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 Esperion Therapeutics (ESPR) Down 24.5% Since Last Earnings Report?
Read MoreHide Full Article
A month has gone by since the last earnings report for Esperion Therapeutics (ESPR - Free Report) . Shares have lost about 24.5% in that time frame, underperforming the S&P 500.
Will the recent negative trend continue leading up to its next earnings release, or is Esperion Therapeutics 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 catalysts.
Esperion Q3 Earnings & Revenues Top Estimates
Esperion incurred a loss per share of $2.62 per share for the third quarter of 2021, narrower than the Zacks Consensus Estimate of a loss of $2.86 per share. The company had recorded earnings of $3.07 per share in the year-ago period.
The company generated revenues of $14.4 million, beating the Zacks Consensus Estimate of $12.31 million. The company had recorded revenues of $3.8 million in the year-ago quarter.
Quarter in Details
Product revenues, solely from the United States, were $10.9 million in the third quarter compared with $3.3 million in the year-ago quarter and $10.3 million in the previous quarter. The company stated that prescriptions for its drugs were up 10% year over year.
The company recorded royalty revenues of $1.2 million during the reported quarter, compared with $1 million in the previous quarter. The company earns royalties from Daiichi on sales of its drugs in Europe and other include countries. The drugs continued to show strong momentum in Europe. Royalty revenues was included in Collaboration revenues, which were $3.5 million during the third quarter, compared with $0.5 million in the year-ago quarter.
Research and development (R&D) expenses decreased 28.3% from the year-ago period to $25.3 million due to lower clinical activities.
Selling, general and administrative expenses (SG&A) were down 19.5% year over year to $39.3 million.
As of Sep 30, 2021, Esperion had cash, cash equivalents and investment securities of $153.7 million compared with $219.2 million as of Jun 30, 2021.
Guidance for 2021 & 2022
Esperion lowered its guidance for R&D and SG&A costs in 2021 and provided a new guidance for 2022. The company anticipates R&D expense for 2021 to be in the range of $110-$115 million compared with $120-$130 million expected previously. SG&A expense is expected to be between $195 million and $200 million, down from the previous expectation of $200-$210 million.
The company expects R&D expense for 2022 to be in the range of $100-$110 million, while SG&A expense is expected to be between $120 million and $130 million.
How Have Estimates Been Moving Since Then?
In the past month, investors have witnessed a downward trend in estimates revision. The consensus estimate has shifted -17.26% due to these changes.
VGM Scores
At this time, Esperion Therapeutics 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 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.
Outlook
Estimates have been broadly trending downward for the stock, and the magnitude of these revisions indicates a downward shift. Notably, Esperion Therapeutics 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 Esperion Therapeutics (ESPR) Down 24.5% Since Last Earnings Report?
A month has gone by since the last earnings report for Esperion Therapeutics (ESPR - Free Report) . Shares have lost about 24.5% in that time frame, underperforming the S&P 500.
Will the recent negative trend continue leading up to its next earnings release, or is Esperion Therapeutics 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 catalysts.
Esperion Q3 Earnings & Revenues Top Estimates
Esperion incurred a loss per share of $2.62 per share for the third quarter of 2021, narrower than the Zacks Consensus Estimate of a loss of $2.86 per share. The company had recorded earnings of $3.07 per share in the year-ago period.
The company generated revenues of $14.4 million, beating the Zacks Consensus Estimate of $12.31 million. The company had recorded revenues of $3.8 million in the year-ago quarter.
Quarter in Details
Product revenues, solely from the United States, were $10.9 million in the third quarter compared with $3.3 million in the year-ago quarter and $10.3 million in the previous quarter. The company stated that prescriptions for its drugs were up 10% year over year.
The company recorded royalty revenues of $1.2 million during the reported quarter, compared with $1 million in the previous quarter. The company earns royalties from Daiichi on sales of its drugs in Europe and other include countries. The drugs continued to show strong momentum in Europe. Royalty revenues was included in Collaboration revenues, which were $3.5 million during the third quarter, compared with $0.5 million in the year-ago quarter.
Research and development (R&D) expenses decreased 28.3% from the year-ago period to $25.3 million due to lower clinical activities.
Selling, general and administrative expenses (SG&A) were down 19.5% year over year to $39.3 million.
As of Sep 30, 2021, Esperion had cash, cash equivalents and investment securities of $153.7 million compared with $219.2 million as of Jun 30, 2021.
Guidance for 2021 & 2022
Esperion lowered its guidance for R&D and SG&A costs in 2021 and provided a new guidance for 2022. The company anticipates R&D expense for 2021 to be in the range of $110-$115 million compared with $120-$130 million expected previously. SG&A expense is expected to be between $195 million and $200 million, down from the previous expectation of $200-$210 million.
The company expects R&D expense for 2022 to be in the range of $100-$110 million, while SG&A expense is expected to be between $120 million and $130 million.
How Have Estimates Been Moving Since Then?
In the past month, investors have witnessed a downward trend in estimates revision. The consensus estimate has shifted -17.26% due to these changes.
VGM Scores
At this time, Esperion Therapeutics 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 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.
Outlook
Estimates have been broadly trending downward for the stock, and the magnitude of these revisions indicates a downward shift. Notably, Esperion Therapeutics has a Zacks Rank #3 (Hold). We expect an in-line return from the stock in the next few months.