S&P 500 may face selling pressure as systematic funds reach full exposure
CAMBRIDGE, MA—William D. Baird III, President and CEO of 2seventy bio, Inc. (NASDAQ:TSVT), has reported the sale of company shares totaling $95,240, according to a recent SEC filing. The sales occurred on January 3 and January 6, with shares sold at prices ranging from $2.7785 to $2.9359. The transactions come as the company's stock, currently trading at $2.82, has declined 10.2% year-to-date. According to InvestingPro analysis, the company appears undervalued based on its Fair Value metrics.
The transactions involved the sale of 31,718 shares on January 3 and an additional 763 shares on January 6. The sales were made to cover tax withholding obligations related to the vesting of restricted stock units. Following these transactions, Baird retains ownership of 862,126 shares of 2seventy bio. The company, with a market capitalization of $136 million, maintains strong liquidity with a current ratio of 4.95, though InvestingPro analysis reveals 12 additional key insights about the company's financial health and prospects.
These sales were conducted under normal trading conditions, and the prices reported are weighted averages, with shares sold in multiple transactions within the specified price ranges. 2seventy bio, based in Cambridge, Massachusetts, is known for its work in pharmaceutical preparations. The company faces significant challenges ahead, with analysts forecasting a revenue decline for the current year.
In other recent news, 2seventy bio has reported significant growth in its third quarter with a strategic focus. The company saw a 42% increase in U.S. revenues for their CAR-T therapy Abecma, reaching $77 million, attributed to expansion and FDA approval in the third-line treatment setting. 2seventy bio also announced a reduction in operating expenses and a streamlined focus on Abecma, following the sale of other R&D pipelines, moving towards breakeven operations potentially as early as 2025.
These recent developments include the company's close collaboration with Bristol-Myers Squibb (NYSE:BMY) to optimize Abecma's cost structure and improve operating margin cash flow. The company has projected U.S. revenues for Abecma to be between $240 million to $250 million for 2024 and anticipates further reduction in operating expenses. Despite expected challenges in the fourth quarter due to increased competition and reduced CAR-T infusion schedules, demand for Abecma remains steady with less than 25% market penetration in the third-line setting, indicating potential for growth.
This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.