Opaleye Management Inc., a significant shareholder in Protara Therapeutics, Inc. (NASDAQ:TARA), has recently sold a total of $28,734 worth of company shares. The transactions occurred on June 25, 2024, with the shares sold at a weighted average price of $2.2581.
The sales were executed in multiple transactions at prices ranging from $2.25 to $2.26. Opaleye Management, as the investment manager of both Opaleye, L.P. and a separately managed account, is considered to have indirect beneficial ownership of the shares held by these entities.
In the first transaction, Opaleye, L.P. sold 6,500 shares, and following this sale, it still indirectly owns 2,266,359 shares. In the second transaction, a managed account disposed of 6,225 shares, leaving it with an indirect ownership of 102,471 shares post-transaction.
The sales were disclosed in a regulatory filing with the Securities and Exchange Commission, which provides transparency into the trading activities of the company's executives and significant shareholders. Opaleye Management's recent transactions offer insight into the trading behavior of substantial investors in Protara Therapeutics.
Investors and the market often monitor such sales as they can provide signals about the investor's perspective on the company's current valuation and future prospects. Protara Therapeutics, operating in the biotechnology sector, focuses on developing treatments for rare and specialty diseases, a field that typically involves significant research and development efforts.
James Silverman, President of Opaleye Management Inc., signed the filing dated June 27, 2024, which was made in accordance with federal securities regulations.
In other recent news, Protera Therapeutics has been gaining attention due to a series of positive developments. Oppenheimer recently raised the price target on Protera's shares from $26 to $30 while maintaining an Outperform rating, based on the company's announcement of positive data from its ongoing studies of TARA-002 in patients with high-risk non-muscle invasive bladder cancer (NMIBC). TD Cowen also maintained a positive outlook on the company, reiterating a Buy rating and a $50.00 price target.
Protera Therapeutics recently completed an oversubscribed $45 million private investment in public equity (PIPE) deal, which has extended the company's cash runway into 2026. The company also announced plans to initiate a registrational trial for IV Choline Chloride, targeting parenteral nutrition (PN) patients, following discussions with the U.S. Food and Drug Administration (FDA).
In terms of product development, Protera Therapeutics' TARA-002 has shown promising results in treating NMIBC, with interim results expected in the second half of the year. The company is also developing an investigational therapy that could potentially become the first FDA-approved IV choline treatment for PN patients. These are recent developments that highlight the company's ongoing efforts in addressing unmet medical needs.
InvestingPro Insights
As Protara Therapeutics, Inc. (NASDAQ:TARA) sees significant shareholder activity with Opaleye Management Inc. selling company shares, investors are keenly observing the financial health and market signals surrounding the biotech firm. Protara's current Market Cap stands at a modest $44.06M USD, reflecting the scale of the company within the highly competitive biotechnology sector.
An important metric that stands out is Protara's Price / Book ratio, which is at 0.69 as of the last twelve months as of Q1 2024. This suggests that the company's stock may be valued at less than its net asset value, which could be of interest to value investors. Additionally, a significant 1 Month Price Total Return of -30.18% indicates that the stock has seen considerable depreciation in value over a short period, which could either signal a buying opportunity or raise concerns about its short-term performance.
From the perspective of financial stability, one of the InvestingPro Tips highlights that Protara holds more cash than debt on its balance sheet, which is a positive sign for the company's financial resilience. On the other hand, another tip points out that the company has been quickly burning through cash, which could be a warning sign for potential liquidity issues ahead.
For investors looking to delve deeper into Protara Therapeutics' prospects, there are additional InvestingPro Tips available at https://www.investing.com/pro/TARA. These tips offer a comprehensive view of the company's performance and outlook. Currently, there are 13 additional tips listed in InvestingPro that could help investors make more informed decisions. To access these insights, readers can use the coupon code PRONEWS24 to get an additional 10% off a yearly or biyearly Pro and Pro+ subscription.
Overall, the recent selling activity by a significant shareholder, coupled with the current financial metrics and InvestingPro Tips, provides a multifaceted view of Protara Therapeutics' position in the market. As the company navigates the challenges of drug development and commercialization in rare diseases, these insights could be crucial for investors assessing the company's potential.
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