Back to top

Image: Bigstock

Pacira (PCRX) Down 4.5% Since Last Earnings Report: Can It Rebound?

Read MoreHide Full Article

It has been about a month since the last earnings report for Pacira (PCRX - Free Report) . Shares have lost about 4.5% in that time frame, underperforming the S&P 500.

Will the recent negative trend continue leading up to its next earnings release, or is Pacira 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.

Pacira's Q3 Earnings Beat Estimates, Revenues Miss Mark

Pacira reported third-quarter 2021 earnings of 72 cents per share, beating the Zacks Consensus Estimate of 66 cents. The company reported earnings of 68 cents per share in the year-ago quarter.

Total revenues increased 8.7% to $127.7 million in the third quarter of 2021 from the year-earlier figure of $117.5 million owing to a continuous strong uptake of Exparel. The top line, however, missed the Zacks Consensus Estimate of $130 million.

Quarter in Detail

Pacira’s top line mainly comprises product revenues, other product sales and royalty revenues.

Exparel net product sales were $121.9 million, up 7.2% from $113.7 million generated in the year-ago quarter. However, sale of the drug decreased 6.3% on a sequential basis.

Exparel/bupivacaine liposome injectable suspension sales came in at $0.7 million in the reported quarter compared with $0.4 million in the year-ago quarter.

Iovera system generated sales worth $4.2 million in the third quarter of 2021, reflecting a sequential increase of 10.5% and a year-over-year rise of 55.5%.

Royalty revenues came in at $0.9 million in the reported quarter compared with $0.6 million in the year-ago period.

Research and development (R&D) expenses (excluding stock-based compensation) declined 21.3% to $10.4 million.

Selling, general and administrative (SG&A) expenses (excluding stock-based compensation) decreased 10.9% year over year to $39.7 million in the reported quarter.

2021 Outlook

Pacira is not providing guidance for 2021 due to the COVID-19 pandemic still negatively impacting sales. As a result, it is reporting monthly intra-quarter unaudited net product sales until the company gains enough visibility around the impacts of COVID-19.

How Have Estimates Been Moving Since Then?

It turns out, fresh estimates have trended upward during the past month.

VGM Scores

At this time, Pacira has a strong Growth Score of A, a grade with the same score on the momentum front. Charting a somewhat similar path, 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 upward for the stock, and the magnitude of these revisions looks promising. Notably, Pacira 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:


Pacira BioSciences, Inc. (PCRX) - free report >>

Published in