Peeling Back The Layers: Exploring XOMA Through Analyst Insights

Benzinga · 05/31 12:00

Providing a diverse range of perspectives from bullish to bearish, 5 analysts have published ratings on XOMA (NASDAQ:XOMA) in the last three months.

The table below offers a condensed view of their recent ratings, showcasing the changing sentiments over the past 30 days and comparing them to the preceding months.

Bullish Somewhat Bullish Indifferent Somewhat Bearish Bearish
Total Ratings 4 1 0 0 0
Last 30D 1 0 0 0 0
1M Ago 1 0 0 0 0
2M Ago 1 1 0 0 0
3M Ago 1 0 0 0 0

Analysts' evaluations of 12-month price targets offer additional insights, showcasing an average target of $67.2, with a high estimate of $74.00 and a low estimate of $40.00. A decline of 9.19% from the prior average price target is evident in the current average.

price target chart

Breaking Down Analyst Ratings: A Detailed Examination

A clear picture of XOMA's perception among financial experts is painted with a thorough analysis of recent analyst actions. The summary below outlines key analysts, their recent evaluations, and adjustments to ratings and price targets.

Analyst Analyst Firm Action Taken Rating Current Price Target Prior Price Target
Joseph Pantginis HC Wainwright & Co. Maintains Buy $74.00 $74.00
Joseph Pantginis HC Wainwright & Co. Maintains Buy $74.00 -
Jason Zhuang Leerink Partners Announces Outperform $40.00 -
Joseph Pantginis HC Wainwright & Co. Maintains Buy $74.00 -
Joseph Pantginis HC Wainwright & Co. Maintains Buy $74.00 $74.00

Key Insights:

  • Action Taken: Analysts frequently update their recommendations based on evolving market conditions and company performance. Whether they 'Maintain', 'Raise' or 'Lower' their stance, it reflects their reaction to recent developments related to XOMA. This information provides a snapshot of how analysts perceive the current state of the company.
  • Rating: Gaining insights, analysts provide qualitative assessments, ranging from 'Outperform' to 'Underperform'. These ratings reflect expectations for the relative performance of XOMA compared to the broader market.
  • Price Targets: Understanding forecasts, analysts offer estimates for XOMA's future value. Examining the current and prior targets provides insight into analysts' changing expectations.

Understanding these analyst evaluations alongside key financial indicators can offer valuable insights into XOMA's market standing. Stay informed and make well-considered decisions with our Ratings Table.

Stay up to date on XOMA analyst ratings.

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Discovering XOMA: A Closer Look

XOMA Corp is a biotechnology royalty aggregator playing a role in helping biotech companies achieve their goal of improving human health. XOMA acquires the potential future economics associated with pre-commercial therapeutic candidates that have been licensed to pharmaceuticals or biotechnology companies. When XOMA acquires future economic rights, the seller receives non-dilutive, non-recourse funding that can use to advance their internal drug candidate(s) or for general corporate purposes.

Unraveling the Financial Story of XOMA

Market Capitalization: Positioned above industry average, the company's market capitalization underscores its superiority in size, indicative of a strong market presence.

Positive Revenue Trend: Examining XOMA's financials over 3 months reveals a positive narrative. The company achieved a noteworthy revenue growth rate of 240.96% as of 31 March, 2024, showcasing a substantial increase in top-line earnings. When compared to others in the Health Care sector, the company faces challenges, achieving a growth rate lower than the average among peers.

Net Margin: The company's net margin is a standout performer, exceeding industry averages. With an impressive net margin of -668.66%, the company showcases strong profitability and effective cost control.

Return on Equity (ROE): XOMA's ROE surpasses industry standards, highlighting the company's exceptional financial performance. With an impressive -11.66% ROE, the company effectively utilizes shareholder equity capital.

Return on Assets (ROA): XOMA's ROA stands out, surpassing industry averages. With an impressive ROA of -4.39%, the company demonstrates effective utilization of assets and strong financial performance.

Debt Management: With a high debt-to-equity ratio of 1.47, XOMA faces challenges in effectively managing its debt levels, indicating potential financial strain.

Understanding the Relevance of Analyst Ratings

Experts in banking and financial systems, analysts specialize in reporting for specific stocks or defined sectors. Their comprehensive research involves attending company conference calls and meetings, analyzing financial statements, and engaging with insiders to generate what are known as analyst ratings for stocks. Typically, analysts assess and rate each stock once per quarter.

Analysts may enhance their evaluations by incorporating forecasts for metrics like growth estimates, earnings, and revenue, delivering additional guidance to investors. It is vital to acknowledge that, although experts in stocks and sectors, analysts are human and express their opinions when providing insights.

This article was generated by Benzinga's automated content engine and reviewed by an editor.