We use cookies to understand how you use our site and to improve your experience. This includes personalizing content and advertising. To learn more, click here. By continuing to use our site, you accept our use of cookies, revised Privacy Policy and Terms of Service.
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.
Why Is OPKO Health (OPK) Down 5.6% Since Last Earnings Report?
Read MoreHide Full Article
A month has gone by since the last earnings report for OPKO Health (OPK - Free Report) . Shares have lost about 5.6% in that time frame, underperforming the S&P 500.
Will the recent negative trend continue leading up to its next earnings release, or is OPKO Health due for a breakout? 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 catalysts.
OPKO Health Q1 Earnings Match Estimates, Revenues Top
OPKO Health, Inc. reported first-quarter 2021 adjusted earnings per share of 5 cents per share, which met the Zacks Consensus Estimate. Notably, the company had reported a loss of 9 cents in the prior-year quarter.
Revenue Details
First-quarter revenues of the company were $545.2 million, which surpassed the Zacks Consensus Estimate by 8.4%. The top line also improved 157.8% on a year-over-year basis.
Segmental Revenues in Q1
Revenues from Services amounted to $507 million in the reported quarter, up 196.8% year over year driven by COVID-19 testing volume. However, decline in revenues in the company’s bases testing business, which represents the negative impact of the COVID-19 pandemic, partially offset the upside.
Revenues from Products rose 9% to $33.9 million owing to higher sales in OPKO Chile and FinTech. However, lower sales in RAYALDEE partially offset the upside.
Revenues from Transfer of intellectual property totaled $4.3 million, down 55.2% year over year, due to a decline in the amortization of payments received from Pfizer associated with somatrogon.
Per management, total RAYALDEE prescriptions declined 32.8% year over year in the first quarter. During the quarter under review, the company witnessed a decline in sales of RAYALDEE due to the impact of the pandemic.
Margin Analysis
Gross profit in the reported quarter was $181.7 million, up 155.2% from the prior-year quarter. Gross margin was 33.3% of net revenues, down 40 basis points (bps) year over year.
Selling, general and administrative expenses totaled $112.3 million, up 47.6% year over year. Research and development expenses amounted to $19.3 million, down 11.5% year over year.
Operating income in the first quarter was $38.5 million, against the year-ago quarter’s loss of $40.7 million.
Financial Update
The company exited the first quarter with cash, cash equivalents and marketable securities of $89.5 million, compared with $72.2 million on a sequential basis.
Guidance
In the quarter under review, OPKO Health refrained from issuing any guidance.
How Have Estimates Been Moving Since Then?
In the past month, investors have witnessed a downward trend in fresh estimates. The consensus estimate has shifted -54.55% due to these changes.
VGM Scores
Currently, OPKO Health has a strong Growth Score of A, though it is lagging a lot on the Momentum Score front with an F. However, the stock was allocated a grade of B on the value side, putting it in the top 40% for this investment strategy.
Overall, the stock has an aggregate VGM Score of A. If you aren't focused on one strategy, this score is the one you should be interested in.
Outlook
Estimates have been broadly trending downward for the stock, and the magnitude of these revisions indicates a downward shift. Notably, OPKO Health 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:
Image: Bigstock
Why Is OPKO Health (OPK) Down 5.6% Since Last Earnings Report?
A month has gone by since the last earnings report for OPKO Health (OPK - Free Report) . Shares have lost about 5.6% in that time frame, underperforming the S&P 500.
Will the recent negative trend continue leading up to its next earnings release, or is OPKO Health due for a breakout? 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 catalysts.
OPKO Health Q1 Earnings Match Estimates, Revenues Top
OPKO Health, Inc. reported first-quarter 2021 adjusted earnings per share of 5 cents per share, which met the Zacks Consensus Estimate. Notably, the company had reported a loss of 9 cents in the prior-year quarter.
Revenue Details
First-quarter revenues of the company were $545.2 million, which surpassed the Zacks Consensus Estimate by 8.4%. The top line also improved 157.8% on a year-over-year basis.
Segmental Revenues in Q1
Revenues from Services amounted to $507 million in the reported quarter, up 196.8% year over year driven by COVID-19 testing volume. However, decline in revenues in the company’s bases testing business, which represents the negative impact of the COVID-19 pandemic, partially offset the upside.
Revenues from Products rose 9% to $33.9 million owing to higher sales in OPKO Chile and FinTech. However, lower sales in RAYALDEE partially offset the upside.
Revenues from Transfer of intellectual property totaled $4.3 million, down 55.2% year over year, due to a decline in the amortization of payments received from Pfizer associated with somatrogon.
Per management, total RAYALDEE prescriptions declined 32.8% year over year in the first quarter. During the quarter under review, the company witnessed a decline in sales of RAYALDEE due to the impact of the pandemic.
Margin Analysis
Gross profit in the reported quarter was $181.7 million, up 155.2% from the prior-year quarter. Gross margin was 33.3% of net revenues, down 40 basis points (bps) year over year.
Selling, general and administrative expenses totaled $112.3 million, up 47.6% year over year. Research and development expenses amounted to $19.3 million, down 11.5% year over year.
Operating income in the first quarter was $38.5 million, against the year-ago quarter’s loss of $40.7 million.
Financial Update
The company exited the first quarter with cash, cash equivalents and marketable securities of $89.5 million, compared with $72.2 million on a sequential basis.
Guidance
In the quarter under review, OPKO Health refrained from issuing any guidance.
How Have Estimates Been Moving Since Then?
In the past month, investors have witnessed a downward trend in fresh estimates. The consensus estimate has shifted -54.55% due to these changes.
VGM Scores
Currently, OPKO Health has a strong Growth Score of A, though it is lagging a lot on the Momentum Score front with an F. However, the stock was allocated a grade of B on the value side, putting it in the top 40% for this investment strategy.
Overall, the stock has an aggregate VGM Score of A. If you aren't focused on one strategy, this score is the one you should be interested in.
Outlook
Estimates have been broadly trending downward for the stock, and the magnitude of these revisions indicates a downward shift. Notably, OPKO Health has a Zacks Rank #3 (Hold). We expect an in-line return from the stock in the next few months.