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Esperion Therapeutics (ESPR) Down 74.3% Since Last Earnings Report: Can It Rebound?
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A month has gone by since the last earnings report for Esperion Therapeutics (ESPR - Free Report) . Shares have lost about 74.3% 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 the most recent earnings report in order to get a better handle on the important drivers.
Q4 Loss Narrows, Revenues Miss
Esperionincurred a loss per share of 76 cents per share in the fourth quarter of 2022, narrower than the Zacks Consensus Estimate as well as our estimate of a loss of 87 cents per share and 81 cents, respectively. The company incurred a loss of $1.77 per share in the year-ago period.
Esperion generated revenues of $18.8 million, up 22% year over year. However, the reported figure missed the Zacks Consensus Estimate of $20.0 million as well as our estimate of $19.0 million.
Quarter in Detail
Product revenues, solely from the United States, were $15.0 million in the fourth quarter, up approximately 23% year over year. Product revenues were up 7.1% sequentially.
Esperion recorded royalty revenues of $2.3 million during the reported quarter, up 188% year over year. Combined royalty and partner revenues were $3.9 million, up approximately 22% year over year.
Research and development expenses increased 20% from the year-ago period’s levels to $33.0 million due to accelerated costs for the CVOT study.
Selling, general and administrative expenses were down 37% year over year to $24.1 million, reflecting the positive impact of its cost-savings programs as part of its transformational plan announced in 2021.
As of Dec 31, 2022, Esperion had cash, cash equivalents, restricted cash and investment securities of $166.9 million compared with $239.3 million as of Sep 30, 2022.
How Have Estimates Been Moving Since Then?
It turns out, fresh estimates have trended downward during the past month.
The consensus estimate has shifted -33.42% due to these changes.
VGM Scores
At this time, Esperion Therapeutics has an average Growth Score of C, though it is lagging a bit on the Momentum Score front with a D. Charting a somewhat similar path, 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.
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Esperion Therapeutics (ESPR) Down 74.3% Since Last Earnings Report: Can It Rebound?
A month has gone by since the last earnings report for Esperion Therapeutics (ESPR - Free Report) . Shares have lost about 74.3% 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 the most recent earnings report in order to get a better handle on the important drivers.
Q4 Loss Narrows, Revenues Miss
Esperionincurred a loss per share of 76 cents per share in the fourth quarter of 2022, narrower than the Zacks Consensus Estimate as well as our estimate of a loss of 87 cents per share and 81 cents, respectively. The company incurred a loss of $1.77 per share in the year-ago period.
Esperion generated revenues of $18.8 million, up 22% year over year. However, the reported figure missed the Zacks Consensus Estimate of $20.0 million as well as our estimate of $19.0 million.
Quarter in Detail
Product revenues, solely from the United States, were $15.0 million in the fourth quarter, up approximately 23% year over year. Product revenues were up 7.1% sequentially.
Esperion recorded royalty revenues of $2.3 million during the reported quarter, up 188% year over year. Combined royalty and partner revenues were $3.9 million, up approximately 22% year over year.
Research and development expenses increased 20% from the year-ago period’s levels to $33.0 million due to accelerated costs for the CVOT study.
Selling, general and administrative expenses were down 37% year over year to $24.1 million, reflecting the positive impact of its cost-savings programs as part of its transformational plan announced in 2021.
As of Dec 31, 2022, Esperion had cash, cash equivalents, restricted cash and investment securities of $166.9 million compared with $239.3 million as of Sep 30, 2022.
How Have Estimates Been Moving Since Then?
It turns out, fresh estimates have trended downward during the past month.
The consensus estimate has shifted -33.42% due to these changes.
VGM Scores
At this time, Esperion Therapeutics has an average Growth Score of C, though it is lagging a bit on the Momentum Score front with a D. Charting a somewhat similar path, 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.