moomoo ID:0
Log Out
  • English
  • 中文繁体
  • 中文简体

Cathie Wood Is Buying Up Red-Hot Fate Therapeutics (FATE) Stock

InvestorPlace ·  08/13/2022 04:09

InvestorPlace - Stock Market News, Stock Advice & Trading Tips

Source: ra2 studio/Shutterstock

Shares of Fate Therapeutics (NASDAQ:FATE) stock are up 3% following a massive purchase by two of Cathie Wood's exchange-traded funds (ETFs). Fate is a clinical stage biotechnology company that develops cellular immunotherapies for patients with cancer and immune disorders.

Wood's purchases come about a week after Fate reported its second-quarter earnings. For the period, revenue tallied in at $18.5 million, up 38% year-over-year (YOY). Earnings per share (EPS) came in at a loss of 79 cents, beating the consensus analyst estimate of a loss of 86 cents.

In the release, the company also reported treating its first patient with its CAR MICA/B NK cell product candidate for solid tumors. Fate expanded its second solid tumor program collaboration with Ono Pharmaceutical (OTCMKTS:OPHLY) as well.

With that in mind, let's get into the details of the recent Ark Invest purchases.

FATE Stock: Cathie Wood Buys Shares

Yesterday, the ARK Innovation ETF (NYSEARCA:ARKK) reported purchasing 478,756 shares of FATE stock. On the same day, the ARK Genomic Revolution ETF (BATS:ARKG) also purchased 149,304 shares.

It seems that Cathie Wood has had a change of heart; ARKK sold 307,711 shares of FATE on Aug. 8, just days before the latest purchase. After the two purchases, FATE stock is now the 17th largest holding among all Ark ETFs out of 51 total positions. In ARKG, it is now the seventh-largest holding out of 49 total.

These recent purchases are Ark's first since Feb. 25. While Fate still remains unprofitable, the seven proprietary cell therapy candidates in the company's pipeline offer investors a chance to buy in on future potential.

So, Ark is on board with FATE stock. But how does the rest of Wall Street view Fate Therapeutics?

Analysts Chime In on Fate Therapeutics

  • Mizuho Securities has a price target of $109 for FATE stock. Analyst Mara Goldstein raised her price target after Fate expanded its collaboration with Ono. Goldstein views the extended collaboration as a sign of progress. As part of the collaboration, Fate will receive research funding, clinical and regulatory milestone payments and the "right to jointly develop and commercialize in the US and EU."
  • BMO Capital has a price target of $47. Analyst Etzer Darout is a big fan of the company's iPSC platform due to its "versatile off-the-shelf products" and unique position in the cell therapy space. Still, the analyst has questions on whether engineered NK cells can demonstrate convenience and safety for a hospital setting. Darout believes Fate's current valuation offers "meaningful upside" and hopes to hear more updates during the second half of the year.
  • Finally, FATE stock has an average price target of $76.30 among 20 firms with coverage of shares.

On the date of publication, Eddie Pan did not hold (either directly or indirectly) any positions in the securities mentioned in this article. The opinions expressed in this article are those of the writer, subject to the Publishing Guidelines.

The post Cathie Wood Is Buying Up Red-Hot Fate Therapeutics (FATE) Stock appeared first on InvestorPlace.

This presentation is for informational and educational use only and is not a recommendation or endorsement of any particular investment or investment strategy. Investment information provided in this content is general in nature, strictly for illustrative purposes, and may not be appropriate for all investors. It is provided without respect to individual investors’ financial sophistication, financial situation, investment objectives, investing time horizon, or risk tolerance. You should consider the appropriateness of this information having regard to your relevant personal circumstances before making any investment decisions. Past investment performance does not indicate or guarantee future success. Returns will vary, and all investments carry risks, including loss of principal. Moomoo makes no representation or warranty as to its adequacy, completeness, accuracy or timeliness for any particular purpose of the above content.

Moomoo is a financial information and trading app offered by Moomoo Technologies Inc.
In the U.S., investment products and services available through the moomoo app are offered by Moomoo Financial Inc., a broker-dealer registered with the U.S. Securities and Exchange Commission (SEC) and a member of Financial Industry Regulatory Authority (FINRA)/Securities Investor Protection Corporation (SIPC).
In Singapore, investment products and services available through the moomoo app are offered through Moomoo Financial Singapore Pte. Ltd. regulated by the Monetary Authority of Singapore (MAS). Moomoo Financial Singapore Pte. Ltd. is a Capital Markets Services Licence (License No. CMS101000) holder with the Exempt Financial Adviser Status. This advertisement has not been reviewed by the Monetary Authority of Singapore.
In Australia, financial products and services available through the moomoo app are provided by Futu Securities (Australia) Ltd, an Australian Financial Services Licensee (AFSL No. 224663) regulated by the Australian Securities and Investment Commission (ASIC). Please read and understand our Financial Services Guide, Terms and Conditions, Privacy Policy and other disclosure documents which are available on our websites and Moomoo Technologies Inc., Moomoo Financial Inc., Moomoo Financial Singapore Pte. Ltd. and Futu Securities (Australia) Ltd are affiliated companies.