Day one Biopharmaceuticals officer sells $24,574 in stock

Lauren Merendino, the Chief Commercial Officer of Day One Biopharmaceuticals, Inc. (NASDAQ:DAWN), recently sold shares of the company’s common stock valued at approximately $24,574. The transactions, which occurred on May 16, 2025, involved the sale of 3,927 shares at a weighted average price of $6.2579 per share. The stock currently trades at $6.48, near its 52-week low of $6.08, though InvestingPro analysis suggests the stock may be undervalued at current levels.

The sale was conducted to cover tax liabilities related to the settlement of Restricted Stock Units (RSUs), as noted in the filing. Following this transaction, Merendino retains direct ownership of 35,161 shares. The company maintains impressive gross profit margins of nearly 95%, according to InvestingPro data, which offers 8 additional key insights about DAWN’s financial health and market position.

In addition to the sale, Merendino also executed multiple transactions on May 15, 2025, acquiring a total of 10,536 shares through the settlement of RSUs. These RSUs were converted into common stock at no cost. The stock has experienced significant pressure, declining over 53% in the past six months, though the company maintains a strong balance sheet with more cash than debt.

In other recent news, Day One Biopharmaceuticals reported its first-quarter 2025 earnings, revealing an earnings per share (EPS) of -0.35, which surpassed the forecasted -0.42. Despite this positive earnings surprise, the company faced a revenue shortfall, posting $30.76 million against a forecast of $31.34 million. Revenue grew by 11% compared to the previous quarter, driven by sales of its flagship product, Ojemda, which generated $30.5 million. The company maintains a strong cash position with $473 million and no debt, positioning it well for future growth.

In analyst updates, TD Cowen reiterated a Buy rating for Day One Biopharmaceuticals, with a price target of $34.00, emphasizing the potential for significant growth driven by strategic focus and market expansion. The firm highlighted the importance of expanding into first-line treatments and increasing physician education and treatment adoption. Day One’s management expressed confidence in the company’s growth prospects, aligning with TD Cowen’s positive outlook.

These developments reflect the company’s ongoing efforts to strengthen its market position and expand its treatment offerings. The company continues to focus on expanding its market share in the pediatric low-grade glioma space, specifically targeting the BRAF fusion patient population. As Day One Biopharmaceuticals advances its clinical development pipeline, it remains optimistic about its future growth trajectory.

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