A month has gone by since the last earnings report for Theravance Biopharma (TBPH Quick QuoteTBPH - Free Report) . Shares have lost about 3.7% in that time frame, underperforming the S&P 500.

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

Theravance's Q3 Earnings Surpass Estimates, Revenues Match

Theravance reported third-quarter 2025 adjusted earnings of 4 cents per share against the Zacks Consensus Estimate of a loss of 3 cents. In the year-ago quarter, the company had incurred an adjusted loss of 6 cents per share.

Total revenues in the third quarter came in at $20 million, in line with the Zacks Consensus Estimate. Revenues surged 19% year over year, owing to increased collaboration revenues from partner Viatris.

Quarter in Detail

The top line solely comprised Viatris’ collaboration revenues in relation to Yupelri sales during the third quarter.

Research and development expenses (excluding share-based compensation) totaled $7 million, down almost 14.6% from the year-ago quarter’s level.

Selling, general and administrative expenses (excluding share-based compensation) increased around 13.8% year over year to $14.8 million.

As of Sept. 30, 2025, Theravance had cash, cash equivalents and marketable securities worth $332.7 million compared with $338.8 million as of June 30, 2025.

2025 Guidance

Theravance reaffirmed its financial guidance for 2025.

The company continues to expect adjusted R&D expenses (excluding share-based compensation) in the $32-$38 million range in 2025. Adjusted SG&A expenses (excluding share-based compensation) are still projected between $50 million and $60 million.

Theravance continues to expect share-based compensation expenses of $18-$20 million in 2025.

Theravance expects adjusted margin in the fourth quarter of 2025 to be similar to third-quarter levels.

How Have Estimates Been Moving Since Then?

In the past month, investors have witnessed a downward trend in estimates review.

The consensus estimate has shifted 230.16% due to these changes.

VGM Scores

Currently, Theravance Bio has a strong Growth Score of A, though it is lagging a bit on the Momentum Score front with a B. Charting a somewhat similar path, the stock has a grade of C on the value side, putting it in the middle 20% 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 looks promising. Notably, Theravance Bio has a Zacks Rank #2 (Buy). We expect an above average return from the stock in the next few months.

Performance of an Industry Player

Theravance Bio is part of the Zacks Medical - Drugs industry. Over the past month, Corcept Therapeutics (CORT Quick QuoteCORT - Free Report) , a stock from the same industry, has gained 5.2%. The company reported its results for the quarter ended September 2025 more than a month ago.

Corcept reported revenues of $207.64 million in the last reported quarter, representing a year-over-year change of +13.7%. EPS of $0.16 for the same period compares with $0.41 a year ago.

Corcept is expected to post earnings of $0.27 per share for the current quarter, representing a year-over-year change of +3.9%. Over the last 30 days, the Zacks Consensus Estimate has changed -10.9%.

Corcept has a Zacks Rank #4 (Sell) based on the overall direction and magnitude of estimate revisions. Additionally, the stock has a VGM Score of C.