Scholar Rock (NASDAQ:SRRK) Shares Gap Up Following Strong Earnings

Scholar Rock Holding Corporation (NASDAQ:SRRK) gapped up prior to trading on Tuesday following a stronger than expected earnings report. The stock had previously closed at $43.48, but opened at $45.25. Scholar Rock shares last traded at $45.1590, with a volume of 294,945 shares.

The company reported ($0.76) earnings per share (EPS) for the quarter, beating the consensus estimate of ($0.86) by $0.10. During the same quarter in the previous year, the business earned ($0.64) earnings per share.

Key Stories Impacting Scholar Rock

Here are the key news stories impacting Scholar Rock this week:

• Positive Sentiment: BMO Capital Markets raised its price target from $50 to $70 and kept an “outperform” rating (~47.6% upside vs. the current price). BMO Raises PT to $70
• Positive Sentiment: Citigroup raised its target to $58 and maintained a “buy” rating (~22% upside). Citigroup Raises PT to $58
• Positive Sentiment: Piper Sandler raised its target to $58 and kept an “overweight” rating (similar ~22% upside). Piper Sandler PT Raise Street Insider
• Positive Sentiment: HC Wainwright reaffirmed a “buy” and a $58 target. HC Wainwright Reaffirmation TickerReport
• Positive Sentiment: Q4 results narrowly beat expectations — reported EPS (net loss) was ($0.76) vs. consensus (~$0.86), which analysts viewed positively relative to estimates. Earnings Release / Summary
• Neutral Sentiment: Full earnings and Q&A transcripts are now available (multiple outlets posted call transcripts), useful for digging into pipeline updates and management tone. Seeking Alpha Transcript InsiderMonkey Transcript
• Negative Sentiment: Despite the beat, the corrected press release clarifies net loss per share was $0.76 for Q4 vs. $0.61 a year earlier — an increase in the loss year‑over‑year, underscoring ongoing unprofitability. BusinessWire Correction

Wall Street Analysts Forecast Growth

A number of equities analysts recently weighed in on the stock. JPMorgan Chase & Co. increased their price objective on shares of Scholar Rock from $46.00 to $47.00 and gave the stock an “overweight” rating in a research report on Tuesday, November 18th. Piper Sandler raised their price target on Scholar Rock from $51.00 to $58.00 and gave the stock an “overweight” rating in a research report on Wednesday. Barclays lifted their price objective on Scholar Rock from $52.00 to $53.00 and gave the company an “overweight” rating in a research note on Tuesday. UBS Group began coverage on Scholar Rock in a research note on Wednesday, January 7th. They set a “buy” rating and a $60.00 target price on the stock. Finally, Raymond James Financial reaffirmed a “strong-buy” rating on shares of Scholar Rock in a research report on Tuesday. Four analysts have rated the stock with a Strong Buy rating, twelve have assigned a Buy rating and one has issued a Sell rating to the company. According to data from MarketBeat.com, the company presently has an average rating of “Buy” and a consensus price target of $54.14.

Insider Transactions at Scholar Rock

In related news, COO Keith Woods sold 16,746 shares of the business’s stock in a transaction on Tuesday, January 13th. The stock was sold at an average price of $42.70, for a total transaction of $715,054.20. Following the completion of the transaction, the chief operating officer directly owned 583,254 shares of the company’s stock, valued at $24,904,945.80. The trade was a 2.79% decrease in their position. The transaction was disclosed in a document filed with the SEC, which is available through this hyperlink. Also, insider Mo Qatanani sold 14,898 shares of the stock in a transaction dated Thursday, January 22nd. The shares were sold at an average price of $46.71, for a total value of $695,885.58. Following the completion of the sale, the insider directly owned 85,660 shares in the company, valued at $4,001,178.60. This represents a 14.82% decrease in their position. The disclosure for this sale is available in the SEC filing. Insiders sold a total of 208,470 shares of company stock valued at $9,201,778 in the last 90 days. Insiders own 13.30% of the company’s stock.

Institutional Inflows and Outflows

Institutional investors and hedge funds have recently added to or reduced their stakes in the company. Three Seasons Wealth LLC increased its position in shares of Scholar Rock by 2.1% in the 4th quarter. Three Seasons Wealth LLC now owns 10,968 shares of the company’s stock valued at $483,000 after purchasing an additional 222 shares during the last quarter. IFP Advisors Inc grew its stake in shares of Scholar Rock by 294.1% during the fourth quarter. IFP Advisors Inc now owns 603 shares of the company’s stock worth $27,000 after purchasing an additional 450 shares in the last quarter. Principal Financial Group Inc. increased its holdings in Scholar Rock by 7.9% in the third quarter. Principal Financial Group Inc. now owns 6,214 shares of the company’s stock valued at $231,000 after buying an additional 456 shares during the last quarter. EverSource Wealth Advisors LLC raised its stake in Scholar Rock by 151.3% in the fourth quarter. EverSource Wealth Advisors LLC now owns 872 shares of the company’s stock valued at $38,000 after buying an additional 525 shares in the last quarter. Finally, California State Teachers Retirement System lifted its holdings in Scholar Rock by 0.9% during the 2nd quarter. California State Teachers Retirement System now owns 62,372 shares of the company’s stock worth $2,209,000 after buying an additional 577 shares during the last quarter. Institutional investors and hedge funds own 91.08% of the company’s stock.

Scholar Rock Trading Up 7.0%

The firm has a market capitalization of $4.84 billion, a price-to-earnings ratio of -13.83 and a beta of 0.70. The company has a debt-to-equity ratio of 0.41, a quick ratio of 6.30 and a current ratio of 6.30. The company has a 50-day moving average price of $45.32 and a 200-day moving average price of $39.14.

About Scholar Rock

Scholar Rock is a clinical-stage biotechnology company focused on the discovery and development of protein therapeutics that selectively target growth factors involved in disease processes. The company’s research platform is designed to modulate endogenous growth factor activation and signaling with high specificity, aiming to restore normal biological function across a range of disorders. Scholar Rock’s approach is distinguished by its emphasis on engineering antibodies and biologics that interact with growth factor precursors or latent complexes rather than the active form, potentially offering improved safety and efficacy profiles.

The company’s lead program, SRK-015 (appercept), is an investigational monoclonal antibody targeting the activation of latent myostatin proproteins and is being evaluated for the treatment of spinal muscular atrophy (SMA).