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Krystal Biotech (KRYS) Soars 3.4%: Is Further Upside Left in the Stock?

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Krystal Biotech, Inc. (KRYS - Free Report) shares soared 3.4% in the last trading session to close at $372.25. The move was backed by solid volume with far more shares changing hands than in a normal session. This compares to the stock's 16% gain over the past four weeks.

Krystal Biotech’s stock price surge is likely tied to the growing investor confidence around the company's commercial execution and expanding gene therapy pipeline. The biggest growth driver continues to be Vyjuvek, the first approved topical gene therapy for dystrophic epidermolysis bullosa (DEB), which is witnessing strong patient uptake in the United States and an expanding international launch.  Additionally, the company is advancing KB407 for cystic fibrosis, with repeat-dose study data expected later this year, while KB408 continues to progress in alpha-1 antitrypsin deficiency lung disease. In ophthalmology, KB801 (neurotrophic keratitis) and KB803 (corneal abrasions in DEB patients) are advancing toward key clinical readouts in 2026, representing important value-creation catalysts.

This company is expected to post quarterly earnings of $1.80 per share in its upcoming report, which represents a year-over-year change of +39.5%. Revenues are expected to be $118 million, up 22.9% from the year-ago quarter.

Earnings and revenue growth expectations certainly give a good sense of the potential strength in a stock, but empirical research shows that trends in earnings estimate revisions are strongly correlated with near-term stock price movements.

For Krystal Biotech, the consensus EPS estimate for the quarter has remained unchanged over the last 30 days. And a stock's price usually doesn't keep moving higher in the absence of any trend in earnings estimate revisions. So, make sure to keep an eye on KRYS going forward to see if this recent jump can turn into more strength down the road.

 

The stock currently carries a Zacks Rank #3 (Hold). You can see the complete list of today's Zacks Rank #1 (Strong Buy) stocks here >>>>

Krystal Biotech is a member of the Zacks Medical - Biomedical and Genetics industry. One other stock in the same industry, Immunocore Holdings PLC Sponsored ADR (IMCR - Free Report) , finished the last trading session 1.1% higher at $30.88. IMCR has returned 5.4% over the past month.

Immunocore's consensus EPS estimate for the upcoming report has remained unchanged over the past month at -$0.01. Compared to the company's year-ago EPS, this represents a change of +95%. Immunocore currently boasts a Zacks Rank of #1 (Strong Buy).

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