ARK Investment Management Significantly Expands Stake in Beam Therapeutics

ARK Investment Management LLC increased its stake in Beam Therapeutics Inc. (NASDAQ:BEAM - Free Report) shares by 6.9% during the fourth quarter, according to its recent Form 13F filing with the Securities and Exchange Commission. The firm owned 9,393,889 shares of the company's stock after buying an additional 609,998 shares during the quarter. Beam Therapeutics comprises approximately 1.5% of ARK Investment Management LLC's portfolio, making it the stock its 21st biggest position.

ARK Investment Management Bolsters Stake in Beam Therapeutics

ARK Investment Management LLC has significantly increased its position in shares of Beam Therapeutics Inc. (NASDAQ: BEAM), a biotechnology company focused on developing precision genetic medicines. According to the firm's latest Form 13F filing with the Securities and Exchange Commission, ARK purchased an additional 609,998 shares during the fourth quarter of 2022, representing a 6.9% increase in its holdings.

After the transaction, ARK owned 9,393,889 shares of Beam Therapeutics, constituting approximately 1.5% of its portfolio and making BEAM its 21st largest position. The firm's stake in the company was valued at $255,702,000 at the end of the quarter.

Strong Institutional Support for Beam Therapeutics

Other hedge funds have also expressed confidence in Beam Therapeutics. Point72 Middle East FZE established a new position in the company during the fourth quarter, valued at approximately $35,000. Allworth Financial LP expanded its holdings by 163.7% during the third quarter, now owning 1,105 shares worth $27,000. Canada Pension Plan Investment Board and Penserra Capital Management LLC both purchased new stakes in the company during the first quarter, valued at approximately $86,000 and $97,000, respectively. Captrust Financial Advisors increased its position by 29.9% in the first quarter, owning 1,845 shares valued at $106,000.

Institutional investors collectively hold a significant 99.68% of Beam Therapeutics' outstanding shares, reflecting the strong institutional support for the company.

Insider Transactions

Beam Therapeutics has also experienced some insider activity. Insider Christine Bellon sold 1,907 shares on January 3rd at an average price of $26.42 per share, totaling $50,382.94. Following the transaction, she directly owns 80,495 shares of the company's stock, valued at $2,126,677.90.

CEO John M. Evans sold 60,000 shares on January 31st at an average price of $25.33 per share, totaling $1,519,800.00. After the sale, he directly owns 1,058,262 shares, valued at $26,805,776.46.

In addition to these insider sales, insider Christine Bellon sold another 1,907 shares on January 3rd at the same price of $26.42 per share, bringing her total holdings to 80,495 shares worth $2,126,677.90.

Over the past 90 days, insiders have sold a total of 63,472 shares of Beam Therapeutics stock, valued at $1,618,322. Insiders currently own 4.40% of the company's shares.

Stock Performance and Financial Results

Beam Therapeutics' stock has witnessed fluctuations in recent times. On Thursday, BEAM traded down $0.92 to close at $33.04. The stock has a 12-month low of $16.95 and a 12-month high of $49.50, with an average daily trading volume of 1,378,971 shares.

The company's financial performance has been promising. On February 27th, Beam Therapeutics announced its fourth-quarter earnings, reporting earnings per share (EPS) of $1.73, exceeding analysts' consensus estimates by $2.42. Revenue for the quarter reached $316.20 million, significantly surpassing analyst expectations of $34.16 million.

For the full year, equities analysts anticipate that Beam Therapeutics will post a loss per share of $5.50.

Analyst Opinions and Recommendations

Beam Therapeutics has attracted the attention of numerous analysts. Jefferies Financial Group maintained a "hold" rating but lowered its price target from $75.00 to $30.00. Bank of America downgraded the stock from "buy" to "neutral" and set a price objective of $35.00.

TheStreet upgraded BEAM from a "d" rating to a "c-" rating. Barclays raised its price target from $26.00 to $42.00 and gave the company an "equal weight" rating. JPMorgan Chase & Co. upgraded the stock from "neutral" to "overweight" and increased its target price from $38.00 to $40.00.

Currently, eight analysts have assigned Beam Therapeutics a "hold" rating, while five have given it a "buy" rating. The consensus target price among analysts is $41.00, suggesting a potential upside for investors.

About Beam Therapeutics

Beam Therapeutics is a biotechnology company developing precision genetic medicines for serious diseases. The company's pipeline includes BEAM-101 for sickle cell disease or beta-thalassemia; BEAM-201 for refractory T-cell acute lymphoblastic leukemia/T cell lymphoblastic lymphoma; and BEAM-301 and BEAM-302 for glycogen storage disease 1a and severe alpha-1 antitrypsin deficiency, respectively.