We use cookies to understand how you use our site and to improve your experience.
This includes personalizing content and advertising.
By pressing "Accept All" or closing out of this banner, you consent to the use of all cookies and similar technologies and the sharing of information they collect with third parties.
You can reject marketing cookies by pressing "Deny Optional," but we still use essential, performance, and functional cookies.
In addition, whether you "Accept All," Deny Optional," click the X or otherwise continue to use the site, you accept our Privacy Policy and Terms of Service, revised from time to time.
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.
RVMD Reports Wider-Than-Expected Loss in Q1, Raises '26 Expense View
Read MoreHide Full Article
Key Takeaways
Revolution Medicines posted a Q1 loss of $2.29 per share, missing the consensus estimate.
The company raised 2026 operating expense guidance to $1.7B-$1.8B from $1.6B-$1.7B.
RVMD plans global filings for daraxonrasib after a late-stage PDAC study met all endpoints.
Revolution Medicines (RVMD - Free Report) reported a first-quarter 2026 loss of $2.29 per share, wider than the Zacks Consensus Estimate of a loss of $1.83. The company had incurred a loss of $1.13 in the year-ago quarter.
Currently, RVMD does not have any approved products in its portfolio. It has yet to generate revenues.
RVMD’s Stock Performance
Shares of Revolution Medicines have surged 83% year to date compared with the industry’s nil growth.
Image Source: Zacks Investment Research
More on RVMD’s Earnings
Research and development expenses amounted to about $344 million, up 67% year over year. This significant increase was primarily driven by higher costs associated with clinical studies and manufacturing for the company’s drug candidates.
General and administrative expenses surged 189% to $101.3 million, primarily driven by higher stock-based compensation expenses, headcount costs and administrative costs, as well as increased commercial preparation activities during the quarter.
As of March 31, 2026, Revolution Medicines had cash and cash equivalents worth $1.9 billion compared with $2 billion as of Dec. 31, 2025.
RVMD Updates 2026 Guidance
The company revised its guidance for operating expenses. It expects the figure to be between $1.7 billion and $1.8 billion (previously: $1.6-$1.7 billion), which includes non-cash stock-based compensation expense of $260-$280 million (previously: $180-$200 million).
Pipeline Updates
Revolution Medicines is developing multiple novel drugs that target the active, GTP-bound form (or ON form) of RAS proteins, which it refers to as RAS(ON). The company’s lead pipeline drug is daraxonrasib, an investigational oral RAS(ON) multi-selective inhibitor designed to target all three major RAS mutation hotspot positions (G12, G13 and Q61). RVMD is currently evaluating daraxonrasib across four late-stage registrational studies — three in pancreatic ductal adenocarcinoma (PDAC) and one in non-small cell lung cancer (NSCLC).
Revolution Medicines is also evaluating daraxonrasib for several other settings in PDAC. While the RASolute 303 study is assessing the drug for the first-line metastatic setting of the disease, the RASolute 304 study is evaluating its efficacy as an adjuvant therapy for patients with resectable PDAC.
Concerning NSCLC, the company is conducting the RASolve 301 study on daraxonrasib in patients with locally advanced or metastatic RAS-mutated NSCLC. It is on track to start a fifth late-stage study of the drug in the first-line NSCLC setting later this year.
While multi-selective inhibitors like daraxonrasib target several forms of RAS mutations, Revolution Medicines is developing mutant-selective inhibitors like elironrasib (targeting G12C) and zoldonrasib (targeting G12D), which are designed to suppress the growth of specific RAS-bearing cancer cells. The company is pursuing an expansive combination strategy to enhance efficacy and broaden therapeutic reach, especially in first-line settings.
In February, RVMD announced that it started the phase III RASolute 305 study evaluating the combination of zoldonrasib and the investigator’s choice of chemotherapy (either gemcitabine nab-paclitaxel or modified FOLFIRINOX) in patients with first-line PDAC. Later this year, it plans to initiate two more late-stage studies assessing a combination therapy involving the drug — one in NSCLC and another in PDAC.
To further strengthen its position in the RAS-addicted cancer space, Revolution Medicines has entered into several agreements with different companies to accelerate pipeline growth. The company has established clinical collaborations with Bristol Myers (BMY - Free Report) , Summit Therapeutics (SMMT - Free Report) and Tango Therapeutics (TNGX - Free Report) to evaluate the combinations of its RAS(ON) inhibitors with their pipeline drugs.
View the Zacks #1 Rank List
Image: Bigstock
RVMD Reports Wider-Than-Expected Loss in Q1, Raises '26 Expense View
Key Takeaways
Revolution Medicines (RVMD - Free Report) reported a first-quarter 2026 loss of $2.29 per share, wider than the Zacks Consensus Estimate of a loss of $1.83. The company had incurred a loss of $1.13 in the year-ago quarter.
Currently, RVMD does not have any approved products in its portfolio. It has yet to generate revenues.
RVMD’s Stock Performance
Shares of Revolution Medicines have surged 83% year to date compared with the industry’s nil growth.
Image Source: Zacks Investment Research
More on RVMD’s Earnings
Research and development expenses amounted to about $344 million, up 67% year over year. This significant increase was primarily driven by higher costs associated with clinical studies and manufacturing for the company’s drug candidates.
General and administrative expenses surged 189% to $101.3 million, primarily driven by higher stock-based compensation expenses, headcount costs and administrative costs, as well as increased commercial preparation activities during the quarter.
As of March 31, 2026, Revolution Medicines had cash and cash equivalents worth $1.9 billion compared with $2 billion as of Dec. 31, 2025.
RVMD Updates 2026 Guidance
The company revised its guidance for operating expenses. It expects the figure to be between $1.7 billion and $1.8 billion (previously: $1.6-$1.7 billion), which includes non-cash stock-based compensation expense of $260-$280 million (previously: $180-$200 million).
Pipeline Updates
Revolution Medicines is developing multiple novel drugs that target the active, GTP-bound form (or ON form) of RAS proteins, which it refers to as RAS(ON). The company’s lead pipeline drug is daraxonrasib, an investigational oral RAS(ON) multi-selective inhibitor designed to target all three major RAS mutation hotspot positions (G12, G13 and Q61). RVMD is currently evaluating daraxonrasib across four late-stage registrational studies — three in pancreatic ductal adenocarcinoma (PDAC) and one in non-small cell lung cancer (NSCLC).
Last month, RVMD reported that the RASolute 302 study, which evaluated the drug in patients with second-line metastatic PDAC, met all primary and secondary endpoints. Based on this result, the company plans to advance regulatory submissions globally. For the FDA submission, Revolution Medicines intends to use the Commissioner’s National Priority Voucher to significantly reduce the review period to just 1-2 months.
Revolution Medicines is also evaluating daraxonrasib for several other settings in PDAC. While the RASolute 303 study is assessing the drug for the first-line metastatic setting of the disease, the RASolute 304 study is evaluating its efficacy as an adjuvant therapy for patients with resectable PDAC.
Concerning NSCLC, the company is conducting the RASolve 301 study on daraxonrasib in patients with locally advanced or metastatic RAS-mutated NSCLC. It is on track to start a fifth late-stage study of the drug in the first-line NSCLC setting later this year.
While multi-selective inhibitors like daraxonrasib target several forms of RAS mutations, Revolution Medicines is developing mutant-selective inhibitors like elironrasib (targeting G12C) and zoldonrasib (targeting G12D), which are designed to suppress the growth of specific RAS-bearing cancer cells. The company is pursuing an expansive combination strategy to enhance efficacy and broaden therapeutic reach, especially in first-line settings.
In February, RVMD announced that it started the phase III RASolute 305 study evaluating the combination of zoldonrasib and the investigator’s choice of chemotherapy (either gemcitabine nab-paclitaxel or modified FOLFIRINOX) in patients with first-line PDAC. Later this year, it plans to initiate two more late-stage studies assessing a combination therapy involving the drug — one in NSCLC and another in PDAC.
To further strengthen its position in the RAS-addicted cancer space, Revolution Medicines has entered into several agreements with different companies to accelerate pipeline growth. The company has established clinical collaborations with Bristol Myers (BMY - Free Report) , Summit Therapeutics (SMMT - Free Report) and Tango Therapeutics (TNGX - Free Report) to evaluate the combinations of its RAS(ON) inhibitors with their pipeline drugs.
Revolution Medicines, Inc. Price
Revolution Medicines, Inc. price | Revolution Medicines, Inc. Quote
RVMD’s Zacks Rank
Revolution currently carries a Zacks Rank #3 (Hold). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.