Short Sellers Turning Bullish On Solid Biosciences Inc. (SLDB)

Solid Biosciences Inc. (NASDAQ:SLDB) short sellers believe it will rise in price. The most recent short interest data has been released for the January 31st settlement date, which shows a -428,171 share decrease in total short interest for SLDB, to 2,539,978, a retreat of 14.43% since January 15th. Average daily volume for Solid Biosciences Inc. at the January 31st settlement plunged to 306,286, as compared to 349,471 at the January 15th report. That brought days to cover to 8.292831, a 2.36% decrease from the 8.493263 days to cover recorded at the prior short interest data release. You could look at analyst ratings. The average analyst recommendations at 2.9 suggests buying these shares. But the opinions of a small number of people, though sometimes influential, doesn’t always speak for the hundreds of thousands of traders on Wall Street.

Solid Biosciences Inc. (SLDB) will probably climb 420.17 percent over the next 12 months, according to price target estimates compiled by finviz. Meanwhile, they have set a $31 price as 12-month high target. This represents a whopping 272.15 percent increase from where shares are trading today. The 12-month median price target assigned by the analysts stands at $8, which represents a return potential of -3.96 percent when compared to the closing price of the stock of $8.33 on Wednesday, February 13. The lowest price target for the stock is $5 — slightly more than -39.98 percent from SLDB’s current share price.

The stock is currently hovering around the first support level of $7.45. Below this, the next support is placed in the zone of $6.58. Till the time, the SLDB stock trades above this level, bulls have nothing to fear. On momentum oscillators front, ‘RSI’ has touched 21.91 on daily chart, which may remain a cause for comfort. If the price breaks below $6.58 level on closing basis, then we may see more profit booking and the stock may show further weakness. On the flipside, hitting the $9.27 mark may result into a pull-back move towards $10.22 level.

On 13th of February, Solid Biosciences Inc. (NASDAQ:SLDB) shares ended higher after a volatile session. The shares accumulated 0.74 points or 9.75 percent at $8.33 with a light trade volume of 2.375 million shares. After opening the session at $7.6, the shares went as high as $9.34 and as low as $7.52, the range within which the stock’s price traded throughout the day. The firm is left with a market cap of $286 million and now has 34.34 million shares outstanding. Solid Biosciences Inc. (SLDB) stock has lost -73.19 percent of market value in 21 trading days.

SLDB stock has a trailing 3-year beta of 0, offering the possibility of a lower rate of return, but also posing less risk. The portion of a company’s profit allocated to each outstanding share of common stock was -$1.96 a share in the trailing twelve months. The stock’s value has fallen -68.92 percent year to date (YTD) against a decline of -67.97 percent in 12 month’s time. The company’s shares still trade -84.81 percent away from its 1-year high of $54.84 and 39.53 percent up from 52-week low of $5.97. The average consensus rating on the company is 2.9, 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 Solid Biosciences Inc. (SLDB) are trading at a P/E ratio of 0 times earnings reported for the past 12 months. The industry SLDB operates in has an average P/E of 88.07. Its P/E ratio went as low as 0X and as high as 0 over the 5-year span. Further, it is sporting a 0 on the Price-to-Sales ratio. Compare this with the industry average P/S of 51.29. 0 percent is the gross profit margin for Solid Biosciences 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 Solid Biosciences Inc. (NASDAQ:SLDB) and see the pattern. The earliest insider trade took place on 01/14/2019. Arnold Matthew Bennett parted with a total of 5 thousand shares of company at average share price of $32. The total for the sales was set at $160 thousand. After this transaction, the Director account balance stood at 3.39 million shares. The stock lost -73.97 percent since that insider sale. On 01/07/2019, Arnold Matthew Bennett, Director, sold 5 thousand shares at a price per share of $30.08. This removed 150.4 thousand shares from the insider’s fortune and the stock saw a -72.31 percent retreat in value since the news became public. This transaction left 3.39 million shares in the Director account.

On 01/04/2019, COO Amorrortu Pedro Alvaro performed a sale transaction worth $270.63 thousand. This sale at $30.07 each has eliminated 9 thousand shares from the insider’s portfolio position. Meanwhile, shares have recorded -72.3 percent decrease since the transaction was reported. The insider now is left with 153.75 thousand shares remaining in the account. Amorrortu Pedro Alvaro, who performs the COO job, sold 9 thousand shares for $270.63 thousand. The disposal occurred on 01/04/2019 was priced at $30.07 per share. The share price plunged -72.3 percent since the reporting date. Amorrortu Pedro Alvaro now left with a stake of 158.05 thousand SLDB stock worth $1.32 million after the insider selling.