.2% in the fourth quarter. Taylor Frigon Capital Management LLC now owns 40,426 shares of the company’s stock valued at $1,175,000 after acquiring an additional 497 shares in the last quarter. Finally, Oregon Public Employees Retirement Fund lifted its position in shares of Myriad Genetics by 1.8% in the first quarter. Oregon Public Employees Retirement Fund now owns 28,955 shares of the company’s stock valued at $961,000 after acquiring an additional 523 shares in the last quarter. Institutional investors and hedge funds own 99.22% of the company’s stock.

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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