Erasca (NASDAQ:ERAS) Trading Up 12.6% – Still a Buy?

Erasca, Inc. (NASDAQ:ERAS)’s share price was up 12.6% during mid-day trading on Monday . The stock traded as high as $17.86 and last traded at $18.03. Approximately 5,143,974 shares changed hands during mid-day trading, a decline of 24% from the average session volume of 6,741,895 shares. The stock had previously closed at $16.01.

Erasca News Summary

Here are the key news stories impacting Erasca this week:

• Negative Sentiment: Multiple law firms announced or promoted class-action lawsuits and lead-plaintiff deadlines against Erasca, keeping legal overhang front and center for the stock. Article Title
• Negative Sentiment: New allegations say Revolution Medicines accused Erasca of patent infringement related to ERAS-0015, raising intellectual-property and commercialization risk for the company’s pan-RAS cancer program. Article Title
• Negative Sentiment: Reports that a patient died one month after receiving ERAS-0015 add another safety concern, which could weigh on sentiment around the pipeline and increase scrutiny of clinical development. Article Title
• Neutral Sentiment: Erasca also disclosed its annual meeting results, including reelecting directors and ratifying auditors, but this appears to be a routine corporate update with limited near-term stock impact. Article Title

Analyst Ratings Changes

ERAS has been the subject of a number of recent research reports. Piper Sandler increased their price objective on Erasca from $11.00 to $18.00 and gave the company an “overweight” rating in a research report on Friday, March 13th. HC Wainwright lifted their target price on Erasca from $15.00 to $20.00 and gave the stock a “buy” rating in a report on Friday, March 13th. Stifel Nicolaus upped their target price on Erasca from $20.00 to $30.00 and gave the company a “buy” rating in a report on Monday, April 27th. Citigroup reaffirmed a “buy” rating on shares of Erasca in a report on Friday, March 13th. Finally, Weiss Ratings reissued a “sell (d-)” rating on shares of Erasca in a research note on Thursday, June 11th. Seven research analysts have rated the stock with a Buy rating, two have assigned a Hold rating and one has given a Sell rating to the stock. According to MarketBeat.com, Erasca has a consensus rating of “Moderate Buy” and an average target price of $20.11.

Erasca Price Performance

The stock has a fifty day moving average price of $13.64 and a 200-day moving average price of $12.03. The company has a market cap of $5.57 billion, a PE ratio of -19.27 and a beta of 0.73.

Erasca (NASDAQ:ERAS) last issued its quarterly earnings results on Monday, May 11th. The company reported ($0.60) earnings per share for the quarter, missing analysts’ consensus estimates of ($0.12) by ($0.48). On average, equities analysts anticipate that Erasca, Inc. will post -0.55 earnings per share for the current year.

Hedge Funds Weigh In On Erasca

Several institutional investors and hedge funds have recently bought and sold shares of the business. VR Adviser LLC lifted its position in shares of Erasca by 10.1% in the second quarter. VR Adviser LLC now owns 17,857,083 shares of the company’s stock worth $22,678,000 after purchasing an additional 1,640,867 shares in the last quarter. Paradigm Biocapital Advisors LP lifted its position in Erasca by 4.4% in the 4th quarter. Paradigm Biocapital Advisors LP now owns 14,159,095 shares of the company’s stock worth $52,672,000 after buying an additional 599,078 shares in the last quarter. Vanguard Group Inc. lifted its position in Erasca by 0.9% in the 3rd quarter. Vanguard Group Inc. now owns 12,811,832 shares of the company’s stock worth $27,930,000 after buying an additional 116,235 shares in the last quarter. Vivo Capital LLC grew its holdings in shares of Erasca by 31.0% during the 1st quarter. Vivo Capital LLC now owns 12,151,480 shares of the company’s stock valued at $196,611,000 after acquiring an additional 2,878,052 shares in the last quarter. Finally, Siren L.L.C. grew its holdings in shares of Erasca by 28.4% during the 1st quarter. Siren L.L.C. now owns 11,244,246 shares of the company’s stock valued at $181,932,000 after acquiring an additional 2,486,997 shares in the last quarter. Hedge funds and other institutional investors own 67.78% of the company’s stock.

About Erasca

Erasca, Inc is a clinical‐stage biopharmaceutical company dedicated to the discovery and development of precision medicines for patients with cancer. The company focuses on small molecule therapeutics that target critical signaling pathways involved in tumor growth and survival, with a primary emphasis on inhibitors of the MAPK pathway. Erasca’s approach is designed to deliver oral, targeted therapies that address both oncogene‐driven and immuno‐oncology indications, aiming to improve outcomes for patients with unmet medical needs.

Erasca’s pipeline comprises multiple development candidates, including small molecule inhibitors engineered to disrupt key nodes in cancer cell signaling.