Avid Bioservices (NASDAQ:CDMO) Sees Strong Trading Volume - Should You Buy?

Avid Bioservices, Inc. (NASDAQ:CDMO - Get Free Report) shares saw strong trading volume on Wednesday . 697,455 shares traded hands during trading, a decline of 36% from the previous session's volume of 1,088,705 shares.The stock last traded at $12.38 and had previously closed at $12.42.

Wall Street Analysts Forecast Growth

Several research analysts have weighed in on the stock. Craig Hallum downgraded shares of Avid Bioservices from a "strong-buy" rating to a "hold" rating in a report on Thursday, November 7th. Royal Bank of Canada restated a "sector perform" rating and set a $12.50 price objective (up previously from $12.00) on shares of Avid Bioservices in a report on Thursday, November 7th. William Blair restated a "market perform" rating on shares of Avid Bioservices in a report on Thursday, November 7th. Finally, Stephens downgraded shares of Avid Bioservices from a "strong-buy" rating to a "hold" rating in a report on Wednesday, December 4th. One analyst has rated the stock with a sell rating and four have given a hold rating to the company. According to data from MarketBeat, Avid Bioservices has an average rating of "Hold" and a consensus target price of $12.25.

Avid Bioservices Stock Performance

The company has a debt-to-equity ratio of 3.58, a quick ratio of 1.05 and a current ratio of 1.30. The stock has a market cap of $792.50 million, a P/E ratio of -5.18 and a beta of 1.40. The company's 50 day moving average price is $12.29 and its 200-day moving average price is $10.87.

Insider Activity at Avid Bioservices

In related news, CEO Nicholas Stewart Green sold 100,000 shares of the stock in a transaction dated Monday, December 23rd. The shares were sold at an average price of $12.28, for a total transaction of $1,228,000.00. Following the completion of the transaction, the chief executive officer now owns 51,653 shares in the company, valued at approximately $634,298.84. This represents a 65.94 % decrease in their ownership of the stock. The transaction was disclosed in a filing with the Securities & Exchange Commission, which can be accessed through this link. Also, insider Richard A. Richieri sold 2,283 shares of the stock in a transaction dated Friday, January 10th. The shares were sold at an average price of $12.37, for a total transaction of $28,240.71. Following the transaction, the insider now owns 49,535 shares of the company's stock, valued at approximately $612,747.95. The trade was a 4.41 % decrease in their position. The disclosure for this sale can be found here. Over the last 90 days, insiders sold 349,850 shares of company stock worth $4,288,259. 3.05% of the stock is owned by company insiders.

Hedge Funds Weigh In On Avid Bioservices

A number of institutional investors and hedge funds have recently added to or reduced their stakes in CDMO. Bank of New York Mellon Corp boosted its position in Avid Bioservices by 8.3% during the second quarter. Bank of New York Mellon Corp now owns 260,313 shares of the biopharmaceutical company's stock worth $1,859,000 after purchasing an additional 19,960 shares during the period. Principal Financial Group Inc. bought a new position in Avid Bioservices during the second quarter worth about $80,000. Rhumbline Advisers boosted its position in Avid Bioservices by 6.1% during the second quarter. Rhumbline Advisers now owns 94,682 shares of the biopharmaceutical company's stock worth $676,000 after purchasing an additional 5,408 shares during the period. American Century Companies Inc. boosted its position in Avid Bioservices by 5,631.6% during the second quarter. American Century Companies Inc. now owns 726,193 shares of the biopharmaceutical company's stock worth $5,185,000 after purchasing an additional 713,523 shares during the period. Finally, AltraVue Capital LLC boosted its position in Avid Bioservices by 7.6% during the second quarter. AltraVue Capital LLC now owns 3,395,263 shares of the biopharmaceutical company's stock worth $24,242,000 after purchasing an additional 239,343 shares during the period. Institutional investors own 97.16% of the company's stock.

Avid Bioservices Company Profile

Avid Bioservices, Inc operates as a contract development and manufacturing organization for the biotechnology and biopharmaceutical industries in the United States. It provides process development and current good manufacturing practice clinical and commercial manufacturing services of biologics, including clinical and commercial drug substance manufacturing, bulk packaging, release and stability testing, regulatory submission and support, upstream and downstream development and optimization, analytical methods development, cell line development, testing, and characterization services.