TLDR
- Jim Cramer advised taking profits on ImmunityBio (IBRX) after the stock’s massive rally following FDA meeting news
- Director Christobel Selecky sold 75,000 shares in two transactions between January 16-20, totaling $437,750
- FDA meeting cleared path for ANKTIVA sBLA resubmission in bladder cancer treatment, with submission planned within 30 days
- Stock surged 220% year-to-date and traded at $6.92 with volume nearly triple the average
- Analysts maintain “Moderate Buy” rating with $12 consensus price target despite mixed sentiment on momentum-driven rally
ImmunityBio shares are riding a powerful wave higher. The stock hit $6.92 on Wednesday with trading volume exploding to 95.7 million shares. That’s nearly triple the normal 33.5 million share average.
The rally has pushed IBRX up 220% year-to-date. Jim Cramer addressed the stock during his lightning round segment, telling investors the run has gotten too hot.
“It’s had a giant run off this FDA meeting, and I really think that you have to take profits in some of that, not all of it, but some of it, because it’s up so big,” Cramer said.
The FDA meeting sparked the rally. ImmunityBio received a clear path to resubmit its supplemental Biologics License Application for ANKTIVA in papillary non-muscle invasive bladder cancer. The company plans to submit additional information within 30 days.
Director Christobel Selecky took action during the surge. She sold 50,000 shares on January 16 at $5.00 per share. That transaction totaled $250,000.
Four days later, Selecky sold another 25,000 shares at $7.51 each. The second sale brought in $187,750. Combined, the director offloaded 75,000 shares worth $437,750.
Analyst Views Split on Momentum
Wall Street analysts show mixed reactions to the price action. Piper Sandler raised its price target from $5 to $7 with an overweight rating. Jefferies lifted its target from $8 to $9 with a buy rating.
D. Boral Capital maintained a buy rating with a $24 price target. However, Weiss Ratings kept a sell rating on the stock. The consensus stands at “Moderate Buy” with a $12 average price target.
HC Wainwright boosted its long-term outlook. The firm raised its fiscal 2030 earnings estimate to $0.68 per share. That represents growing optimism about future profitability.
The stock has been on a 12-day winning streak. Much of the momentum comes from technical factors rather than new clinical data. Short sellers face mounting pressure as rapid gains force potential covering.
Recent Financial Performance
ImmunityBio reported third-quarter results on November 5. The company posted a loss of $0.07 per share. That beat analyst estimates of a $0.10 loss by three cents.
Revenue came in at $32.06 million for the quarter. Analysts had expected $31.88 million. The company carries a market cap of $6.82 billion.
Institutional ownership sits at just 8.58%. Several firms initiated new positions in the third quarter. Slow Capital, Truist Financial, and Swiss Life Asset Management each bought stakes valued around $25,000 to $27,000.
The stock trades with a price-to-earnings ratio of -16.88 and a beta of 0.03. Its 50-day moving average stands at $2.54, while the 200-day average is $2.52. The 12-month range spans from $1.83 to $7.98.
Analysts forecast a loss of $0.92 per share for the current fiscal year. The FDA resubmission timeline creates a near-term catalyst that could drive further volatility.
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