It has been about a month since the last earnings report for Global Blood Therapeutics . Shares have lost about 15.5% in that time frame, underperforming the S&P 500.

Will the recent negative trend continue leading up to its next earnings release, or is Global Blood due for a breakout? Before we dive into how investors and analysts have reacted as of late, let's take a quick look at its most recent earnings report in order to get a better handle on the important drivers.

Global Blood Q1 Loss Narrower Than Expected, Revenues Lag

Global Blood incurred a loss of $1.26 per share in first-quarter 2022, narrower than the Zacks Consensus Estimate of a loss of $1.29. In the year-ago quarter, the company had reported a loss of $1.21 per share.

However, the company’s revenues of $55.2 million, comprising solely Oxbryta sales, missed the Zacks Consensus Estimate of $57 million. Global Blood had generated $39 million in product sales in the year-ago quarter.

Quarter in Details

Oxbryta sales decreased 2% sequentially driven primarily by distributors reducing inventory in the first quarter following purchases at the end of 2021 and a higher gross-to-net adjustment, partially offset by higher patient demand. The net number of patients taking Oxbryta increased from the prior quarter.

The company achieved more than 1,200 new prescriptions for Oxbryta in the first quarter. This includes a strong launch in children ages four to less than 12 years.

Research and development expenses in the reported quarter were $52.8 million, up from $59 million in the year-ago quarter, due to an increase in external costs related to the GBT601 program.

Selling, general and administrative expenses were $74.5 million in the reported quarter, up from $59 million in the year-ago quarter, due to higher employee-related costs and increased professional and consulting services’ cost.

As of Mar 31, 2022, Global Blood had cash, cash equivalents and marketable securities worth $662.1 million compared with $734.8 million as of Dec 31, 2021.

How Have Estimates Been Moving Since Then?

It turns out, estimates review have trended upward during the past month.

VGM Scores

Currently, Global Blood has a poor Growth Score of F, however its Momentum Score is doing a lot better with an A. However, the stock was allocated a grade of F on the value side, putting it in the lowest quintile for this investment strategy.

Overall, the stock has an aggregate VGM Score of D. If you aren't focused on one strategy, this score is the one you should be interested in.

Outlook

Estimates have been broadly trending upward for the stock, and the magnitude of these revisions looks promising. Notably, Global Blood has a Zacks Rank #3 (Hold). We expect an in-line return from the stock in the next few months.

Performance of an Industry Player

Global Blood belongs to the Zacks Medical - Biomedical and Genetics industry. Another stock from the same industry, Alkermes (ALKS Quick QuoteALKS - Free Report) , has gained 6.6% over the past month. More than a month has passed since the company reported results for the quarter ended March 2022.

Alkermes reported revenues of $278.55 million in the last reported quarter, representing a year-over-year change of +10.8%. EPS of $0.12 for the same period compares with $0.11 a year ago.

Alkermes is expected to post earnings of $0.04 per share for the current quarter, representing a year-over-year change of -86.7%. Over the last 30 days, the Zacks Consensus Estimate remained unchanged.

The overall direction and magnitude of estimate revisions translate into a Zacks Rank #1 (Strong Buy) for Alkermes. Also, the stock has a VGM Score of F.