We use cookies to understand how you use our site and to improve your experience.
This includes personalizing content and advertising.
By pressing "Accept All" or closing out of this banner, you consent to the use of all cookies and similar technologies and the sharing of information they collect with third parties.
You can reject marketing cookies by pressing "Deny Optional," but we still use essential, performance, and functional cookies.
In addition, whether you "Accept All," Deny Optional," click the X or otherwise continue to use the site, you accept our Privacy Policy and Terms of Service, revised from time to time.
You are being directed to ZacksTrade, a division of LBMZ Securities and licensed broker-dealer. ZacksTrade and Zacks.com are separate companies. The web link between the two companies is not a solicitation or offer to invest in a particular security or type of security. ZacksTrade does not endorse or adopt any particular investment strategy, any analyst opinion/rating/report or any approach to evaluating individual securities.
If you wish to go to ZacksTrade, click OK. If you do not, click Cancel.
Drug/Biotech Stock Earnings on Feb 2: AMGN, PFE & CTLT
Read MoreHide Full Article
A few large pharma companies have already reported their fourth-quarter results. Johnson & Johnson (JNJ - Free Report) and Eli Lilly surpassed estimates for both earnings and sales in the fourth quarter of 2020, while Swiss pharma giant Novartis missed estimates for both.
Per the Zacks classification, the pharma/biotech industry comes under the broader Medical sector, which comprises pharma/biotech as well as medical device companies.
Per the Earnings Trends report as of Jan 27, 10.9% of the companies in the Medical sector, constituting nearly 28.8% of the sector’s market capitalization, reported earnings. 83.3% of the companies managed to surpass estimates for both earnings and sales. Earnings decreased 7% year over year on 11% higher revenues. Overall, fourth-quarter earnings for the Medical sector are expected to rise 8.2% on 11.4% sales increase.
Let’s analyze the three drug/biotech companies that are set to report earnings results on Feb 2.
The drug giant’s performance has been mixed with the company exceeding earnings expectations in three of the last four quarters, while missing the same in one. The company has delivered an earnings surprise of 8.48% in the past four quarters, on average.
Our proven model does not conclusively predict an earnings beat for Pfizer this time around. The combination of a positive Earnings ESP and a Zacks Rank #1 (Strong Buy), 2 (Buy) or 3 (Hold) increases the odds of an earnings beat. But that is not the case here. You can uncover the best stocks to buy or sell before they’re reported with our Earnings ESP Filter.
Pfizer has an Earnings ESP of 0.00% and a Zacks Rank #3. The Zacks Consensus Estimate for earnings stands at 45 cents per share.
Investors will be keen to know about sales of Pfizer’s key brands, Eliquis, Ibrance and Inlyta, and contributions from new drug Vyndaqel/Vyndamax in the fourth-quarter earnings call. Also, Pfizer and partner BioNTech successfully developed BNT162b2, a two-shot vaccine for COVID-19, which is now approved for emergency/temporary use in several countries. The vaccine sales are likely to have added to revenues in the fourth quarter.
The large biotech’s performance has been pretty impressive, with earnings beating estimates in each of the trailing four quarters. The company delivered a four-quarter earnings surprise of 11.65%, on average.
Our previous article showed that Amgen did not have the favorable combination to beat on earnings in the soon-to-be-reported quarter. However, estimates have changed thereafter and we are more certain of a beat now.
The Zacks Consensus Estimate for earnings stands at $3.36 per share per share.
The recovery from the peak impact of the COVID-19 pandemic is expected to have continued in the fourth quarter of 2020. However, the resurgence in COVID-19 infection rates is likely to have acted as a headwind this time around.
Biosimilars may have once again been an important contributor to top-line growth of Amgen while increasing generic competition for its legacy products are likely to have hurt the top line.
Catalent, Inc.
The company exceeded earnings expectations in three of the last four quarters while meeting the same in one. Catalent has delivered an earnings surprise of 5.59% in the past four quarters, on average.
Catalent has an Earnings ESP of 0.00% and a Zacks Rank #3. The Zacks Consensus Estimate for earnings stands at 56 cents per share. The company will report earnings results for second quarter of fiscal year 2021 ended Dec 31, 2020.
Imagine getting in early on a young industry primed to skyrocket from $17.7 billion in 2019 to an expected $73.6 billion by 2027.
Although marijuana stocks did better as the pandemic took hold than the market as a whole, they’ve been pushed down. This is exactly the right time to get in on selected strong companies at a fraction of their value before COVID struck. Zacks’ Special Report, Marijuana Moneymakers, reveals 10 exciting tickers for urgent consideration.
Image: Bigstock
Drug/Biotech Stock Earnings on Feb 2: AMGN, PFE & CTLT
A few large pharma companies have already reported their fourth-quarter results. Johnson & Johnson (JNJ - Free Report) and Eli Lilly surpassed estimates for both earnings and sales in the fourth quarter of 2020, while Swiss pharma giant Novartis missed estimates for both.
Per the Zacks classification, the pharma/biotech industry comes under the broader Medical sector, which comprises pharma/biotech as well as medical device companies.
Per the Earnings Trends report as of Jan 27, 10.9% of the companies in the Medical sector, constituting nearly 28.8% of the sector’s market capitalization, reported earnings. 83.3% of the companies managed to surpass estimates for both earnings and sales. Earnings decreased 7% year over year on 11% higher revenues. Overall, fourth-quarter earnings for the Medical sector are expected to rise 8.2% on 11.4% sales increase.
Let’s analyze the three drug/biotech companies that are set to report earnings results on Feb 2.
Pfizer Inc. (PFE - Free Report)
The drug giant’s performance has been mixed with the company exceeding earnings expectations in three of the last four quarters, while missing the same in one. The company has delivered an earnings surprise of 8.48% in the past four quarters, on average.
Our proven model does not conclusively predict an earnings beat for Pfizer this time around. The combination of a positive Earnings ESP and a Zacks Rank #1 (Strong Buy), 2 (Buy) or 3 (Hold) increases the odds of an earnings beat. But that is not the case here. You can uncover the best stocks to buy or sell before they’re reported with our Earnings ESP Filter.
Pfizer Inc. Price and EPS Surprise
Pfizer Inc. price-eps-surprise | Pfizer Inc. Quote
Pfizer has an Earnings ESP of 0.00% and a Zacks Rank #3. The Zacks Consensus Estimate for earnings stands at 45 cents per share.
Investors will be keen to know about sales of Pfizer’s key brands, Eliquis, Ibrance and Inlyta, and contributions from new drug Vyndaqel/Vyndamax in the fourth-quarter earnings call. Also, Pfizer and partner BioNTech successfully developed BNT162b2, a two-shot vaccine for COVID-19, which is now approved for emergency/temporary use in several countries. The vaccine sales are likely to have added to revenues in the fourth quarter.
Amgen Inc. (AMGN - Free Report)
The large biotech’s performance has been pretty impressive, with earnings beating estimates in each of the trailing four quarters. The company delivered a four-quarter earnings surprise of 11.65%, on average.
Amgen has an Earnings ESP of +0.03% and a Zacks Rank #3, indicating a likely earnings beat. You can see the complete list of today’s Zacks #1 Rank stocks here.
Our previous article showed that Amgen did not have the favorable combination to beat on earnings in the soon-to-be-reported quarter. However, estimates have changed thereafter and we are more certain of a beat now.
Amgen Inc. Price and EPS Surprise
Amgen Inc. price-eps-surprise | Amgen Inc. Quote
The Zacks Consensus Estimate for earnings stands at $3.36 per share per share.
The recovery from the peak impact of the COVID-19 pandemic is expected to have continued in the fourth quarter of 2020. However, the resurgence in COVID-19 infection rates is likely to have acted as a headwind this time around.
Biosimilars may have once again been an important contributor to top-line growth of Amgen while increasing generic competition for its legacy products are likely to have hurt the top line.
Catalent, Inc.
The company exceeded earnings expectations in three of the last four quarters while meeting the same in one. Catalent has delivered an earnings surprise of 5.59% in the past four quarters, on average.
Catalent has an Earnings ESP of 0.00% and a Zacks Rank #3. The Zacks Consensus Estimate for earnings stands at 56 cents per share. The company will report earnings results for second quarter of fiscal year 2021 ended Dec 31, 2020.
Catalent, Inc. Price and EPS Surprise
Catalent, Inc. price-eps-surprise | Catalent, Inc. Quote
Legal Marijuana: An Investor’s Dream
Imagine getting in early on a young industry primed to skyrocket from $17.7 billion in 2019 to an expected $73.6 billion by 2027.
Although marijuana stocks did better as the pandemic took hold than the market as a whole, they’ve been pushed down. This is exactly the right time to get in on selected strong companies at a fraction of their value before COVID struck. Zacks’ Special Report, Marijuana Moneymakers, reveals 10 exciting tickers for urgent consideration.
Download Marijuana Moneymakers FREE >>