In a recent transaction, Opaleye Management Inc., a significant shareholder in Protara Therapeutics, Inc. (NASDAQ:TARA), has sold a number of shares in the biopharmaceutical company. The shares, which are common stock with a par value of $0.001 per share, were sold at a weighted average price of $2.4419, with individual transactions ranging from $2.4397 to $2.5125.
The total value of the shares sold by Opaleye Management amounted to approximately $27,827. The sale was conducted in multiple transactions on July 16, 2024. Following these transactions, Opaleye Management's holdings in Protara Therapeutics have decreased, yet the firm still maintains a significant stake in the company.
Protara Therapeutics, headquartered in New York, specializes in biological products, excluding diagnostic substances. The firm has been known by different names in the past, including ArTara Therapeutics (NASDAQ:TARA), Inc. and Proteon Therapeutics Inc ., before adopting its current identity.
Opaleye Management, based in Boston, MA, operates as an investment manager and may be deemed to beneficially own the securities owned directly by its funds and managed accounts. The shares sold were owned by Opaleye, L.P., a fund managed by Opaleye Management, and a separately managed account, both of which are under the investment firm's portfolio management.
The transactions were disclosed in a Form 4 filing with the Securities and Exchange Commission, signed by James Silverman, President of Opaleye Management Inc., on July 18, 2024. The disclosure provides transparency into the trading activities of the company's insiders and significant shareholders, offering investors insight into the movements of Protara Therapeutics' stock.
In other recent news, Protera Therapeutics has been in the spotlight due to strong clinical data from its ongoing studies of TARA-002 in patients with high-risk non-muscle invasive bladder cancer (NMIBC). Following these positive results, Oppenheimer raised the price target on Protera Therapeutics' shares to $30, maintaining an Outperform rating. The company has also successfully completed an oversubscribed $45 million private investment in public equity (PIPE) deal, which has extended its financial runway into 2026.
The promising clinical outcomes have underscored the potential of TARA-002 to become a significant treatment option within the multi-billion dollar US therapeutic market for NMIBC. Investors and industry watchers are eagerly awaiting the initial six-month Phase 2 data, expected to be released later this year.
Oppenheimer's revised valuation takes into account the market valuations of other companies working on treatments for high-risk NMIBC, which are considerably higher than Protera's current market valuation. With competitors like CGON and ENGN in advanced stages of their trials and valued significantly higher, Oppenheimer views Protera's stock as an appealing investment at its current level. These are some of the recent developments surrounding Protera Therapeutics.
InvestingPro Insights
Amid the recent share sales by Opaleye Management in Protara Therapeutics, Inc. (NASDAQ:TARA), investors might be interested in some key financial metrics and expert analysis. Protara Therapeutics, with a market capitalization of $46.74 million, reflects a modest valuation in the biopharmaceutical industry. The company's financial health, as indicated by its balance sheet, shows that it holds more cash than debt, which is a positive sign for investors concerned about the company's solvency.
However, challenges remain. Protara Therapeutics has not been profitable over the last twelve months, and analysts do not expect it to be profitable this year either. This is reflected in the company's negative P/E ratio, which stands at -1.09 when adjusted for the last twelve months as of Q1 2024. Additionally, the company's stock price has experienced significant volatility, with a 1-year price total return of -16.67%, underscoring the risks associated with investing in this stock.
On a more positive note, two analysts have revised their earnings upwards for the upcoming period, which might indicate a potential shift in the company’s prospects. Moreover, Protara’s liquid assets exceed its short-term obligations, providing some financial flexibility in the near term.
For investors looking for a deeper dive into Protara Therapeutics' financial performance and future outlook, InvestingPro offers additional insights. There are more InvestingPro Tips available, which can be accessed by visiting https://www.investing.com/pro/TARA. As a special offer, readers can use the coupon code PRONEWS24 to get up to 10% off a yearly Pro and a yearly or biyearly Pro+ subscription, unlocking a wealth of expert analysis and real-time data to inform your investment decisions.
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