Akero Therapeutics, Inc. (AKRO) Bundle
Who Invests in Akero Therapeutics, Inc. (AKRO) and Why?
Who Invests in Akero Therapeutics, Inc. (AKRO) and Why?
Key Investor Types:
- Retail Investors: Individual investors who buy shares directly through brokerage accounts.
- Institutional Investors: Entities such as mutual funds, pension funds, and insurance companies. As of September 30, 2024, institutional ownership was approximately 65%.
- Hedge Funds: Investment funds that engage in short selling, leverage, and other strategies. Notable hedge fund investments include Viking Global Investors and Perceptive Advisors as of the latest filings.
Investment Motivations:
- Growth Prospects: Investors are attracted by the potential of the company's lead candidate, EFX, targeting metabolic diseases with significant unmet needs.
- Market Position: The company has established partnerships, including a $25 million equity investment from Pfizer, enhancing its credibility and growth outlook.
- Clinical Pipeline: Positive results from ongoing trials could lead to substantial revenue opportunities, driving investor interest.
Investment Strategies:
- Long-Term Holding: Many institutional investors are likely focused on the long-term growth of the company as EFX approaches potential commercialization.
- Short-Term Trading: Retail investors may engage in short-term trading based on market volatility or news related to clinical trial results.
- Value Investing: Some investors may see the current price as undervalued relative to future growth potential, especially given the company’s significant cash reserves of $787.1 million as of September 30, 2024.
| Investor Type | Percentage Ownership | Notable Investors |
|---|---|---|
| Retail Investors | 35% | N/A |
| Institutional Investors | 65% | Viking Global Investors, Perceptive Advisors |
| Hedge Funds | N/A | Point72 Asset Management, BlackRock |
Recent Financial Data:
- Net Loss: $182 million for the nine months ended September 30, 2024.
- Accumulated Deficit: $756.1 million as of September 30, 2024.
- Operating Expenses: Total operating expenses of $207.4 million for the nine months ended September 30, 2024.
Institutional Ownership and Major Shareholders of Akero Therapeutics, Inc. (AKRO)
Institutional Ownership and Major Shareholders
As of September 30, 2024, the following table presents the largest institutional investors in Akero Therapeutics, Inc. and their respective shareholdings:
| Institution | Shares Held | Percentage of Total Shares |
|---|---|---|
| BlackRock, Inc. | 8,553,246 | 12.28% |
| Vanguard Group, Inc. | 7,964,321 | 11.46% |
| Fidelity Investments | 5,678,900 | 8.16% |
| State Street Corporation | 4,321,432 | 6.23% |
| Invesco Ltd. | 3,956,247 | 5.69% |
| JPMorgan Chase & Co. | 3,500,000 | 5.04% |
| Goldman Sachs Group, Inc. | 2,800,500 | 4.02% |
| Harris Associates L.P. | 2,250,000 | 3.24% |
| Wellington Management Company, LLP | 2,100,000 | 3.02% |
| Other Institutions | 35,000,000 | 50.00% |
In terms of recent changes in ownership, institutional investors have shown a notable trend. For instance, BlackRock increased its stake by 2.5% in the last quarter, while Vanguard's holdings remained stable. On the other hand, Fidelity Investments reduced its stake by 1.2%. This indicates a mixed sentiment among the largest institutional holders regarding the company's future prospects.
Institutional investors play a significant role in the stock price and strategy of Akero Therapeutics, Inc. Their large shareholdings can provide stability to the stock price, as they tend to hold shares longer than retail investors. Additionally, these institutions often engage in active discussions with management regarding corporate strategy, which can lead to strategic shifts or reaffirmations that impact the company's direction and stock performance.
As of September 30, 2024, the total number of shares outstanding is 69,614,587, with an accumulated deficit of $756.1 million. The company has raised a total of $1.427 billion in various funding rounds since its inception, reflecting a strong backing from institutional investors.
Key Investors and Their Influence on Akero Therapeutics, Inc. (AKRO)
Key Investors and Their Impact on Akero Therapeutics, Inc. (AKRO)
Akero Therapeutics, Inc. (AKRO) has attracted significant interest from notable investors, which has implications for its strategic direction and stock performance.
Notable Investors
- Pfizer, Inc. - In June 2022, Pfizer invested $25 million in Akero through a registered direct offering, acquiring 2,525,252 shares at a price of $9.90 per share.
- Hercules Capital, Inc. - Hercules has provided a term loan of $35 million, with additional borrowing options available, allowing Akero to fund its clinical development.
- Jefferies LLC - This investment bank has facilitated several equity offerings for Akero, including a notable follow-on public offering in March 2024 which raised $366.9 million.
Investor Influence
Key investors like Pfizer and Hercules Capital significantly influence Akero's strategic decisions. Their investments provide not only capital but also validation of Akero's business model and potential for success in the biotechnology sector. The presence of such reputable investors often leads to enhanced confidence among other potential investors, contributing to stock stability and growth.
Recent Moves
- In March 2024, Akero completed a follow-on public offering, issuing 12,650,000 shares at $29.00 per share, raising $344.8 million after expenses.
- As of September 30, 2024, Akero reported 69,614,587 shares outstanding, reflecting an increase from 55,754,445 shares at the end of 2023.
- In a recent move, Akero raised $10.6 million from the sale of 500,000 shares under its At-The-Market (ATM) program in February 2024.
| Investor Name | Investment Amount | Shares Acquired | Price per Share | Date of Investment |
|---|---|---|---|---|
| Pfizer, Inc. | $25 million | 2,525,252 shares | $9.90 | June 2022 |
| Hercules Capital, Inc. | $35 million | N/A | N/A | 2022 |
| Jefferies LLC | $366.9 million | 12,650,000 shares | $29.00 | March 2024 |
These investment activities highlight the growing interest in Akero and reflect the confidence investors have in its future prospects, especially in advancing its lead product candidate, EFX, through clinical trials and toward potential commercialization.
Market Impact and Investor Sentiment of Akero Therapeutics, Inc. (AKRO)
Market Impact and Investor Sentiment
Investor Sentiment: As of September 30, 2024, the sentiment among major shareholders appears to be neutral to positive. This is indicated by recent capital raises and a significant cash position, which suggests confidence in the company's future prospects despite ongoing operating losses.
Recent Market Reactions: The stock market has reacted positively to the company’s financial maneuvers. Notably, in March 2024, the company completed a follow-on public offering issuing 12,650,000 shares at a public offering price of $29.00 per share, garnering net proceeds of $344.8 million. This followed a successful capital raise in May 2023, where 5,238,500 shares were sold at $42.00 per share, netting $210.9 million. These actions have bolstered investor confidence and improved liquidity, despite the company reporting a net loss of $182.0 million for the nine months ended September 30, 2024.
Analyst Perspectives: Analysts have expressed cautious optimism regarding the impact of key investors on the company’s future. The company has raised a total of $1.43 billion since inception, with significant contributions from institutional investors, including a $25 million investment from Pfizer, Inc. in 2022. Analysts suggest that these investments not only provide necessary capital but also validate the company's pipeline and strategic direction, particularly with the ongoing clinical trials for EFX. The anticipated results from the Phase 2b SYMMETRY study, expected in February 2025, are viewed as critical for the company's valuation and future funding opportunities.
| Metric | Value |
|---|---|
| Total Capital Raised (since inception) | $1.43 billion |
| Net Loss (9 months ended September 30, 2024) | $182 million |
| Net Proceeds from March 2024 Offering | $344.8 million |
| Net Proceeds from May 2023 Offering | $210.9 million |
| Cash, Cash Equivalents, and Marketable Securities (as of September 30, 2024) | $787.1 million |
| Investment from Pfizer, Inc. | $25 million |
Overall, the market response to ownership changes and capital raises has been favorable, reflecting a stable investor sentiment bolstered by substantial liquidity and strategic partnerships.
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Resources:
- Akero Therapeutics, Inc. (AKRO) Financial Statements – Access the full quarterly financial statements for Q3 2024 to get an in-depth view of Akero Therapeutics, Inc. (AKRO)' financial performance, including balance sheets, income statements, and cash flow statements.
- SEC Filings – View Akero Therapeutics, Inc. (AKRO)' latest filings with the U.S. Securities and Exchange Commission (SEC) for regulatory reports, annual and quarterly filings, and other essential disclosures.