Zacks Investment Research upgraded shares of Otonomy (NASDAQ:OTIC) from a hold rating to a buy rating in a report issued on Friday morning. They currently have $2.75 target price on the biopharmaceutical company’s stock.

According to Zacks, “Otonomy, Inc. engages in developing and commercializing therapeutics to address unmet medical needs in the otology market. It develops therapeutics for treatment of inner and middle ear disorders. The Company’s product candidates under development includes AuriPro to treat pediatric patients with middle ear effusion; and OTO-104 for the treatment of patients with Ménière’s disease. Otonomy, Inc. is headquartered in San Diego, California. “

Separately, SunTrust Banks decreased their price target on shares of Otonomy to $10.00 and set a buy rating for the company in a research note on Tuesday, August 14th. One analyst has rated the stock with a sell rating, one has issued a hold rating and three have assigned a buy rating to the company’s stock. The stock presently has an average rating of Hold and an average target price of $6.92.

Shares of Otonomy stock remained flat at $$2.48 on Friday. 36,535 shares of the stock traded hands, compared to its average volume of 108,602. Otonomy has a 1 year low of $2.16 and a 1 year high of $6.45. The company has a market capitalization of $75.66 million, a P/E ratio of -0.84 and a beta of 2.80.

Otonomy (NASDAQ:OTIC) last posted its quarterly earnings results on Tuesday, November 6th. The biopharmaceutical company reported ($0.41) earnings per share for the quarter, beating the Thomson Reuters’ consensus estimate of ($0.47) by $0.06. Otonomy had a negative net margin of 6,983.40% and a negative return on equity of 54.24%. The firm had revenue of $0.11 million during the quarter, compared to the consensus estimate of $0.25 million. As a group, equities research analysts forecast that Otonomy will post -1.7 earnings per share for the current year.

Institutional investors have recently bought and sold shares of the company. Jane Street Group LLC bought a new stake in shares of Otonomy during the second quarter valued at approximately $109,000. Laurion Capital Management LP bought a new position in Otonomy in the second quarter worth approximately $126,000. Acadian Asset Management LLC raised its stake in Otonomy by 61.7% in the second quarter. Acadian Asset Management LLC now owns 78,757 shares of the biopharmaceutical company’s stock worth $303,000 after buying an additional 30,045 shares in the last quarter. LMR Partners LLP bought a new position in Otonomy in the second quarter worth approximately $374,000. Finally, Paloma Partners Management Co bought a new position in Otonomy in the second quarter worth approximately $529,000. 61.95% of the stock is owned by hedge funds and other institutional investors.

About Otonomy

Otonomy, Inc, a biopharmaceutical company, engages in the development and commercialization of therapeutics for otology in the United States. It offers OTIPRIO, a ciprofloxacin otic suspension for use during tympanostomy tube placement surgery in pediatric patients. The company also develops OTIVIDEX, a sustained-exposure formulation of the steroid dexamethasone in Phase III clinical trial for the treatment of Ménière's disease; and OTO- 313, a sustained-exposure formulation of N-methyl-D-aspartate receptor antagonist gacyclidine, which has completed a Phase 1 clinical safety trial for the treatment of tinnitus.

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