Harrow (NASDAQ:HROW) Shares Gap Down on Disappointing Earnings

Shares of Harrow, Inc. (NASDAQ:HROW) gapped down before the market opened on Tuesday following a weaker than expected earnings announcement. The stock had previously closed at $53.59, but opened at $44.65. Harrow shares last traded at $39.47, with a volume of 1,067,840 shares trading hands.

The company reported $0.17 EPS for the quarter, missing the consensus estimate of $0.40 by ($0.23). Harrow had a negative net margin of 1.89% and a positive return on equity of 36.76%. The firm had revenue of $89.09 million during the quarter, compared to analyst estimates of $88.42 million.

Wall Street Analyst Weigh In

Several equities analysts have recently issued reports on HROW shares. William Blair reiterated an “outperform” rating on shares of Harrow in a research note on Tuesday. HC Wainwright lifted their target price on Harrow from $64.00 to $69.00 and gave the company a “buy” rating in a research report on Wednesday, November 12th. Zacks Research downgraded Harrow from a “strong-buy” rating to a “hold” rating in a research note on Monday, February 2nd. Weiss Ratings restated a “sell (e+)” rating on shares of Harrow in a research note on Thursday, January 22nd. Finally, Cantor Fitzgerald reaffirmed an “overweight” rating and set a $94.00 price target on shares of Harrow in a report on Tuesday, November 11th. Eight analysts have rated the stock with a Buy rating, one has issued a Hold rating and one has assigned a Sell rating to the company. According to data from MarketBeat, Harrow has a consensus rating of “Moderate Buy” and an average target price of $71.43.

Institutional Inflows and Outflows

Large investors have recently added to or reduced their stakes in the business. Blackhawk Capital Partners LLC bought a new stake in shares of Harrow in the 3rd quarter valued at $5,272,000. Divisadero Street Capital Management LP acquired a new position in Harrow in the second quarter valued at $4,293,000. Brookstone Capital Management boosted its position in Harrow by 232.5% during the third quarter. Brookstone Capital Management now owns 45,775 shares of the company’s stock valued at $2,205,000 after acquiring an additional 32,009 shares during the last quarter. Geode Capital Management LLC boosted its position in Harrow by 4.7% during the second quarter. Geode Capital Management LLC now owns 810,803 shares of the company’s stock valued at $24,765,000 after acquiring an additional 36,724 shares during the last quarter. Finally, Calamos Advisors LLC acquired a new stake in Harrow during the 3rd quarter worth about $1,088,000. Institutional investors own 72.76% of the company’s stock.

Harrow Stock Performance

The stock has a market capitalization of $1.43 billion, a P/E ratio of -227.05 and a beta of 0.05. The company has a current ratio of 2.72, a quick ratio of 2.52 and a debt-to-equity ratio of 5.21. The company has a 50-day moving average price of $48.41 and a two-hundred day moving average price of $43.79.

About Harrow

Harrow Health, Inc (NASDAQ: HROW) is a U.S.-based commercial-stage biopharmaceutical company specializing in ophthalmic therapeutics and diagnostics. The company focuses on the development, manufacturing and distribution of proprietary, generic and branded eye care products designed to treat a range of ocular conditions, including glaucoma, ocular hypertension, dry eye disease and other anterior segment disorders.

Through its wholly owned affiliate ImprimisRx, Harrow Health offers a direct-to-physician model for customized formulations as well as low-cost generic alternatives.