Mizuho Downgrades Terns Pharmaceuticals (NASDAQ:TERN) to Hold

Terns Pharmaceuticals (NASDAQ:TERN) was downgraded by analysts at Mizuho from a “strong-buy” rating to a “hold” rating in a note issued to investors on Friday,Zacks.com reports.

Several other equities analysts have also recently issued reports on TERN. UBS Group upgraded shares of Terns Pharmaceuticals to a “strong-buy” rating in a research note on Thursday, December 4th. Jefferies Financial Group restated a “buy” rating and set a $70.00 price target on shares of Terns Pharmaceuticals in a research report on Wednesday, December 10th. Oppenheimer lifted their price objective on shares of Terns Pharmaceuticals from $28.00 to $58.00 and gave the company an “outperform” rating in a report on Tuesday, December 9th. Wall Street Zen downgraded shares of Terns Pharmaceuticals from a “hold” rating to a “sell” rating in a research report on Saturday, March 21st. Finally, Barclays increased their target price on shares of Terns Pharmaceuticals from $36.00 to $56.00 and gave the stock an “overweight” rating in a research note on Tuesday, December 9th. One research analyst has rated the stock with a Strong Buy rating, eight have assigned a Buy rating, four have issued a Hold rating and one has issued a Sell rating to the company. According to MarketBeat.com, the stock has a consensus rating of “Moderate Buy” and a consensus price target of $56.90.

Terns Pharmaceuticals Trading Down 0.5%

Terns Pharmaceuticals stock opened at $52.92 on Friday. The firm has a market cap of $5.49 billion, a PE ratio of -51.38 and a beta of -0.31. Terns Pharmaceuticals has a 12 month low of $1.87 and a 12 month high of $53.19. The stock’s 50 day simple moving average is $41.28 and its two-hundred day simple moving average is $29.21.

Insider Transactions at Terns Pharmaceuticals

In other Terns Pharmaceuticals news, insider Emil Kuriakose sold 1,155 shares of the business’s stock in a transaction that occurred on Friday, January 2nd. The stock was sold at an average price of $38.57, for a total transaction of $44,548.35. Following the completion of the sale, the insider directly owned 50,365 shares in the company, valued at approximately $1,942,578.05. The trade was a 2.24% decrease in their position. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is accessible through this hyperlink. Also, CEO Amy L. Burroughs sold 71,339 shares of the stock in a transaction that occurred on Monday, January 5th. The shares were sold at an average price of $38.10, for a total value of $2,718,015.90. Following the transaction, the chief executive officer directly owned 138,976 shares of the company’s stock, valued at $5,294,985.60. The trade was a 33.92% decrease in their position. The SEC filing for this sale provides additional information. Insiders sold a total of 170,409 shares of company stock worth $6,563,769 over the last ninety days. 1.50% of the stock is currently owned by corporate insiders.

Institutional Trading of Terns Pharmaceuticals

Institutional investors have recently made changes to their positions in the company. AlphaQuest LLC raised its stake in Terns Pharmaceuticals by 9,088,200.0% in the 3rd quarter. AlphaQuest LLC now owns 90,883 shares of the company’s stock valued at $683,000 after purchasing an additional 90,882 shares during the last quarter. Dynamic Technology Lab Private Ltd boosted its stake in Terns Pharmaceuticals by 237.2% during the 3rd quarter. Dynamic Technology Lab Private Ltd now owns 66,576 shares of the company’s stock worth $500,000 after purchasing an additional 46,831 shares during the last quarter. Commodore Capital LP purchased a new stake in shares of Terns Pharmaceuticals during the third quarter worth $42,807,000. Franklin Resources Inc. purchased a new stake in shares of Terns Pharmaceuticals during the second quarter worth $4,765,000. Finally, Integral Health Asset Management LLC raised its position in shares of Terns Pharmaceuticals by 35.7% in the third quarter. Integral Health Asset Management LLC now owns 950,000 shares of the company’s stock valued at $7,134,000 after buying an additional 250,000 shares during the last quarter. 98.26% of the stock is owned by institutional investors and hedge funds.

Key Terns Pharmaceuticals News

Here are the key news stories impacting Terns Pharmaceuticals this week:

• Positive Sentiment: Merck agreed to acquire Terns for about $6.7 billion in cash, bringing a late‑stage leukemia candidate into MRK’s oncology lineup—this deal narrative is the primary bullish catalyst supporting a sharp rally toward the $53 offer price. Merck to Buy Terns for $6.7 Billion to Grow in Blood Cancers
• Positive Sentiment: Analysts and news outlets emphasize Merck’s acquisition as strategic—adding a leukemia asset as Keytruda faces patent pressure—supporting upside sentiment for TERN shares. Merck to Boost Oncology Pipeline With $6.7B Terns Buyout, Stock Up
• Positive Sentiment: Market commentary notes a possible bidding‑war dynamic after the Merck approach, which can lift the stock above the announced offer if other suitors emerge. Merck’s deal for Terns sparks debate over a possible biotech bidding war
• Positive Sentiment: Market reaction has pushed TERN to a new 52‑week high as investors price in the deal and potential takeover premium. Terns Pharmaceuticals (NASDAQ:TERN) Hits New 52-Week High – Still a Buy?
• Neutral Sentiment: HC Wainwright reiterated a “Neutral” rating and published FY2030 estimates and a $53.00 price target—its view aligns with the announced cash price, leaving limited analyst upside ahead of deal closure. HC Wainwright Reaffirms Neutral Rating for Terns Pharmaceuticals (NASDAQ:TERN)
• Negative Sentiment: Unusually large put option activity was reported (7,719 puts, a ~96% increase vs. typical put volume), suggesting some traders are hedging or positioning for downside/uncertainty around deal terms or timing.
• Negative Sentiment: A shareholder law firm (Kahn Swick & Foti) opened an investigation into the adequacy of the $53 per‑share price and the sale process, which could lead to litigation or delay and adds execution risk. Terns Pharmaceuticals Investor Alert: Kahn Swick & Foti, LLC Investigates Adequacy of Price and Process in Proposed Sale of Terns Pharmaceuticals, Inc. – TERN
• Negative Sentiment: Several brokers trimmed coverage or lowered stances to “Hold” (Citizens/JMP, TD Cowen), reducing near‑term buy-side reinforcement; TD Cowen’s $53 target effectively prices the deal in with little upside. Benzinga

Terns Pharmaceuticals Company Profile

Terns Pharmaceuticals, Inc is a clinical‐stage biopharmaceutical company focused on developing oral small‐molecule therapies for the treatment of chronic liver diseases and other serious conditions. The company’s research and development efforts center on novel mechanisms of action designed to address the underlying causes of progressive liver disorders, including inflammation, fibrosis and metabolic dysregulation. By advancing targeted compounds that can be administered orally, Terns aims to offer patients more convenient and effective treatment options compared to injectable or biologic therapies.

The company’s pipeline features several candidates in various stages of preclinical and clinical evaluation.