Bluebird Bio Inc (NASDAQ:BLUE) Receives Lower Rating From Bank of America (Merrill Lynch). What’s The Reasoning Behind This Move?

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Bluebird Bio Inc (NASDAQ:BLUE) Receives a Downgrade

Bank of America (Merrill Lynch) downgraded their rating for shares of Bluebird Bio Inc (NASDAQ:BLUE) from Buy to Neutral in a recent report that was shared with investors on 7 December.

From a total of 11 analysts covering bluebird bio (NASDAQ:BLUE) stock, 11 rate it a ”Buy”, 0 a “Sell”, and 0 a ”Hold”. This means that 100% of the ratings are positive. The highest target price is $204 while the lowest target price is $108. The mean of all analyst targets is $156.82 with a 163.18% above today’s ($56.93) stock price. bluebird bio was the topic of 14 analyst reports since August 11, 2015 according to the firm StockzIntelligence Inc. Wells Fargo initiated shares on December 4 with “Outperform” rating. Oppenheimer initiated shares with “Outperform” rating and $162 target share price in a report from an October 20. TH Capital initiated BLUE stock in a recent report from December 3 with “Buy” rating. Morgan Stanley upgraded the rating on October 5. Morgan Stanley has a “Overweight” rating and a $143 price target on shares. Finally, Jefferies initiated the stock with “Buy” rating in a report issued on an October 23.

Approximately 276,221 shares of stock traded hands. bluebird bio Inc (NASDAQ:BLUE) has declined 38.93% since May 4, 2015 and is downtrending. It has underperformed by 37.85% the S&P500.

The overall sentiment of institutions has decreased to 1.01 in Q2 2015. Its down 0.09, from 1.1 in 2015Q2. The ratio worsened, as 61 institutions have sold all the shares of bluebird bio Inc that they owned while 54 funds have taken shares off the table. 24 funds have purchased shares for the first time while 92 added to their positions. These institutions now hold 45.41 million shares or 31.61% more than the 34.50 million shares they owned in 2015Q2.

The Fund Alpinvest Partners B.V. currently is holding shares equating to 7.79% of its total portfolio in bluebird bio Inc representing a total of 46,264 shares. Another fund,Rtw Investments Llc, is holding a total of 149,325 shares equating to 4.03% of their holdings. Additionally, Apis Capital Advisors Llc has a 30,870 share stake in bluebird bio Inc which represents 3.65% of their total portfolio. The Fund, Parametrica Management Ltd, based out of Hong Kong, has also built up a stake in the stock, which represents a total of 2.2% of their total portfolio. Finally Eventide Asset Management Llc, a fund which is based in the state of Massachusetts reported a total holdings of 419,600 shares.

bluebird bio, Inc. is a clinical-stage biotechnology company. The company has a market cap of $3.07 billion. The Firm is focused on developing and commercializing products based on the transformative potential of gene therapy to treat patients with severe genetic diseases and cancer. It currently has negative earnings. The Company’s products include Lenti-D, LentiGlobin and CAR T Cells.

According to Zacks Investment Research, “Bluebird Bio, Inc. is a biotechnology company. It focuses on the development, manufacture and marketing of therapies for severe genetic disorders such as childhood cerebral adrenoleukodystrophy, neurodegenerative disorders and beta-thalassemia. The company operates in the U.S. and Europe. Bluebird Bio, Inc. is headquartered in Cambridge, Massachusetts.” Get a free copy of the Zacks research report on bluebird bio Inc (BLUE).

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