Terns Pharmaceuticals, Inc. (NASDAQ:TERN – Get Free Report) was the recipient of unusually large options trading activity on Friday. Investors acquired 7,719 put options on the company. This represents an increase of 96% compared to the typical volume of 3,932 put options.
More 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
Wall Street Analyst Weigh In
TERN has been the subject of a number of recent research reports. Wall Street Zen lowered Terns Pharmaceuticals from a “hold” rating to a “sell” rating in a research note on Saturday, March 21st. Weiss Ratings restated a “sell (e+)” rating on shares of Terns Pharmaceuticals in a research report on Monday, December 29th. Oppenheimer lifted their price target on Terns Pharmaceuticals from $28.00 to $58.00 and gave the stock an “outperform” rating in a research note on Tuesday, December 9th. UBS Group upgraded Terns Pharmaceuticals to a “strong-buy” rating in a research report on Thursday, December 4th. Finally, TD Cowen cut shares of Terns Pharmaceuticals from a “buy” rating to a “hold” rating and set a $53.00 target price on the stock. in a report on Thursday. One research analyst has rated the stock with a Strong Buy rating, eight have assigned a Buy rating, four have assigned a Hold rating and one has assigned a Sell rating to the company. Based on data from MarketBeat.com, the stock has a consensus rating of “Moderate Buy” and an average 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 P/E ratio of -51.38 and a beta of -0.31. The firm has a 50-day moving average of $41.28 and a 200-day moving average of $29.21. Terns Pharmaceuticals has a 1-year low of $1.87 and a 1-year high of $53.19.
Insiders Place Their Bets
In other Terns Pharmaceuticals news, insider Emil Kuriakose sold 1,155 shares of the business’s stock in a transaction on Friday, January 2nd. The shares were sold at an average price of $38.57, for a total value of $44,548.35. Following the completion of the sale, the insider directly owned 50,365 shares of the company’s stock, valued at $1,942,578.05. The trade was a 2.24% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the SEC, which is available at the SEC website. Also, CEO Amy L. Burroughs sold 14,583 shares of the company’s stock in a transaction dated Monday, March 16th. The shares were sold at an average price of $46.71, for a total transaction of $681,171.93. Following the sale, the chief executive officer owned 288,976 shares of the company’s stock, valued at approximately $13,498,068.96. The trade was a 4.80% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. Insiders sold a total of 170,409 shares of company stock valued at $6,563,769 in the last ninety days. 1.50% of the stock is owned by corporate insiders.
Hedge Funds Weigh In On Terns Pharmaceuticals
Several hedge funds and other institutional investors have recently modified their holdings of the company. AlphaQuest LLC lifted its holdings in Terns Pharmaceuticals by 9,088,200.0% in the third quarter. AlphaQuest LLC now owns 90,883 shares of the company’s stock valued at $683,000 after acquiring an additional 90,882 shares during the period. Dynamic Technology Lab Private Ltd boosted its position in Terns Pharmaceuticals by 237.2% in the third 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. DLD Asset Management LP bought a new stake in shares of Terns Pharmaceuticals during the 2nd quarter valued at about $138,000. Commodore Capital LP bought a new stake in shares of Terns Pharmaceuticals during the 3rd quarter valued at about $42,807,000. Finally, Franklin Resources Inc. purchased a new stake in shares of Terns Pharmaceuticals during the 2nd quarter valued at about $4,765,000. 98.26% of the stock is owned by institutional investors.
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.
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