Reassessing The Changing Outlook For Check-Cap Ltd. (CHEK)


    Renaissance Technologies LLC recently announced the acquisition of new stake in Check-Cap Ltd. (NASDAQ:CHEK). The institutional investor has increased its shareholding in the Healthcare company by 194.21% to 0.91 million shares with purchase of 0.6 million shares. This fresh investment now brings its stake to 3.03% valued currently at $0.54 million. In addition, Wells Fargo Clearing Services LLC raised its holdings by 3500.0 to 5000.0 shares.

    With over 1.12 million Check-Cap Ltd. (CHEK) shares trading Friday and a closing price of $0.38 on the day, the dollar volume was approximately $0.42 million. The shares have shown a negative weekly performance of -11.60% and its price on 08/28/20 lost nearly -2.53%. Currently, there are 46.23M common shares owned by the public and among those 42.69M shares have been available to trade.

    Incidentally, analysts’ outlook for the Check-Cap Ltd. stock is 2.00 for the next 12 months.

    The top 3 mutual fund holders in Check-Cap Ltd. are Perritt Ultra Micro Cap Fund, DFA US Small Cap Portfolio, and DFA US Micro Cap Portfolio. Perritt Ultra Micro Cap Fund owns 75000.0 shares of the company’s stock, all valued at over $44100.0. DFA US Small Cap Portfolio sold 9442.0 shares to see its total holdings shrink to 21600.0 shares valued at over $12701.0 and representing 0.07% of the shares outstanding. DFA US Micro Cap Portfolio now owns shares totaling to 0.03% of the shares outstanding.

    Shares of Check-Cap Ltd. (NASDAQ: CHEK) opened at $0.399, down -$0.0 from a prior closing price of $0.40. However, the script later closed the day at $0.38, down -2.53%. The company’s stock has a 5-day price change of -11.60% and -27.77% over the past three months. CHEK shares are trading -77.62% year to date (YTD), with the 12-month market performance down to -80.75% lower. It has a 12-month low price of $0.35 and touched a high of $2.37 over the same period. Currently, 1.12 million shares have been traded, compared to an average intraday trading volume of 4.71 million shares. The stock is trading above its simple moving averages at the SMA20, SMA50, and SMA200, as the current price level is off by -25.43%, -31.90%, and -64.41% respectively.

    Institutional ownership of Check-Cap Ltd. (NASDAQ: CHEK) shares accounts for 5.90% of the company’s 46.23M shares outstanding. Mutual fund holders own 0.35%, while other institutional holders and individual stakeholders account for 2.99% and — respectively.

    It has a market capitalization of $18.30M and a beta (3y monthly) value of 0.07. The earnings-per-share (ttm) stands at -$1.63. Price movements for the stock have been influenced by the stock’s volatility, which stands at 9.60% over the week and 8.19% over the month.

    Analysts forecast that Check-Cap Ltd. (CHEK) will achieve an EPS of -$0.08 for the current quarter, -$0.07 for the next quarter and -$0.28 for 2021. The lowest estimate earnings-per-share for the quarter is -$0.08 while analysts give the company a high EPS estimate of -$0.08. Comparatively, EPS for the current quarter was -$0.42 a year ago. Earnings per share for the fiscal year are expected to increase by 33.60%, and 33.30% over the next financial year.

    If you are looking to buy this stock, then you may note that the average analyst recommendation by 1 brokerage firm advisors rate Check-Cap Ltd. (CHEK) as a “Moderate Buy” at a consensus score of 2.00. Specifically, 1 Wall Street analysts polled rate the stock as a buy, while 0 of the 1 advise that investors “hold,” and 0 rated it as a “Sell.”

    Looking at the support for the CHEK, a number of firms have released research notes about the stock. Dawson James stated their Buy rating for the stock in a research note on December 05, 2019, with the firm’s price target at. H.C. Wainwright coverage for the Check-Cap Ltd. (CHEK) stock in a research note released on January 11, 2018 offered a Buy rating with a price target of $6. H.C. Wainwright was of a view on November 28, 2017 that the stock is Buy, while H.C. Wainwright gave the stock Buy rating on September 28, 2017, issuing a price target of $6- $7. Rodman & Renshaw on their part issued Buy rating on January 19, 2017.


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