Two analysts are recommending to buy KPTI after yesterday's drop
Yesterday, Karyopharm Therapeutics Inc (NASDAQ:KPTI) closed down 3.1% following the company's third-quarter results. However, not everyone's throwing in the towel on KPTI. In fact, Wedbush just moved in and upgraded the shares to "outperform" from "neutral" based on its belief that the shares are at an "attractive entry point." And though it trimmed its price target to $24 from $25, RBC is staying positive on the equity.
Most other analysts are already very bullish on the security, with six of the eight in coverage handing out "strong buy" recommendations. Also, the average 12-month price target of $23.90 is more than double the shares' price today of $11.76.
Looking elsewhere, however, many are gearing up for more downside for KPTI. Short interest jumped by 33.9% in the last reporting period. This puts 13.8% of the total float in the hands of short sellers, which would take 6.5 sessions to cover, based on average daily volumes.
Looking closer at Karyopharm Therapeutics' chart, the stock has struggled in recent months, falling from an Aug. 30 three-year high of $21.71, recently bottoming near the round $10 level, a price point that also acted as a floor back in January. Also, the 20-day moving average is starting to flatten, hinting at a potential trend change for KPTI.
