Krystal Biotech (NASDAQ:KRYS) Shares Gap Down – Should You Sell?

Krystal Biotech, Inc. (NASDAQ:KRYS)’s share price gapped down before the market opened on Monday. The stock had previously closed at $332.29, but opened at $314.21. Krystal Biotech shares last traded at $288.5770, with a volume of 126,905 shares traded.

Key Krystal Biotech News

Here are the key news stories impacting Krystal Biotech this week:

• Positive Sentiment: Third-quarter revenue rose about 30% to $127.34 million, and EPS of $2.05 topped analyst expectations. Vyjuvek’s performance helped drive the growth. Krystal Biotech Q3 Net Income Falls, Revenue Rises; Shares Up Pre-Bell
• Positive Sentiment: The company announced a $400 million share-repurchase program, which may support demand for the stock. Krystal outlines $400M share repurchase
• Neutral Sentiment: Citigroup, TD Cowen, and RBC trimmed their price targets but retained Buy or Outperform ratings, signaling continued optimism alongside more cautious valuation assumptions. RBC on Krystal Biotech prospects
• Negative Sentiment: Net income declined from a year earlier, and several pipeline timelines have slipped into 2027. Those factors appear to have weighed on shares despite the earnings beat and revenue growth. Krystal beats on Vyjuvek strength, but pipeline timelines slip

Analyst Ratings Changes

Several brokerages have commented on KRYS. The Goldman Sachs Group started coverage on Krystal Biotech in a report on Thursday, September 24th. They set a “buy” rating and a $441.00 price target on the stock. TD Cowen reduced their price objective on shares of Krystal Biotech from $403.00 to $380.00 and set a “buy” rating for the company in a research note on Tuesday. Royal Bank Of Canada reduced their price objective on shares of Krystal Biotech from $400.00 to $375.00 and set an “outperform” rating for the company in a research note on Tuesday. Citigroup decreased their price objective on shares of Krystal Biotech from $416.00 to $412.00 and set a “buy” rating for the company in a report on Tuesday. Finally, Weiss Ratings upgraded shares of Krystal Biotech from a “buy (b-)” rating to a “buy (b)” rating in a research note on Friday, October 23rd. Two research analysts have rated the stock with a Strong Buy rating, ten have issued a Buy rating, one has assigned a Hold rating and one has assigned a Sell rating to the company. According to MarketBeat.com, the stock currently has an average rating of “Moderate Buy” and an average target price of $375.00.

Krystal Biotech Price Performance

The business has a 50 day moving average price of $335.72 and a 200 day moving average price of $308.77. The firm has a market capitalization of $9.03 billion, a P/E ratio of 41.39 and a beta of 0.56.

Krystal Biotech (NASDAQ:KRYS) last posted its quarterly earnings data on Monday, November 2nd. The company reported $2.05 earnings per share for the quarter, topping the consensus estimate of $1.79 by $0.26. The business had revenue of $127.34 million during the quarter, compared to analysts’ expectations of $125.77 million. Krystal Biotech had a return on equity of 17.02% and a net margin of 47.91%. As a group, equities analysts expect that Krystal Biotech, Inc. will post 7.33 EPS for the current year.

Insider Buying and Selling at Krystal Biotech

In other news, Director Dino Rossi sold 25,000 shares of the firm’s stock in a transaction on Friday, August 14th. The shares were sold at an average price of $329.12, for a total value of $8,228,000.00. Following the sale, the director owned 50,000 shares in the company, valued at approximately $16,456,000. This trade represents a 33.33% decrease in their ownership of the stock. The sale was disclosed in a legal filing with the SEC, which is accessible through this hyperlink. Also, insider Suma Krishnan sold 25,000 shares of the business’s stock in a transaction on Friday, September 4th. The stock was sold at an average price of $359.32, for a total transaction of $8,983,000.00. Following the transaction, the insider directly owned 1,302,145 shares in the company, valued at $467,886,741.40. This trade represents a 1.88% decrease in their position. The disclosure for this sale is available in the SEC filing. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Company insiders own 13.10% of the company’s stock.

Institutional Inflows and Outflows

A number of large investors have recently made changes to their positions in KRYS. BlackRock Inc. acquired a new stake in Krystal Biotech during the second quarter valued at approximately $1,554,113,000. William Blair Investment Management LLC bought a new stake in shares of Krystal Biotech in the 2nd quarter valued at approximately $211,909,000. First Trust Advisors LP raised its holdings in shares of Krystal Biotech by 42.9% in the 1st quarter. First Trust Advisors LP now owns 350,521 shares of the company’s stock worth $90,547,000 after buying an additional 105,245 shares in the last quarter. Janus Henderson Group PLC raised its holdings in shares of Krystal Biotech by 21.5% in the 1st quarter. Janus Henderson Group PLC now owns 266,659 shares of the company’s stock worth $68,879,000 after buying an additional 47,219 shares in the last quarter. Finally, Bank of America Corp DE raised its holdings in shares of Krystal Biotech by 36.6% in the 1st quarter. Bank of America Corp DE now owns 260,647 shares of the company’s stock worth $67,330,000 after buying an additional 69,840 shares in the last quarter. Institutional investors and hedge funds own 86.29% of the company’s stock.

About Krystal Biotech

Krystal Biotech, Inc is a biotechnology company focused on developing and commercializing genetic medicines for rare diseases. The company’s platform uses modified herpes simplex virus type 1 vectors to deliver functional genes to target tissues, with an emphasis on therapies that can be administered repeatedly.

Krystal’s lead product, VYJUVEK, is a topical gene therapy for wounds associated with dystrophic epidermolysis bullosa, a rare inherited skin disorder caused by mutations affecting type VII collagen.