Eric J. Hyllengren, the Executive Vice President, Chief Financial Officer, and Chief Operating Officer of Atara Biotherapeutics, Inc. (NASDAQ:ATRA), recently sold a portion of his holdings in the company. According to a Form 4 filing with the Securities and Exchange Commission, Hyllengren sold 1,364 shares of Atara Biotherapeutics common stock. The shares were sold at a weighted average price of $11.198, amounting to a total transaction value of $15,274.
The sale was executed on November 18, 2024, as part of an automatic transaction to satisfy tax withholding obligations related to the vesting of previously granted restricted stock units. This transaction was conducted under a sale-to-cover provision in the award agreement. Following the sale, Hyllengren retains ownership of 23,392 shares of Atara Biotherapeutics stock.
In other recent news, Atara Biotherapeutics has seen significant developments. The biopharmaceutical company secured $36 million in a stock sale, issuing common stock and pre-funded warrants to extend its cash runway into 2027. This move supports the anticipated U.S. approval of its T-cell therapy product, tab-cel®, and the progress of ATA3219.
In addition, Atara announced the appointment of Eric Hyllengren as the new Chief Operating Officer. Hyllengren, who also serves as Chief Financial Officer, has been with Atara since 2018 and his promotion comes with an increase in his annual base salary to $520,000.
Stifel, a financial services firm, raised its price target for Atara Bio shares to $10.00, maintaining a Hold rating. This revision reflects Atara's confirmation of its timeline for releasing data on ATA3219 for non-Hodgkin lymphoma in 2025, and initial data on Lupus Nephritis expected by mid-2025.
Finally, Mizuho (NYSE:MFG) Securities upgraded Atara Biotherapeutics from a Neutral to an Outperform rating, despite reducing the price target to $18 from $25, maintaining a positive outlook on the company's core T-cell technology. These are the recent developments for Atara Biotherapeutics.
InvestingPro Insights
While Eric J. Hyllengren's recent stock sale was primarily for tax purposes, it's worth examining Atara Biotherapeutics' current financial position to provide context for investors. According to InvestingPro data, Atara's market capitalization stands at $60.43 million, reflecting its status as a small-cap biotech company.
Despite the recent insider sale, there are some positive indicators for Atara. An InvestingPro Tip notes that analysts anticipate sales growth in the current year, which aligns with the company's impressive revenue growth of 2,111.34% over the last twelve months. This substantial increase in revenue could be a sign of the company's products gaining traction in the market.
However, investors should be aware of some challenges. Another InvestingPro Tip indicates that Atara is quickly burning through cash, which is not uncommon for biotech companies in development stages but requires careful monitoring. Additionally, the company is not profitable over the last twelve months, with a negative gross profit margin of -79.58%.
The stock's recent performance has been mixed. While Atara has seen a strong return of 48.75% over the last three months, it has also experienced a significant 25.11% drop in the past week. This volatility underscores the speculative nature of investing in early-stage biotech companies.
For investors seeking a more comprehensive analysis, InvestingPro offers 11 additional tips for Atara Biotherapeutics, providing a deeper understanding of the company's financial health and market position.
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