Goldman Sachs initiated coverage on MRUS with a "buy" rating
Biotech stock Merus NV (NASDAQ:MRUS) is up 3.4% at $44.40 at last glance, though pulling back a bit from its premarket surge, after Goldman Sachs initiated coverage with a "buy" rating. The firm cited potential growth from the company's cancer treatment.
Today's pop has MRUS looking to snap an eight-day losing streak. The stock dropped below long-term support at the 200-day moving average during this most recent pullback, which ended today at $42. This level also coincides with MRUS' pre-bull gap level in April. Year to date, the equity is up 58.3%.
Analysts are wholeheartedly bullish on Merus stock, with all 17 in coverage carrying a "buy" or better rating. Plus, the 12-month consensus price target of $86.60 is a 98.4% premium to current levels.
Options traders have been optimistic as well. MRUS' 50-day call/put volume ratio of 6.88 at the International Securities Exchange (ISE), Cboe Options Exchange (CBOE), and NASDAQ OMX PHLX (PHLX) ranks in the 93rd percentile of its annual range.