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Why NightStar Therapeutics Is Soaring Today

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Today, Nightstar Therapeutics (NITE) is trading close to $25.17, which is about 66% higher than its previous closing price. The company has a market capitalization of $511.65 million.

Today, Biogen (BIIB) issued a press release announcing that it has entered an agreement to acquire clinical-stage gene therapy company Nightstar Therapeutics for a total consideration of $800 million. Biogen plans to fund this deal through its available cash, and it expects to complete the deal by mid-2019. Biogen is currently trading at $333.58, 0.2% lower than its previous closing price.

Nightstar Therapeutics is currently trading 162.5% higher than its 52-week low of $9.59 and 14.8% lower than its 52-week high of $29.55. On the other hand, Biogen is trading 33.9% higher than its 52-week low price of $249.17 and 14.1% lower than its 52-week high price of $388.67.

Based on its closing price on March 1, Nightstar Therapeutics had reported returns of 6.8% in the last week, 17.4% in the last month, and 2.6% in the last quarter. The company had reported returns of -29.6% in the last half year, 20.1% in the last year, and 31.6% year-to-date.

Based on its closing price on March 1, Biogen had reported returns of 2.7% in the last week, 1.9% in the last month, and 3.2% in the last quarter. The company had reported returns of -3.3% in the last half year, 15.6% in the last year, and 11.0% year-to-date.

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Analysts’ recommendations and target price for Nightstar Therapeutics

The 12-month consensus analyst recommendation for Nightstar Therapeutics on March 4 is a “buy.” The 12-month consensus target price for the company is $29.8, which is 18.39% higher than its trading price of $25.27. The highest target price estimate for the company is $41, and the lowest target price estimate is $21.

Out of the ten analysts covering Nightstar Therapeutics on March 4, four have rated the company a “strong buy,” five have rated the company a “buy,” and only one analyst has rated the company a “hold.”

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