Zacks Investment Research Downgrades Pacira BioSciences (NASDAQ:PCRX) to Strong Sell

Zacks Investment Research lowered shares of Pacira BioSciences (NASDAQ:PCRX) from a hold rating to a strong sell rating in a research note issued to investors on Tuesday morning, Zacks.com reports. Zacks Investment Research currently has $48.00 price objective on the stock.

According to Zacks, “Pacira changed its name to Pacira BioSciences after acquiring MyoScience in 2019, following which it added the latter’s iovera system to its portfolio. The company’s heavy dependence on Exparel for growth remains a major concern. Any regulatory setback for the drug will severely hurt the stock. Lack of pipeline candidates also remains a headwind for Pacira. Moreover, sales are constantly being hurt by the ongoing COVID-19 pandemic, which is a woe. Shares have outperformed the industry year to date. Pacira's top line mainly comprises of contributions from Exparel and revenues from royalties iovera system. The recent label expansion of the drug in pediatric patients is expected to boost sales. Meanwhile, Exparel was recently approved in Europe, which should drive sales further.”

Other equities research analysts have also issued research reports about the company. TheStreet raised Pacira BioSciences from a c+ rating to a b rating in a research note on Monday, August 9th. JPMorgan Chase & Co. upgraded Pacira BioSciences from a neutral rating to an overweight rating and lifted their price objective for the stock from $70.00 to $75.00 in a report on Monday, July 26th. They noted that the move was a valuation call. Finally, HC Wainwright decreased their price objective on Pacira BioSciences from $86.00 to $84.00 and set a buy rating on the stock in a report on Wednesday, August 4th. One research analyst has rated the stock with a sell rating, three have assigned a hold rating and eight have given a buy rating to the company’s stock. According to MarketBeat, Pacira BioSciences presently has an average rating of Buy and an average price target of $76.85.

Pacira BioSciences stock opened at $54.64 on Tuesday. Pacira BioSciences has a one year low of $48.23 and a one year high of $80.00. The business has a fifty day moving average price of $57.75 and a 200-day moving average price of $62.43. The company has a debt-to-equity ratio of 0.47, a current ratio of 3.47 and a quick ratio of 3.18. The firm has a market capitalization of $2.43 billion, a P/E ratio of 13.97 and a beta of 1.07.

Pacira BioSciences (NASDAQ:PCRX) last posted its quarterly earnings data on Monday, August 2nd. The company reported $0.77 earnings per share (EPS) for the quarter, beating the Thomson Reuters’ consensus estimate of $0.74 by $0.03. The company had revenue of $135.60 million during the quarter, compared to analyst estimates of $135.02 million. Pacira BioSciences had a return on equity of 14.35% and a net margin of 34.60%. The firm’s quarterly revenue was up 79.6% on a year-over-year basis. During the same quarter last year, the company earned $0.12 earnings per share. Sell-side analysts expect that Pacira BioSciences will post 2 earnings per share for the current fiscal year.

In other news, insider Max Reinhardt sold 421 shares of the firm’s stock in a transaction on Friday, July 2nd. The stock was sold at an average price of $59.76, for a total transaction of $25,158.96. The sale was disclosed in a filing with the Securities & Exchange Commission, which is available through this hyperlink. 5.20% of the stock is owned by company insiders.

A number of hedge funds and other institutional investors have recently added to or reduced their stakes in the stock. BlackRock Inc. increased its holdings in Pacira BioSciences by 1.0% in the 1st quarter. BlackRock Inc. now owns 7,173,487 shares of the company’s stock worth $502,787,000 after buying an additional 73,640 shares in the last quarter. Vanguard Group Inc. boosted its position in Pacira BioSciences by 4.8% in the second quarter. Vanguard Group Inc. now owns 4,724,929 shares of the company’s stock worth $286,709,000 after purchasing an additional 218,398 shares during the last quarter. Macquarie Group Ltd. boosted its position in Pacira BioSciences by 12.9% in the second quarter. Macquarie Group Ltd. now owns 3,715,264 shares of the company’s stock worth $225,442,000 after purchasing an additional 423,133 shares during the last quarter. Baillie Gifford & Co. boosted its position in Pacira BioSciences by 0.3% in the second quarter. Baillie Gifford & Co. now owns 2,102,759 shares of the company’s stock worth $127,595,000 after purchasing an additional 7,278 shares during the last quarter. Finally, State Street Corp boosted its position in Pacira BioSciences by 3.2% in the second quarter. State Street Corp now owns 1,476,967 shares of the company’s stock worth $89,622,000 after purchasing an additional 45,127 shares during the last quarter.

About Pacira BioSciences

Pacira Biosciences, Inc is a holding company, which provide non-opioid pain management and regenerative health solutions to improve patients’ journeys along the neural pain pathway. Its products include EXPAREL, iovera, and DepoFoam.The company was founded in December 2006 and is headquartered in Parsippany, NJ.

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