Mereo BioPharma Group (NASDAQ:MREO) Shares Gap Up - Should You Buy?

Mereo BioPharma Group plc (NASDAQ:MREO - Get Free Report)'s stock price gapped up before the market opened on Tuesday . The stock had previously closed at $3.39, but opened at $3.50. Mereo BioPharma Group shares last traded at $3.60, with a volume of 413,720 shares.

Wall Street Analysts Forecast Growth

Several brokerages recently weighed in on MREO. Needham & Company LLC restated a "buy" rating and issued a $7.00 price objective on shares of Mereo BioPharma Group in a report on Tuesday, November 12th. Jefferies Financial Group initiated coverage on Mereo BioPharma Group in a report on Friday, December 6th. They issued a "buy" rating and a $7.00 price objective for the company. Cantor Fitzgerald upgraded Mereo BioPharma Group to a "strong-buy" rating in a report on Sunday, December 8th. Finally, Lifesci Capital initiated coverage on Mereo BioPharma Group in a research note on Tuesday. They issued an "outperform" rating and a $10.00 price target for the company. Five investment analysts have rated the stock with a buy rating and two have given a strong buy rating to the stock. According to MarketBeat.com, the company presently has a consensus rating of "Buy" and an average price target of $7.83.

Mereo BioPharma Group Price Performance

The company has a 50-day moving average of $3.88 and a 200-day moving average of $4.01.

Institutional Inflows and Outflows

Several institutional investors and hedge funds have recently made changes to their positions in the stock. Rhumbline Advisers boosted its stake in Mereo BioPharma Group by 70.9% in the 2nd quarter. Rhumbline Advisers now owns 6,958 shares of the company's stock worth $25,000 after purchasing an additional 2,887 shares during the period. Renaissance Technologies LLC lifted its position in shares of Mereo BioPharma Group by 5.4% in the second quarter. Renaissance Technologies LLC now owns 1,762,003 shares of the company's stock worth $6,343,000 after purchasing an additional 89,694 shares in the last quarter. Rubric Capital Management LP lifted its position in Mereo BioPharma Group by 12.9% during the 2nd quarter. Rubric Capital Management LP now owns 15,307,347 shares of the company's stock worth $55,106,000 after buying an additional 1,754,350 shares in the last quarter. Integral Health Asset Management LLC grew its stake in Mereo BioPharma Group by 86.8% in the second quarter. Integral Health Asset Management LLC now owns 1,775,000 shares of the company's stock valued at $6,390,000 after purchasing an additional 825,000 shares in the last quarter. Finally, Marshall Wace LLP acquired a new stake in shares of Mereo BioPharma Group in the 2nd quarter valued at approximately $4,119,000. Institutional investors and hedge funds own 62.83% of the company's stock.

Mereo BioPharma Group Company Profile

Mereo BioPharma Group plc, a biopharmaceutical company, develops and commercializes therapeutics for the treatment of oncology and rare diseases in the United Kingdom, the United States, and internationally. It develops Etigilimab (MPH-313), an antibody T-cell immunoreceptor with Ig and ITIM domains, which is in Phase 1b clinical trial for the treatment of tumors.