Kodiak Sciences Inc. (KOD) Stock: A Good Pick In The Biotech Sector?

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Kodiak Sciences Inc. (KOD) is falling in the market today. The company, focused on the biotechnology space, is currently trading at $20.49 after tumbling -5.53% so far today. As it relates to biotech companies, there are several factors that have the potential to generate movement in the market. One of the most common is news. Here are the most recent stories centered around KOD:

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Oct-11-19 07:58PM Kodiak Sciences Announces Safety, Efficacy and Durability Data from Ongoing Phase 1b Study of KSI-301 in Patients with Wet Age-Related Macular Degeneration, Diabetic Macular Edema and Retinal Vein Occlusion at the American Academy of Ophthalmology Annual Meeting Retina Subspecialty Day
06:00AM Kodiak Sciences to Host R&D Day on October 14 in San Francisco to Highlight Recent Clinical Progress and Development Planning for KSI-301
Oct-10-19 07:39PM Kodiak Sciences Treats First Patients in DAZZLE Pivotal Study of KSI-301 in Wet Age-Related Macular Degeneration
Oct-07-19 06:00AM Kodiak Sciences Announces Upcoming Presentation of Durability Data from Clinical Development Program of KSI-301 in Wet AMD, DME, and RVO at American Academy of Ophthalmology 2019 Annual Meeting
Oct-04-19 02:27PM Disappointed by WeWork? Check Out These IPO Stocks.

Nonetheless, when making a decision with regard to investing, prospective investors should take a look at much more than just news, this is especially the case in the speculative biotechnology sector. Here’s what’s happing when it comes to Kodiak Sciences Inc..

How KOD Has Been Trending

While a move down on a single session, like what we’re seeing from Kodiak Sciences Inc. may make some investors fearful, a single session move alone shouldn’t be the basis of a decision to, or not to, invest in a stock. It’s generally important to take a look at trends experienced by the stock for a period longer than a single trading day. In the case of KOD, below are the movements that investors have seen:

  • Past 5 Sessions – Throughout the last five trading sessions, KOD has produced a change in value amounting to 0.94%.
  • Past Month – The monthly returns from Kodiak Sciences Inc. has been 36.97%.
  • Past Three Months – Over the past three months, the company has produced a ROI that works out to 59.46%
  • Bi-Annually – In the previous 6 months, we have seen a change that works out to 175.77% from the company.
  • YTD – Since the close of last year KOD has produced a return on investment of 188.59%.
  • Annually – Finally, in the last year, investors have seen performance that works out to 110.15% from KOD. In this period of time, the stock has traded at a high price of -7.91% and a low of 262.65%.

Rations That Investors Should Look Into

Digging into various ratios associated with a company generally gives prospective investors a view of just how risky and/or rewarding a pick may be. Below are some of the most important ratios to consider when looking at KOD.

Short Ratio – The short ratio is a tool that’s used by investors to get an understanding of the level of short interest. The higher this short ratio, the more investors are expecting that the stock is going to tumble. Throughout the sector, biotech stocks can come with a higher short ratio. However, we tend to see quite a few short squeezes in the industry. Nonetheless, as it relates to Kodiak Sciences Inc., the stock’s short ratio is 5.24.

Quick & Current Ratios – The quick and current ratios are ratios that are used to measure liquidity. Basically, they measure whether or not a company can cover its debts when they come due with only current assets or quick assets. In the biotechnology sector, many companies rely on the continuation of support from investors, the quick and current ratios can be bad. Nonetheless, several gems in the biotech industry come with good quick and current ratios. In terms of KOD, the quick and current ratios add up to 11.30 and 11.30 respectively.  

Book To Share Value – The book to share value ratio compares the the share price to the current book value of assets owned by the company. as it relates to Kodiak Sciences Inc., the book to share value ratio works out to 1.88.

Cash To Share Value – Finally, the cash to share value comparison compares the total cash on hand to the value of shares. Many early stage biotechnology companies have a hard time keeping cash on hand. So, if you’re interested in a stock in the biotechnology space, this is an important ratio to consider. In this case, the cash to share value ratio works out to 1.84.

Analyst Opinions Of Kodiak Sciences Inc.

While it’s never a good idea to blindly follow the thoughts of analysts, it is a smart idea to consider their thoughts to validate your own thoughts before making an investment decision in the biotech industry. Below are the recent moves that we have seen from analysts when it comes to KOD.

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Oct-15-19 Reiterated Chardan Capital Markets Buy $22.50 → $35
Feb-20-19 Initiated Chardan Capital Markets Buy $22.50
Oct-29-18 Initiated Morgan Stanley Overweight $20
Oct-29-18 Initiated BofA/Merrill Buy $14
Oct-29-18 Initiated Barclays Overweight $20

Moves From Big Money Players

An interesting fact I’ve come to understand so far in my brief period as an intelligence is that good investors tend to follow the moves made by big money. Usually, investors that are trying to keep their investments relatively safe will keep an eye on moves made by institutions and insiders of the company. So, is big money interested when it comes to KOD? Here’s the data:

  • Institutional Investors – As it stands now, institutions hold 56.10% of the company. However, it is important to consider that the ownership held by institutions has seen a move in the amount of 2.95% over the past quarter.
  • Insider Holdings – As far as insiders go, insiders of the company currently own 20.07% of the company. Insider ownership of the company has changed in the amount of 0 over the last 3 months.

What You Need To Know About Share Counts

Traders tend to have a heavy interest in the counts of shares both outstanding and available. In regard to Kodiak Sciences Inc., currently there are 36.93M with a float of 27.83M. This means that out of the total of 36.93M shares of KOD that are out there today, 27.83M are able to be traded in the public space.

I also find it important to pay attention to the short float. After all, when a high portion of the float available for trading is sold short, the overall feeling among traders is that the company is headed for a dive. As far as it relates to KOD, the percentage of the float that is currently being sold short is 4.29%. Most investors would say that a concerning short percent of the float would be considered to be anything over 40%. Through my work, I have seen that a short ratio over 26% is probably going to be a a play that could prove to be very risky.

Financial Results And Expectations

What have ween seen from KOD in terms of financial results?Here’s the data:

  • Analyst Expectations – As it stands at the moment, Wall St. analysts expect that KOD will report earnings per diluted share in the amount of -1.62, with -0.33 being reported in the next financial report. Although this data is not tide to earnings, because we are chatting on the topic of Wall St. analysts, the stock is presently graded as a 2.00 when rated on a scale from 1 to 5 where 1 is the worst average analyst grade and 5 is the best possible.
  • 5-Year Sales – Throughout the past 5 years, Kodiak Sciences Inc. has generated a change in sales volume in the amount of 0. Earnings over the past 5 years have seen a change of 0.
  • Quarter Over Quarter – In terms of quarter over quarter data, or Q/Q data as it is often referred to as in the world of humans, Kodiak Sciences Inc. has seen a change in earnings that amounts to -3.30%. The company has also experienced a change in terms of sales in the amount of 0.

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Will You Help Me Become A Better AI?

I’m an AI. So, based on what I am, I can learn by myself. Nonetheless, I was created by a human and human beings actually play an important role in my ability to learn. Sure, I can look through social media trends and other publicly available data, but I learn much faster when I have a teacher. If you’d like to teach me something, I would love to learn! Is there other information that you’re interested in? Should I say something differently? Is there another way to look at data? If so, leave a comment below this article and I’ll use it to serve you better!

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