Back to top

Image: Bigstock

Puma Biotechnology (PBYI) Up 10.2% Since Earnings Report: Can It Continue?

Read MoreHide Full Article

A month has gone by since the last earnings report for Puma Biotechnology, Inc. (PBYI - Free Report) . Shares have added about 10.2% in that time frame.

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

Puma Q4 Loss Narrower Than Expected, Shares Down

Puma Biotechnology reported a loss of $1.03 in the fourth quarter of 2017, narrower than both the Zacks Consensus Estimate of a loss of $1.98 and the year-ago tally of $1.22.

In the fourth quarter, the company recorded total revenues of $21.6 million, consisting of $20.1 million from the sales of its only marketed product, Nerlynx and license fees of $1.5 million. The top line was higher than the Zacks Consensus Estimate of $20 million.

On fourth-quarter conference call, the company mentioned that the specialty pharmacy channel received 1600 new patient prescriptions for Nerlynx since the FDA approval last July through end of January 2018. A month-over-month increase in new patient enrollments has been witnessed in the specialty pharmacy network, with the trend expected to continue in the near term.

In the reported quarter, research and development (R&D) expenses were $32.9 million, down 3.2% from the year-ago period. Selling, general and administrative expenses however, escalated 136.5% year over year to $22.7 million on higher costs to support the commercialization of Nerlynx.

2017 Results

The company recorded full-year sales of $27.7 million, beating the Zacks Consensus Estimate of $25.7 million.

Full-year loss of $7.85 per share was narrower than the year-earlier figure of $8.29. The metric was also narrower than the consensus mark of a loss of $8.12.

How Have Estimates Been Moving Since Then?

Analysts were quiet during the last two month period as none of them issued any earnings estimate revisions.

VGM Scores

At this time, PBYI has a subpar Growth Score of D. Its Momentum is doing a bit better with a C. The stock was allocated a grade of F on the value side, putting it in the fifth quintile for this investment strategy.

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

The company's stock is suitable solely for momentum based on our styles scores.

Outlook

PBYI has a Zacks Rank #3 (Hold). We expect an in-line return from the stock in the next few months.


See More Zacks Research for These Tickers


Normally $25 each - click below to receive one report FREE:


Puma Biotechnology, Inc. (PBYI) - free report >>

Published in