However, both stocks are staring up at potential speed bumps
The shares of Synlogic Inc (NASDAQ:SYBX) and Ardelyx Inc (NASDAQ:ARDX) are higher today, after the penny stocks scored upbeat analyst notes. Citigroup upgraded drug concern SYBX to "buy" from "neutral," waxing optimistic on the company's Synthetic Biotic medicine, with data due by the end of the year. ARDX stock, meanwhile, earned a new "buy" rating and $7 price target -- a 70% premium to Thursday's close -- at Jefferies.
Synlogic shares were last seen 9.3% higher to trade at $8.59. The stock is on pace to end north of its 20-day moving average for the first time since late July, but still remains nearly 10% lower month-to-date, after touching an all-time low of $7.27 on Aug. 13. Further, SYBX could run into a potential hurdle in the $9-$9.50 area, which acted as support in the first half of the year.
Meanwhile, it looks like Citigroup is late to the party, as most analysts are already in the bullish camp for Synlogic. The six brokerage firms covering SYBX consider it worthy of a "buy" or better endorsement, and the average 12-month price target of $17.83 is more than double the security's current price.
Ardelyx stock is up 2.4% to trade at $4.25, but has stalled around its formerly supportive 80-day moving average. This trendline was briefly toppled in mid-May, but subsequently breached again after the biotech priced a public stock offering at $4 per share.
Again, most analysts are already in the bullish camp. All four of the brokerage firms following ARDX consider it a "buy" or better, and the average 12-month price target of $12.29 is nearly triple the equity's current price.