Selected stock price target news of the day - January 17th, 2024

By: Matthew Otto

Allakos Restructuring Plan and Focus on AK006 Clinical Development

Allakos announced a strategic restructuring plan to optimize resources and concentrate efforts on advancing its lead candidate, AK006. The company will discontinue activities related to lirentelimab across various functions, including clinical, manufacturing, research, and administration. This decision will result in a workforce reduction of approximately 50%. With a focus on enhancing its financial position, the company aims to extend its cash runway into mid-2026. As of the end of Q4 2023, Allakos reported approximately $171 million in cash, cash equivalents, and investments. The restructuring plan is anticipated to impact the company’s operating activities, with estimated 2024 net cash usage projected between $85 million to $90 million, excluding lirentelimab closeout, severance, and other costs.

Analyst Downgrades Amid Restructuring News

Barclays analyst Carter Gould maintained an Underweight rating and lowered the price target from $1.5 to $1.
Jefferies analyst Kevin Strang downgraded from Buy to Hold and the price target from $6 to $1.5.
JMP Securities analyst Jonathan Wolleben lowered the price target to $3.

Which Analyst has the best track record to show on ALLK?

Analyst Tim Lugo (WILLIAM BLAIR) currently has the highest performing score on ALLK with 1/1 (100%) price target fulfillment ratio. His price targets carry an average of $32.69 (83.16%) potential upside. Allakos stock price reaches these price targets on average within 358 days.

Challenges and Resilience: Morgan Stanley’s Q4 Performance

Morgan Stanley faced a downturn in response to a fourth-quarter profit decrease of $535 million. The bank’s net income for the three months ended December 31 dropped to $1.5 billion, or 85 cents per diluted share, a decline from $2.2 billion, or $1.26 per diluted share, reported during the same period the previous year. These financial challenges were exacerbated by various charges, including $286 million allocated to refill a government deposit insurance fund, $249 million in legal charges to settle a government probe, and an additional $405 million in mark-to-market losses on corporate loans, including financing for Elon Musk’s purchase of Twitter.

Despite the setbacks, Morgan Stanley’s investment banking revenue managed to rise by 5% in the fourth quarter compared to the previous year. However, wealth management margins, currently in the mid-20% range, fell short of market expectations. The overall revenue slightly exceeded analysts’ expectations, but the adjusted profit came in at 99 cents per share, including the impact of the government’s special assessment charge, below the expected $1.01 per share.

Analyst Views Diverge on Morgan Stanley as Price Targets Shift

BMO Capital’s James Fotheringham maintained an Outperform rating and raised the price target from $106 to $107.
Keefe, Bruyette & Woods’ David Konrad downgraded from Outperform to Market Perform and the price target from $102 to $91.
JP Morgan’s Kian Abouhossein downgraded from Overweight to Neutral and the price target from $94 to $87.
Oppenheimer’s Chris Kotowski lowered the price target to $106.

Which Analyst has the best track record to show on MS?

Analyst Kian Abouhossein (JPMORGAN) currently has the highest performing score on MS with 3/4 (75%) price target fulfillment ratio. His price targets carry an average of $1.94 (2.11%) potential upside. Morgan Stanley stock price reaches these price targets on average within 49 days.

FB Financial Q4 2023: Growth and Strategic Outlook

FB Financial Corporation reported its fourth-quarter 2023 earnings with a revenue of $116.43 million versus the consensus estimate of $122.39 million. The company’s earnings per share stood at $0.63, with adjusted EPS at $0.77 which is better than the analyst estimate of $0.70. The company achieved a compound annual growth rate of 13.8% in tangible book value per share, excluding the impact of accumulated other comprehensive income since its IPO in September 2016. The company’s balance sheet was highlighted by a tangible common equity to tangible assets ratio of 9.7%. Additionally, FB Financial liquidity has a ratio of loans plus securities to deposits at 103%, along with access to $7.1 billion in available liquidity sources.

Despite economic challenges, the company reported a 5.2% annualized loan growth in the fourth quarter, driven by commercial and industrial as well as commercial real estate portfolios. Looking ahead, FB Financial remains optimistic about mid-single-digit loan growth in 2024, supported by selective financing and customer deposit growth.

Analyst Updates: Downgrade and Price Adjustments

Hovde Group’s Brett Rabatin downgraded from Outperform to Market Perform and set a new price target of $40.
Stephens & Co.’s analyst Matt Olney maintained an Equal-Weight rating and lowered the price target from $45 to $41.

Which Analyst has the best track record to show on FBK?

Analyst Kevin Fitzsimmons (D.A. DAVIDSON) currently has the highest performing score on FBK with 2/2 (100%) price target fulfillment ratio. His price targets carry an average of $3.34 (9.92%) potential upside. FB Financial stock price reaches these price targets on average within 120 days.