The stock of Denali Therapeutics Inc. (NASDAQ:DNLI) decreased by -$0.14 on Friday to finish at $24.10, down -0.58 percent. The last five days have seen an average of 773,780 shares of common stock traded. 14 times new highs were reached in the current year, with a fall of -$3.71. The average number of shares traded over the last 20 days was 514,770, while the average volume over the last 50 days totaled 657,252.
DNLI stock dropped -17.83% since last month. On 08/09/23, the company’s shares reached a one-month low of $23.63. The stock touched a high of $39.43 on 06/16/23, after rallying from a low of $21.74 in 52 weeks. The price of DNLI stock has declined by -13.34% or -$3.71 this year, reaching a new high 14 times. Still, the stock price is down -38.88% from the 52-week high.
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Insider Transactions
DNLI stock investors should be aware that Denali Therapeutics Inc. (DNLI) stock had its last reported insider trading activity 27 days ago on Jul 18. On Jul 18, COFO and Secretary Schuth Alexander O. sold 9,702 shares at $30.01 each. This transaction resulted in the insider making $291,157. On Jul 17, Schuth Alexander O. sold 10,000 shares at a price of US$29.60. After the transaction, the insider now owns 528,691 shares. Director SATO VICKI L had earlier sold 1,666 shares on Jul 17 for $29.60 a share. The transaction was completed for $49,314.
Valuation Metrics
Beta for the stock is 1.26. There are also a few other valuation ratios worth considering, including the trailing price-to-sales (P/S) ratio of 9.71, the price-to-book (PB) ratio of 2.78.
Financial Health
For the three months ended June 29, Denali Therapeutics Inc.’s quick ratio was 17.60, while its current ratio was 17.60, indicating its ability to pay off its debt. Denali Therapeutics Inc.’s EBITDA margin for the year ended June 29 was -307.67%, whereas its operating margin stood at -47.60% for the same period. Based on annual data, it had gross profit of $449.21 million and revenue of $108.46 million.
Investors will also look at the performance of the company’s management in order to determine the potential profitability of their investment. DNLI’s return on assets (ROA) during the last 12 months has been -9.50%. There was a -32.70% return on investment (ROI) in the past year. In the meantime, the return on equity (ROE) for the last 12 months was -12.80%.
Earnings Surprise
According to Denali Therapeutics Inc.’s quarterly financial report for the quarter that ended June 29, it had $1.06 billion in cash and short-term investments. A higher net income was reported in the quarter under review than the previous quarter. Net income for the quarter came in at $294.12 million, while revenues rose by 85.67% to $35.14 million. It was predicted that Denali Therapeutics Inc.’s quarterly earnings would be $1.3, but it ended up being -$0.68, beating the consensus by 291.20%. EBITDA was $161.24 million for the quarter. At the end of Denali Therapeutics Inc.’s most recent quarter ended June 29, its liabilities totaled 118.91 million, while its total debt was $55.52 million. Equity owned by shareholders amounts to $137.42 million.
Technical Picture
Here’s a quick look at Denali Therapeutics Inc.’s (DNLI) price momentum from a technical perspective. As of 11 August, the RSI 9-day stood at 16.45%, suggesting the stock is oversold, with a 29.39% historical volatility rate.
The stochastic %K and %D were 13.06% and 11.44% respectively, while the average true range (ATR) was 1.34. Based on the 14-day stochastic reading of 9.18%, the RSI (14) reading is 23.41%. On the 9-day MACD Oscillator, the stock is at -1.83, and the 14-day reading is at -2.51.
Analyst Ratings
In its analyst report released on January 30, 2023, SVB Securities began covering Denali Therapeutics Inc. (NASDAQ: DNLI). The stock was rated as an Outperform by the brokerage firm. Analysts have assigned Denali Therapeutics Inc. (DNLI) an Buy rating. DNLI is a stock that is recommended for selling by 0 brokerage firms, while 2 companies recommend holding. The stock is underweighted by 0 analysts. Among the analysts who rate the stock, 0 rates it overweight and 13 others recommend it as a buy.
What is DNLI’s price target for the next 12 months?
The current consensus forecast for the stock is between $26.00 and $105.00, with a median target price of $54.00. In analyzing these forecasts, the average price target given by analysts for Denali Therapeutics Inc. (DNLI) is $56.08.
