Shares of Horizon Therapeutics Public Limited Company rose 13.29% after it reported fourth-quarter 2020 adjusted earnings of $1.28 per share, which increased from the year-ago quarterly earnings of 56 cents. The earnings also beat the Zacks Consensus Estimate of $1.05 per share.
Quarterly sales of $745.3 million were up 105% year over year. The top line also beat the Zacks Consensus Estimate of $694 million. Sales were driven by the strong launch of Tepezza.
Horizon Therapeutics’ share price has skyrocketed 181.8% year to date compared with the industry’s growth of 13.5%.
Quarter in Detail
The company reports financial results under two segments — Orphan and Rheumatology, and Inflammation (previously known as the primary care segment). Notably, first-quarter 2020 onward, the Orphan and Rheumatology segment was renamed the Orphan segment.
Sales in the Orphan segment were $628.2 million, up 151% from the prior-year figure, driven by the continued growth of drugs like Tepezza, Krystexxa, Procysbi and Actimmune.The segment represented 84% of total fourth-quarter net sales.
Krystexxa sales increased 16% year over year to $128.9 million. Tepezza generated net sales worth $343.3 million in the fourth quarter. In January 2020, the FDA approved Tepezza for the treatment of thyroid eye disease (TED).
Ravicti sales were $70.2 million in the quarter, up 3% year over year.
Fourth-quarter 2020 net sales in the Inflammation segment were $117.1 million, up 3% year over year.
Adjusted research and development expenses were $38.3 million, up from $26.5 million in the year-ago quarter. Adjusted SG&A expenses were $240.6 million, up from $161.1 million in the year-ago quarter.
Full-Year 2020 Results
The company reported adjusted earnings of $3.88 per share in 2020, up from $1.94 in 2019. Earnings beat the Zacks Consensus Estimate of $3.64 per share.
Sales came in at $2.20 billion in 2020, which increased from $1.30 billion in 2019 and beat the Zacks Consensus Estimate of $2.15 billion.
2021 Guidance
The company expects 2021 net sales between $2.70 billion and $2.80 billion, indicating 25% growth at the midpoint. THE Zacks Consensus Estimate stands at $2.74 billion. The company expects Tepezza net sales to be greater than $1.275 billion and Krystexxa net sales to be above $500 million.
Other Pipeline Updates
In January 2021, the company submitted a prior approval supplement to the FDA to support increased scale production of the Tepezza drug product for the treatment of Thyroid TED.
The company expects to initiate a randomized, placebo-controlled trial of Tepezza in patients with chronic TED in the second quarter of 2021, assuming a normalized supply of the drug.
Acquisition
On Jan 31, 2021, the company entered into a definitive agreement to acquire Viela, a biotechnology company with a deep, mid-stage biologics pipeline for autoimmune and severe inflammatory diseases and Uplizna, a recently approved biologic medicine for a rare disease.. The company will acquire all of Viela’s common stock for $53 per share in cash, which represents an equity value of about $2.67 billion.
Zacks Rank and Stocks to Consider
Horizon currently carries a Zacks Rank #5 (Strong Sell).
Some better-ranked stocks in the healthcare sector include Acorda Therapeutics Inc. , Atea Pharmaceuticals Inc. (AVIR - Free Report) and Clearside Biomedical Inc. (CLSD - Free Report) . All of them carry a Zacks Rank #2 (Buy). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
Acorda’s loss per share estimates have narrowed from $9.66 to $7.91 for 2020 over the past 60 days.
Atea’s earnings per share estimates have increased from $3.53 to $3.70 for 2021 over the past 60 days. Shares of the company have increased 163.6% in the past year.
Clearside’s loss per share estimates have narrowed from 38 cents to 28 cents for 2021 over the past 60 days. Shares of the company have increased 36.1% in the past year.
More Stock News: This Is Bigger than the iPhone!
It could become the mother of all technological revolutions. Apple sold a mere 1 billion iPhones in 10 years but a new breakthrough is expected to generate more than 77 billion devices by 2025, creating a $1.3 trillion market. Zacks has just released a Special Report that spotlights this fast-emerging phenomenon and 4 tickers for taking advantage of it. If you don't buy now, you may kick yourself in 2022.
Click here for the 4 trades >>
Zacks Names "Single Best Pick to Double"
From thousands of stocks, 5 Zacks experts each have chosen their favorite to skyrocket +100% or more in months to come. From those 5, Director of Research Sheraz Mian hand-picks one to have the most explosive upside of all.
It’s a little-known chemical company that’s up 65% over last year, yet still dirt cheap. With unrelenting demand, soaring 2022 earnings estimates, and $1.5 billion for repurchasing shares, retail investors could jump in at any time.
This company could rival or surpass other recent Zacks’ Stocks Set to Double like Boston Beer Company which shot up +143.0% in little more than 9 months and NVIDIA which boomed +175.9% in one year.
Free: See Our Top Stock and 4 Runners Up >>
Shares of Horizon Therapeutics Public Limited Company rose 13.29% after it reported fourth-quarter 2020 adjusted earnings of $1.28 per share, which increased from the year-ago quarterly earnings of 56 cents. The earnings also beat the Zacks Consensus Estimate of $1.05 per share.
Quarterly sales of $745.3 million were up 105% year over year. The top line also beat the Zacks Consensus Estimate of $694 million. Sales were driven by the strong launch of Tepezza.
Horizon Therapeutics’ share price has skyrocketed 181.8% year to date compared with the industry’s growth of 13.5%.
Quarter in Detail
The company reports financial results under two segments — Orphan and Rheumatology, and Inflammation (previously known as the primary care segment). Notably, first-quarter 2020 onward, the Orphan and Rheumatology segment was renamed the Orphan segment.
Sales in the Orphan segment were $628.2 million, up 151% from the prior-year figure, driven by the continued growth of drugs like Tepezza, Krystexxa, Procysbi and Actimmune.The segment represented 84% of total fourth-quarter net sales.
Krystexxa sales increased 16% year over year to $128.9 million. Tepezza generated net sales worth $343.3 million in the fourth quarter. In January 2020, the FDA approved Tepezza for the treatment of thyroid eye disease (TED).
Ravicti sales were $70.2 million in the quarter, up 3% year over year.
Fourth-quarter 2020 net sales in the Inflammation segment were $117.1 million, up 3% year over year.
Adjusted research and development expenses were $38.3 million, up from $26.5 million in the year-ago quarter. Adjusted SG&A expenses were $240.6 million, up from $161.1 million in the year-ago quarter.
Full-Year 2020 Results
The company reported adjusted earnings of $3.88 per share in 2020, up from $1.94 in 2019. Earnings beat the Zacks Consensus Estimate of $3.64 per share.
Sales came in at $2.20 billion in 2020, which increased from $1.30 billion in 2019 and beat the Zacks Consensus Estimate of $2.15 billion.
2021 Guidance
The company expects 2021 net sales between $2.70 billion and $2.80 billion, indicating 25% growth at the midpoint. THE Zacks Consensus Estimate stands at $2.74 billion. The company expects Tepezza net sales to be greater than $1.275 billion and Krystexxa net sales to be above $500 million.
Other Pipeline Updates
In January 2021, the company submitted a prior approval supplement to the FDA to support increased scale production of the Tepezza drug product for the treatment of Thyroid TED.
The company expects to initiate a randomized, placebo-controlled trial of Tepezza in patients with chronic TED in the second quarter of 2021, assuming a normalized supply of the drug.
Acquisition
On Jan 31, 2021, the company entered into a definitive agreement to acquire Viela, a biotechnology company with a deep, mid-stage biologics pipeline for autoimmune and severe inflammatory diseases and Uplizna, a recently approved biologic medicine for a rare disease.. The company will acquire all of Viela’s common stock for $53 per share in cash, which represents an equity value of about $2.67 billion.
Zacks Rank and Stocks to Consider
Horizon currently carries a Zacks Rank #5 (Strong Sell).
Some better-ranked stocks in the healthcare sector include Acorda Therapeutics Inc. , Atea Pharmaceuticals Inc. (AVIR - Free Report) and Clearside Biomedical Inc. (CLSD - Free Report) . All of them carry a Zacks Rank #2 (Buy). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
Acorda’s loss per share estimates have narrowed from $9.66 to $7.91 for 2020 over the past 60 days.
Atea’s earnings per share estimates have increased from $3.53 to $3.70 for 2021 over the past 60 days. Shares of the company have increased 163.6% in the past year.
Clearside’s loss per share estimates have narrowed from 38 cents to 28 cents for 2021 over the past 60 days. Shares of the company have increased 36.1% in the past year.
More Stock News: This Is Bigger than the iPhone!
It could become the mother of all technological revolutions. Apple sold a mere 1 billion iPhones in 10 years but a new breakthrough is expected to generate more than 77 billion devices by 2025, creating a $1.3 trillion market. Zacks has just released a Special Report that spotlights this fast-emerging phenomenon and 4 tickers for taking advantage of it. If you don't buy now, you may kick yourself in 2022.
Click here for the 4 trades >>
Zacks Names "Single Best Pick to Double"
From thousands of stocks, 5 Zacks experts each have chosen their favorite to skyrocket +100% or more in months to come. From those 5, Director of Research Sheraz Mian hand-picks one to have the most explosive upside of all.
It’s a little-known chemical company that’s up 65% over last year, yet still dirt cheap. With unrelenting demand, soaring 2022 earnings estimates, and $1.5 billion for repurchasing shares, retail investors could jump in at any time.
This company could rival or surpass other recent Zacks’ Stocks Set to Double like Boston Beer Company which shot up +143.0% in little more than 9 months and NVIDIA which boomed +175.9% in one year.
Free: See Our Top Stock and 4 Runners Up >>
Get the latest research report on CLSD - FREE
Get the latest research report on AVIR - FREE