It has been about a month since the last earnings report for Infinity Pharmaceuticals, Inc. . Shares have lost about 37.4% in that time frame, underperforming the market.
Will the recent negative trend continue leading up to the stock's next earnings release, or is it 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 drivers.
Infinity Reports Narrower-than-Expected Loss in Q4
Infinity reported a loss of $0.46 per share in fourth-quarter 2016, much narrower than the Zacks Consensus Estimate loss of $0.63. Also, in the year-ago quarter, the company had reported loss of $0.80.
Since Infinity does not have any approved product in its portfolio, the company earns revenues in the form of royalties, license and milestone payments as well as research and development (R&D) support fees paid by its partners.
Infinity did not record any revenue during fourth-quarter 2016. But it had recorded collaboration revenue of $9.08 million in the year-ago quarter.
Quarter in Detail
In the reported quarter, R&D expenses plummeted 62.3% to $14.7 million. General and administrative (G&A) expenses were $8.6 million for the reported quarter, down 8.3% year over year.
Currently, Infinity is evaluating IPI-549 as a monotherapy and in combination with Opdivo (nivolumab) in a phase I study in patients with advanced solid tumors.
The company anticipates completing the monotherapy dose-escalation phase of the study in the first half of 2017 and also initiating a monotherapy expansion cohort in the second half of 2017. In addition, it expects to complete the dose-escalation phase evaluating IPI-549 in combination with Opdivo in the second half of 2017, and initiate multiple combination expansion cohorts.
2016 Results
In 2016, the company incurred loss of 61 cents per share compared with loss of $2.62 in 2015.
For full-year 2016, revenues were $18.7 million related to Infinity's previous collaboration agreement with AbbVie compared with $109.1 million in 2015.
2017 Outlook
In 2017, Infinity expects net loss for 2017 to be in the range of $40 million to $50 million. Mention zacks consensus estimate for 2017. Moroever, the company expects to end 2017 with year-end cash and cash equivalents as well as available-for-sale securities balance, ranging from $40 million to $50 million.
How Have Estimates Been Moving Since Then?
Analysts were quiet during the last one month period as none of them issued any earnings estimate revisions.
VGM Scores
At this time, Infinity's stock has a nice score of 'B' on growth and momentum front. However, the stock was allocated a grade of 'F' on the value side, putting it in the lowest quintile for this investment strategy.
Overall, the stock has an aggregate VGM Score of 'C'. If you aren't focused on one strategy, this score is the one you should be interested in.
Our style scores indicate that the stock is suitable for momentum and growth investors.
Outlook
The stock has a Zacks Rank #1 (Strong Buy). We are expecting an above average return from the stock in the next few months.
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Why Is Infinity (INFI) Down 37.4% Since the Last Earnings Report?
It has been about a month since the last earnings report for Infinity Pharmaceuticals, Inc. . Shares have lost about 37.4% in that time frame, underperforming the market.
Will the recent negative trend continue leading up to the stock's next earnings release, or is it 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 drivers.
Infinity Reports Narrower-than-Expected Loss in Q4
Infinity reported a loss of $0.46 per share in fourth-quarter 2016, much narrower than the Zacks Consensus Estimate loss of $0.63. Also, in the year-ago quarter, the company had reported loss of $0.80.
Since Infinity does not have any approved product in its portfolio, the company earns revenues in the form of royalties, license and milestone payments as well as research and development (R&D) support fees paid by its partners.
Infinity did not record any revenue during fourth-quarter 2016. But it had recorded collaboration revenue of $9.08 million in the year-ago quarter.
Quarter in Detail
In the reported quarter, R&D expenses plummeted 62.3% to $14.7 million. General and administrative (G&A) expenses were $8.6 million for the reported quarter, down 8.3% year over year.
Currently, Infinity is evaluating IPI-549 as a monotherapy and in combination with Opdivo (nivolumab) in a phase I study in patients with advanced solid tumors.
The company anticipates completing the monotherapy dose-escalation phase of the study in the first half of 2017 and also initiating a monotherapy expansion cohort in the second half of 2017. In addition, it expects to complete the dose-escalation phase evaluating IPI-549 in combination with Opdivo in the second half of 2017, and initiate multiple combination expansion cohorts.
2016 Results
In 2016, the company incurred loss of 61 cents per share compared with loss of $2.62 in 2015.
For full-year 2016, revenues were $18.7 million related to Infinity's previous collaboration agreement with AbbVie compared with $109.1 million in 2015.
2017 Outlook
In 2017, Infinity expects net loss for 2017 to be in the range of $40 million to $50 million. Mention zacks consensus estimate for 2017. Moroever, the company expects to end 2017 with year-end cash and cash equivalents as well as available-for-sale securities balance, ranging from $40 million to $50 million.
How Have Estimates Been Moving Since Then?
Analysts were quiet during the last one month period as none of them issued any earnings estimate revisions.
Infinity Pharmaceuticals, Inc. Price and Consensus
Infinity Pharmaceuticals, Inc. Price and Consensus | Infinity Pharmaceuticals, Inc. Quote
VGM Scores
At this time, Infinity's stock has a nice score of 'B' on growth and momentum front. However, the stock was allocated a grade of 'F' on the value side, putting it in the lowest quintile for this investment strategy.
Overall, the stock has an aggregate VGM Score of 'C'. If you aren't focused on one strategy, this score is the one you should be interested in.
Our style scores indicate that the stock is suitable for momentum and growth investors.
Outlook
The stock has a Zacks Rank #1 (Strong Buy). We are expecting an above average return from the stock in the next few months.