How Big Is Short Interest in Achaogen, Inc. (AKAO)?

In the latest fortnight, short interest in Achaogen, Inc. (NASDAQ:AKAO) stock jumped by 2.11%, indicating a significant rise in bearish sentiment. When it comes to determining how a name is viewed by investors, short interest is often a useful tool. The average analyst recommendations at 2.8 suggests buying these shares. Between January 15 and January 31, the total number of shorted shares amounted to 7.83 million shares. That was 161,801 more shares than the total of 7.67 million shares in the space of prior two weeks, which means more traders or funds betting that the stock will go down. Average daily volume for AKAO at the January 31st settlement plunged to 986,627, as compared to 1,870,821 at the January 15th report. That brought days to cover to 7.934206, a 93.62% increase from the 4.097827 days to cover recorded at the prior short interest data release.

Investors will get their next glimpse of AKAO’s Q4 earnings on March 12. Analysts are forecasting revenue to climb 80.8 percent to $3.38M in the next fiscal quarter, while earnings are seen soaring by nearly -10.47 percent to -$0.77 per share. History has shown that shares in Achaogen, Inc. have gone down on 8 different earnings reaction days and are predicted to add 0.04 percent when the company reports upcoming earnings. In last reported earnings results, it earned -$0.92 per share, better than the -$1, adjusted, expected by Thomson Reuters consensus estimate. Revenue was $2M, worse than the $3.78M analysts expected. Earnings are estimated to increase by -5.5 percent this year, 52.3 percent next year and continue to increase by 0 percent annually for the next 5 years.

Achaogen, Inc. (AKAO) will probably climb 340.25 percent over the next 12 months, according to price target estimates compiled by finviz. Meanwhile, they have set a $3 price as 12-month high target. This represents a whopping 88.68 percent increase from where shares are trading today. The 12-month median price target assigned by the analysts stands at $3, which represents a return potential of 88.68 percent when compared to the closing price of the stock of $1.59 on Wednesday, February 13. The lowest price target for the stock is $3 — slightly more than 88.68 percent from AKAO’s current share price.

The stock is currently hovering around the first support level of $1.45. Below this, the next support is placed in the zone of $1.32. Till the time, the AKAO stock trades above this level, bulls have nothing to fear. On momentum oscillators front, ‘RSI’ has touched 55.14 on daily chart, which may remain a cause for concern. If the price breaks below $1.32 level on closing basis, then we may see more profit booking and the stock may show further weakness. On the flipside, hitting the $1.66 mark may result into a pull-back move towards $1.74 level.

On 13th of February, Achaogen, Inc. (NASDAQ:AKAO) shares ended higher after a volatile session. The shares accumulated 0.17 points or 11.97 percent at $1.59 with a heavy trade volume of 1.138 million shares. After opening the session at $1.41, the shares went as high as $1.6 and as low as $1.39, the range within which the stock’s price traded throughout the day. The firm is left with a market cap of $74.9 million and now has 47.11 million shares outstanding. Achaogen, Inc. (AKAO) stock has gained 13.57 percent of market value in 21 trading days.

AKAO stock has a trailing 3-year beta of 1.05, offering the possibility of a higher rate of return, but also posing more risk. The portion of a company’s profit allocated to each outstanding share of common stock was -$3.96 a share in the trailing twelve months. The stock’s value has surged 29.27 percent year to date (YTD) against a decline of -84.91 percent in 12 month’s time. The company’s shares still trade -89.4 percent away from its 1-year high of $15.00 and 39.47 percent up from 52-week low of $1.14. The average consensus rating on the company is 2.8, on a scale where 5 equates to a unanimous sell rating. In short, the mean analyst recommendations are calling this stock a sell.

Shares of Achaogen, Inc. (AKAO) are trading at a P/E ratio of 0 times earnings reported for the past 12 months. The industry AKAO operates in has an average P/E of 69.44. Its P/E ratio went as low as 0X and as high as 0 over the 5-year span. Further, it is sporting a 8.71 on the Price-to-Sales ratio. Compare this with the industry average P/S of 49.51. 99.9 percent is the gross profit margin for Achaogen, Inc. and operating margin sits at 0 percent. Along with this, the net profit margin is 0 percent.

Let’s take a look at some insider activity at Achaogen, Inc. (NASDAQ:AKAO) and see the pattern. The earliest insider trade took place on 02/05/2019. Dorling Janet parted with a total of 0.82 thousand shares of company at average share price of $1.35. The total for the sales was set at $1.1 thousand. After this transaction, the Chief Commercial Officer account balance stood at 285.8 thousand shares. The stock grew 17.78 percent since that insider sale. On 12/11/2018, Duggan Robert W, 10% Owner, purchased 743.35 thousand shares at a price per share of $1.62. This added 1.2 million shares to the insider’s fortune and the stock saw a -1.85 percent retreat in value since the news became public. This transaction left 9.39 million shares in the 10% Owner account.

On 12/07/2018, 10% Owner Duggan Robert W performed a purchase transaction worth $31.4 thousand. This purchase at $1.4 each has added 22.43 thousand shares into the insider’s portfolio position. Meanwhile, shares have recorded 13.57 percent increase since the transaction was reported. The insider now is left with 8.65 million shares remaining in the account. Duggan Robert W, who performs the 10% Owner job, bought 157.76 thousand shares for $282.39 thousand. The acquisition occurred on 11/27/2018 was priced at $1.79 per share. The share price plunged -11.17 percent since the reporting date. Duggan Robert W now left with a stake of 8.62 million AKAO stock worth $13.71 million after the insider buying.