The stock of Sorrento Therapeutics, Inc. (NASDAQ:SRNE) is now priced at $7.79 and the shares are 0.5 points up or 6.86% higher compared to its previous closing price of $7.29. The stock had 11.693 million contracts set over the past session. SRNE shares’ daily volume is compared to its average trading volume at 37 million shares. However, it has a float of 169 million and although its performance was -6.82% over the week, it’s one to watch. It means the stock’s downside potential is -100% with the SRNE share price recently placing at $7.275 to $8.0925. However, some brokerage firms have priced the stock below the average, including one that has called $24.
The shorts are running away from the Sorrento Therapeutics, Inc. stock, with the latest data on short interest released on July 15, 2020, showing that short interest numbers in the SRNE shares have declined. Short interest in the stock represents just 28.71% of its float, but the volume has dropped by -1668733. The volume of shorted shares dropped to 48.407 million from 50.076 million shares over the last two weeks. The average intraday trading volume has been 22.473 million shares, which means that days to cover moved to roughly 2.153985.
In the last trading session, Sorrento Therapeutics, Inc. (NASDAQ:SRNE) dropped by -$0.57 over the week and gained $1.92 on its 20-day. The stock’s high in the recent session is lower when compared to its 52-week high of $10. The stock recorded its established 52-week high on 05/18/20.
Since 10/11/19, the stock has traded to a low of $1.39 at 460.43%, an encouraging piece of data likely to interest most investors out to exploit the stock’s recent surge. The stock has a beta allocation of 3.18. Being above 1 means that the stock’s volatility is higher than the market and traders are keenly watching it.
Looking at current readings, Sorrento Therapeutics, Inc.’s two-week RSI is 58.2. This suggests that the stock is neutral at the moment and that SRNE shares’ price movement remains stable. The stochastic readings are equally revealing at 61.5% meaning the SRNE share price is currently in neutral territory.
The technical chart shows that the SRNE stock will likely settle at between $7.93 and $8.08 per share. However, if the stock dips below $7.51, then its market would become much weaker. Any downside could see the stock price sliding to levels as low as $7.24.
Currently, the stock is trading in the green of MACD, with a reading of 0.08. Investors always pay attention to any move above or below the zero-line, mainly because the indicator points to the position of the stock’s short-term average relative to its long-term measure. A MACD -a reading above the zero line means that the short-term is above the long-term average. This scenario implies that there is an upward momentum. The opposite is true when the MACD falls below the zero-line.
Analysts at Maxim Group assigned SRNE a rating of Buy in their intiating review released on May 26. JMP Securities analysts see the stock as a Mkt Outperform with a target price of $21 in a flash note released to investors on October 07 initiating covering the stock. B. Riley FBR, Inc. analysts see the stock as Buy when the analysts initiated the share price coverage on June 28, placing it at $14.25.
The average rating for the SRNE equity is 2 and is currently gathering a bullish momentum. Of 3 analysts tracking Sorrento Therapeutics, Inc. polled by Reuters, 0 rated SRNE as a hold. The remaining 3 analysts were split evenly. However, the split wasn’t equal as a majority (3) rated it as a buy or strong buy. 0 analyst advised investors against buying the stock or to sell if they own any of the stock.
Zacks Consensus Estimate forecasts that the current-quarter revenues for Sorrento Therapeutics, Inc. (NASDAQ:SRNE) will decrease by about -99.9%, which will see them reach $8 million. The company’s full-year revenues are, however, expected to increase by about 34.78%, up from $31.43 million to $42.36 million. SRNE’s expected adjusted earnings should drop almost -52.17% to end up at -$0.22 per share, while for the fiscal year, analysts project the company’s earnings to drop by about -60.91% to record -$0.86/share.