In-Depth Examination Of 5 Analyst Recommendations For Cara Therapeutics

Cara Therapeutics CARA underwent analysis by 5 analysts in the last quarter, revealing a spectrum of viewpoints from bullish to bearish.

The following table encapsulates their recent ratings, offering a glimpse into the evolving sentiments over the past 30 days and comparing them to the preceding months.

Analysts provide deeper insights through their assessments of 12-month price targets, revealing an average target of $6.0, a high estimate of $10.00, and a low estimate of $5.00. Highlighting a 45.45% decrease, the current average has fallen from the previous average price target of $11.00.

Breaking Down Analyst Ratings: A Detailed Examination

An in-depth analysis of recent analyst actions unveils how financial experts perceive Cara Therapeutics. The following summary outlines key analysts, their recent evaluations, and adjustments to ratings and price targets.

Key Insights:

• Action Taken: Analysts frequently update their recommendations based on evolving market conditions and company performance. Whether they 'Maintain', 'Raise' or 'Lower' their stance, it reflects their reaction to recent developments related to Cara Therapeutics. This information provides a snapshot of how analysts perceive the current state of the company.
• Rating: Analysts unravel qualitative evaluations for stocks, ranging from 'Outperform' to 'Underperform'. These ratings offer insights into expectations for the relative performance of Cara Therapeutics compared to the broader market.
• Price Targets: Analysts provide insights into price targets, offering estimates for the future value of Cara Therapeutics's stock. This comparison reveals trends in analysts' expectations over time.

Navigating through these analyst evaluations alongside other financial indicators can contribute to a holistic understanding of Cara Therapeutics's market standing. Stay informed and make data-driven decisions with our Ratings Table.

Stay up to date on Cara Therapeutics analyst ratings.

If you are interested in following small-cap stock news and performance you can start by tracking it here.

Unveiling the Story Behind Cara Therapeutics

Cara Therapeutics Inc is a development-stage biotechnology company involved in the development of novel therapeutics to treat human diseases associated with inflammation, pain, and pruritus. Cara's most advanced compound, CR845, aims to treat acute pain and pruritus. This patented compound has analgesic, anti-inflammatory, and antipruritic properties that can be used for multiple therapeutic applications. Additionally, Cara's objective is to use its proprietary drug-screening technology to develop a future pipeline of first-in-class molecules with analgesic and anti-inflammatory features.

Breaking Down Cara Therapeutics's Financial Performance

Market Capitalization: Surpassing industry standards, the company's market capitalization asserts its dominance in terms of size, suggesting a robust market position.

Decline in Revenue: Over the 3 months period, Cara Therapeutics faced challenges, resulting in a decline of approximately -7.88% in revenue growth as of 31 December, 2023. This signifies a reduction in the company's top-line earnings. As compared to its peers, the revenue growth lags behind its industry peers. The company achieved a growth rate lower than the average among peers in Health Care sector.

Net Margin: Cara Therapeutics's financial strength is reflected in its exceptional net margin, which exceeds industry averages. With a remarkable net margin of -1076.46%, the company showcases strong profitability and effective cost management.

Return on Equity (ROE): Cara Therapeutics's ROE falls below industry averages, indicating challenges in efficiently using equity capital. With an ROE of -45.31%, the company may face hurdles in generating optimal returns for shareholders.

Return on Assets (ROA): Cara Therapeutics's ROA lags behind industry averages, suggesting challenges in maximizing returns from its assets. With an ROA of -26.82%, the company may face hurdles in achieving optimal financial performance.

Debt Management: Cara Therapeutics's debt-to-equity ratio is below the industry average. With a ratio of 0.11, the company relies less on debt financing, maintaining a healthier balance between debt and equity, which can be viewed positively by investors.

The Core of Analyst Ratings: What Every Investor Should Know

Analysts work in banking and financial systems and typically specialize in reporting for stocks or defined sectors. Analysts may attend company conference calls and meetings, research company financial statements, and communicate with insiders to publish "analyst ratings" for stocks. Analysts typically rate each stock once per quarter.

Some analysts will also offer forecasts for metrics like growth estimates, earnings, and revenue to provide further guidance on stocks. Investors who use analyst ratings should note that this specialized advice comes from humans and may be subject to error.

This article was generated by Benzinga's automated content engine and reviewed by an editor.