Technical Outlook And Game Plan For Tricida Inc. (NASDAQ: TCDA)


    Wellington Management Co. LLP has recently announced that it has increased stake in Tricida Inc. (NASDAQ:TCDA) by 28.16%. After grabbing 4.81 million shares, the institutional investor is now in possession of 1.06 million shares of the Healthcare Company. The new investment brought the stake of investor firm to 9.63% having worth around $64.34 million. Moreover, T. Rowe Price Associates, Inc. (I.. increased its share by 0.21 million to have a control over 3.71 million shares. And The Vanguard Group, Inc. raised its holdings to 0.24 million shares by acquiring 2.54 million shares or 5.08% of the stake.

    Tricida Inc. (TCDA) concluded trading on 08/26/20 at a closing price of $10.38, with 1.23 million shares of worth about $12.73 million changed hands on the day. Weekly performance of the stock remained negative as price took a plunge of -27.21% during that period and on Wednesday the price saw a loss of about -2.58%. Currently the company’s common shares owned by public are about 49.96M shares, out of which, 48.66M shares are available for trading.

    A deeper look into what the analysts at Wall Street are thinking about the price target of this stock provides us with the following: 3 analysts are covering the TCDA stock and their offered price forecasts bring an average price target of $23.33. Over the next 12 months, analysts forecasted that the stock’s price could jump as high as $40.00 and could fall to a lowest price of $10.00. Analysts also issued an outlook of 2.00 for the Tricida Inc. stock for next 12 months. However, touching the estimated high of $40.00 would mean a gain of 74.05% for the stock.

    According to filings with the U.S. Securities and Exchange Commission (SEC), insiders took part in trade of the company’s stock for 237 times over the past 12 months. They bought 285,601 shares in 71 of the transactions. In 166 selling transactions, insiders dumped 964,876 shares.

    Vanguard Explorer Fund, T Rowe Price New Horizons Fund, and Vanguard Total Stock Market Index are the top 3 mutual funds which are holding stakes in Tricida Inc. Vanguard Explorer Fund is currently holding 1.01 million shares of worth totaling $13.46 million. The company recently came buying 0.27 million shares which brought its stake up to 2.01% of the company’s outstanding shares. T Rowe Price New Horizons Fund sold 48100.0 shares, after which its hold over company’s outstanding shares shrunk to 1.95%, leaving 0.97 million shares with the mutual fund that have a worth of about $13.03 million. Vanguard Total Stock Market Index, after selling 0.8 million shares, have now control over 1.61% of the stake in the company. It holds 11962.0 shares of worth $10.74 million.

    Tricida Inc. (NASDAQ: TCDA) started trading at $10.50, below -$0.15 from concluding price of the previous day. However, the stock finished the trading on the day at a closing price of $10.38, or with a loss of -2.58%. Stock saw a price change of -27.21% in past 5 days and over the past one month there was a price change of -25.27%. Year-to-date (YTD), TCDA shares are showing a performance of -72.50% which decreased to -68.86% when we look at its performance for past 12 months. Over the period of past 52 weeks, stock dropped to lowest price of $9.54 but also hit the highest price of $44.30 during that period. While comparing its average daily trading volume of 843.04K shares, we see that about 1.23 million changed hands on the day. The stock is currently trading -23.18% below its 20-day simple moving average (SMA20), while that difference is down -46.14% for SMA50 and it goes to -64.13% lower than SMA200.

    Wellington Management Co. LLP acquired 4.81 million shares of Tricida Inc. having value of about $64.34 million. Data submitted at the U.S SEC by Wellington Management Co. LLP revealed that the firm now holds 1.06 million shares in the company valued at close to $10968369.54, or have control over 28.16% stake in the company. Holding of mutual funds in the company is about 45.79% while other institutional holders and individual stake holders have control over 51.95% and 30.46% of the stake respectively.

    The stock has a current market capitalization of $566.23M. It has posted earnings per share of -$4.72 in the same period. It has Quick Ratio of 11.50 while making debt-to-equity ratio of 0.82. Volatility of a stock is a metric used to know how much the price of that stock is under influence and for TCDA, volatility over the week remained 12.85% while standing at 7.59% over the month.

    Analysts are in expectations that Tricida Inc. (TCDA) stock would likely to be making an EPS of -$1.21 in the current quarter, while forecast for next quarter ESPS is -$1.17 and it is -$4.54 for next year. For the current quarter EPS, analysts have given the company a lowest target -$1.37 which is -$1.07 at the higher side of the target for the same. When we compare those targets with actual EPS, we find that company posted an EPS of -$0.89 in the same quarter a year ago. Stock’s fiscal year EPS is expected to drop by -53.40% while it is estimated to increase by 11.50% in next year.

    Analysts at 3 brokerage firms have issued recommendations for the Tricida Inc. (TCDA)’s stock and average of those rates the stock at a “Moderate Buy” and assign it a score of 2.00. Out of those 3 Wall Street analysts, 2 recommended a “Buy” rating, while 1 were in favor recommending the stock as a “Hold” and 0 analyst recommended the stock as “Sell”.

    Digging deeper we find that several firms have released their research notes about the support levels of the stock. Most recent of them is a note released by Goldman on August 25, 2020 offering a Neutral rating for the stock and assigned a target price range of between $25 and $10 to it. Coverage by Goldman stated Tricida Inc. (TCDA) stock as a Buy in their note to investors on June 27, 2019, suggesting a price target of $48 for the stock. On May 24, 2019, Needham Initiated their recommendations, while on July 23, 2018, JP Morgan Initiated their ratings for the stock with a price target of $34. Stock get a Neutral rating from Goldman on July 23, 2018.


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