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What's in Store for These 5 Drug/Biotech Stocks in Q3 Earnings?
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Key Takeaways
BMY's growth portfolio sales may offset declines in legacy medicines as Q3 results approach.
LLY's GLP-1 drugs drive growth expectations, while rival Wegovy poses a competitive challenge.
MRK's Keytruda and GILD's HIV therapies support growth, while vaccine and cell therapy sales face pressure.
The third-quarter 2026 reporting cycle for the Medical sector is about to pick up pace this week, as most drug and biotech companies are slated to report their earnings results over the next two weeks. The sector mainly comprises pharma/biotech and medical device companies.
Per the Earnings Trends report, as of Oct. 21, 11.7% of the companies in the Medical sector, representing 27.1% of the sector’s market capitalization, reported quarterly earnings. Of these, 85.7% exceeded earnings and sales estimates. Earnings increased 12.1% year over year, while revenues inched up 2.2%. Overall, third-quarter earnings in the medical sector are expected to decrease 1.3%, while sales are projected to rise 4.5% from the year-ago quarter.
The earnings season for the drug and biotech sector kicked off around mid-October when bellwether Johnson & Johnson reported third-quarter results, beating earnings estimates while sales fell slightly short. J&J consequently raised its sales expectations for 2026 to reflect a strong operational performance so far this year.
Bristol Myers (BMY - Free Report) , Eli Lilly (LLY - Free Report) , Merck (MRK - Free Report) , AbbVie (ABBV - Free Report) and Gilead Sciences (GILD - Free Report) are all slated to release their quarterly results this week. Let us examine how these biotech/pharma companies are likely to have performed in the soon-to-be-reported quarter.
Bristol Myers
Bristol Myers has an excellent earnings record. BMY’s earnings beat estimates in the trailing four quarters, delivering an average surprise of 14.43%. In the last reported quarter, Bristol Myers’ earnings surpassed estimates by 28.30%.
Per our proven model, companies with the combination of a positive Earnings ESP and a Zacks Rank #1 (Strong Buy), 2 (Buy) or 3 (Hold) have a good chance of delivering an earnings beat. You can uncover the best stocks to buy or sell before they are reported with our Earnings ESP Filter.
Bristol Myers has an Earnings ESP of -15.06% and a Zacks Rank #3 at present. The Zacks Consensus Estimate for sales and earnings for the third quarter is pegged at $12.56 billion and $1.28 per share, respectively. You can see the complete list of today’s Zacks #1 Rank stocks here.
Bristol Myers’ revenues in the third quarter of 2026 are likely to have been positively impacted by an increase in growth portfolio sales. The growth portfolio primarily comprises drugs like Opdivo Qvantig, Orencia, Yervoy, Reblozyl, Camzyos, Breyanzi, Opdualag, Zeposia, Abecma, Sotyku, Krazati and Cobenfy. However, total quarterly revenues are likely to have been affected by a decline in sales from the legacy portfolio, which includes Eliquis, Revlimid, Pomalyst, Sprycel and Abraxane.
Bristol Myers is slated to release its quarterly earnings results before the opening bell on Oct. 29.
Eli Lilly has an impeccable earnings surprise history so far. The company beat estimates in the trailing four reported quarters, delivering an average surprise of 21.25%. In the last reported quarter, LLY delivered an earnings surprise of 39.43%.
Eli Lilly has an Earnings ESP of 0.00% and a Zacks Rank #3 at present. The Zacks Consensus Estimate for sales and earnings for the third quarter is pegged at $22.11 billion and $5.38 per share, respectively.
Beyond its cardiometabolic portfolio, LLY’s oncology and immunology drugs are also expected to have contributed to third-quarter revenue growth. However, lower drug prices and declining sales of some older medicines may have partially offset these gains.
Eli Lilly is scheduled to release quarterly earnings results before the opening bell on Oct. 29.
Merck has an encouraging earnings record. It beat earnings estimates in the last four quarters, delivering an average earnings surprise of 18.76%. In the last reported quarter, MRK beat earnings estimates by 50%.
Merck has an Earnings ESP of -0.99% and a Zacks Rank #5 (Strong Sell) at present. The Zacks Consensus Estimate for sales and earnings for the third quarter is pegged at $17.23 billion and $2.12 per share, respectively.
Merck’s third-quarter top-line growth is expected to be driven by higher Keytruda sales, supported by additional indications and strong patient demand, along with contributions from new products like Winrevair, Welireg and Capvaxive, and its Animal Health segment. However, lower Gardasil and other vaccine sales may partially offset the rise.
Merck is scheduled to release quarterly earnings results before the opening bell on Oct. 29.
AbbVie has an impeccable earnings record to date. ABBV’s earnings beat estimates in the trailing four quarters, delivering an average earnings surprise of 2.10%. In the last reported quarter, AbbVie’s earnings beat estimates by 0.27%.
For the quarter to be reported, AbbVie has an Earnings ESP of -0.33% and a Zacks Rank #4 (Sell) at present. The Zacks Consensus Estimate for sales and earnings for the third quarter is pegged at $17.37 billion and $3.77 per share, respectively.
AbbVie’s top line is expected to have been driven by robust sales of key immunology drugs Rinvoq and Skyrizi, coupled with significant contributions from its neuroscience and oncology franchises.
ABBV is scheduled to report quarterly earnings results on Oct. 30, before the opening bell.
Gilead Sciences has an excellent earnings record so far. It beat earnings estimates in the last four quarters, delivering an average surprise of 7.12%. In the last reported quarter, GILD beat earnings estimates by 4.53%.
For the third quarter of 2026, Gilead Sciences has an Earnings ESP of +4.08% and a Zacks Rank #3, indicating a positive surprise. The Zacks Consensus Estimate for sales and earnings for the third quarter is pegged at $7.81 billion and $2.17 per share, respectively.
Gilead Sciences’ third-quarter 2026 sales are likely to have been driven by strong demand for its flagship HIV therapies, Biktarvy and Descovy. Higher sales of Livdelzi, which treats primary biliary cholangitis, and cancer drug Trodelvy are also expected to have supported revenue growth. However, these gains are anticipated to have been partially offset by lower Cell Therapy sales, with Yescarta and Tecartus facing competitive pressures in the United States and international markets.
Gilead Sciences is slated to report third-quarter 2025 earnings results on Oct. 29, after market close.
View the Zacks #1 Rank List
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What's in Store for These 5 Drug/Biotech Stocks in Q3 Earnings?
Key Takeaways
The third-quarter 2026 reporting cycle for the Medical sector is about to pick up pace this week, as most drug and biotech companies are slated to report their earnings results over the next two weeks. The sector mainly comprises pharma/biotech and medical device companies.
Per the Earnings Trends report, as of Oct. 21, 11.7% of the companies in the Medical sector, representing 27.1% of the sector’s market capitalization, reported quarterly earnings. Of these, 85.7% exceeded earnings and sales estimates. Earnings increased 12.1% year over year, while revenues inched up 2.2%. Overall, third-quarter earnings in the medical sector are expected to decrease 1.3%, while sales are projected to rise 4.5% from the year-ago quarter.
The earnings season for the drug and biotech sector kicked off around mid-October when bellwether Johnson & Johnson reported third-quarter results, beating earnings estimates while sales fell slightly short. J&J consequently raised its sales expectations for 2026 to reflect a strong operational performance so far this year.
Bristol Myers (BMY - Free Report) , Eli Lilly (LLY - Free Report) , Merck (MRK - Free Report) , AbbVie (ABBV - Free Report) and Gilead Sciences (GILD - Free Report) are all slated to release their quarterly results this week. Let us examine how these biotech/pharma companies are likely to have performed in the soon-to-be-reported quarter.
Bristol Myers
Bristol Myers has an excellent earnings record. BMY’s earnings beat estimates in the trailing four quarters, delivering an average surprise of 14.43%. In the last reported quarter, Bristol Myers’ earnings surpassed estimates by 28.30%.
Per our proven model, companies with the combination of a positive Earnings ESP and a Zacks Rank #1 (Strong Buy), 2 (Buy) or 3 (Hold) have a good chance of delivering an earnings beat. You can uncover the best stocks to buy or sell before they are reported with our Earnings ESP Filter.
Bristol Myers has an Earnings ESP of -15.06% and a Zacks Rank #3 at present. The Zacks Consensus Estimate for sales and earnings for the third quarter is pegged at $12.56 billion and $1.28 per share, respectively. You can see the complete list of today’s Zacks #1 Rank stocks here.
Bristol Myers’ revenues in the third quarter of 2026 are likely to have been positively impacted by an increase in growth portfolio sales. The growth portfolio primarily comprises drugs like Opdivo Qvantig, Orencia, Yervoy, Reblozyl, Camzyos, Breyanzi, Opdualag, Zeposia, Abecma, Sotyku, Krazati and Cobenfy. However, total quarterly revenues are likely to have been affected by a decline in sales from the legacy portfolio, which includes Eliquis, Revlimid, Pomalyst, Sprycel and Abraxane.
Bristol Myers is slated to release its quarterly earnings results before the opening bell on Oct. 29.
Bristol Myers Squibb Company Price and Consensus
Bristol Myers Squibb Company price-consensus-chart | Bristol Myers Squibb Company Quote
Eli Lilly
Eli Lilly has an impeccable earnings surprise history so far. The company beat estimates in the trailing four reported quarters, delivering an average surprise of 21.25%. In the last reported quarter, LLY delivered an earnings surprise of 39.43%.
Eli Lilly has an Earnings ESP of 0.00% and a Zacks Rank #3 at present. The Zacks Consensus Estimate for sales and earnings for the third quarter is pegged at $22.11 billion and $5.38 per share, respectively.
LLY is expected to deliver another strong quarter, driven by strong demand for its blockbuster GLP-1 drugs (Mounjaro and Zepbound), supported by improved supply and deeper U.S. market penetration. Sales of its newly launched once-daily oral GLP-1 pill, Foundayo, are expected to increase in the soon-to-be-reported quarter.
Beyond its cardiometabolic portfolio, LLY’s oncology and immunology drugs are also expected to have contributed to third-quarter revenue growth. However, lower drug prices and declining sales of some older medicines may have partially offset these gains.
Eli Lilly is scheduled to release quarterly earnings results before the opening bell on Oct. 29.
Eli Lilly and Company Price and Consensus
Eli Lilly and Company price-consensus-chart | Eli Lilly and Company Quote
Merck
Merck has an encouraging earnings record. It beat earnings estimates in the last four quarters, delivering an average earnings surprise of 18.76%. In the last reported quarter, MRK beat earnings estimates by 50%.
Merck has an Earnings ESP of -0.99% and a Zacks Rank #5 (Strong Sell) at present. The Zacks Consensus Estimate for sales and earnings for the third quarter is pegged at $17.23 billion and $2.12 per share, respectively.
Merck’s third-quarter top-line growth is expected to be driven by higher Keytruda sales, supported by additional indications and strong patient demand, along with contributions from new products like Winrevair, Welireg and Capvaxive, and its Animal Health segment. However, lower Gardasil and other vaccine sales may partially offset the rise.
Merck is scheduled to release quarterly earnings results before the opening bell on Oct. 29.
Merck & Co., Inc. Price and Consensus
Merck & Co., Inc. price-consensus-chart | Merck & Co., Inc. Quote
AbbVie
AbbVie has an impeccable earnings record to date. ABBV’s earnings beat estimates in the trailing four quarters, delivering an average earnings surprise of 2.10%. In the last reported quarter, AbbVie’s earnings beat estimates by 0.27%.
For the quarter to be reported, AbbVie has an Earnings ESP of -0.33% and a Zacks Rank #4 (Sell) at present. The Zacks Consensus Estimate for sales and earnings for the third quarter is pegged at $17.37 billion and $3.77 per share, respectively.
AbbVie’s top line is expected to have been driven by robust sales of key immunology drugs Rinvoq and Skyrizi, coupled with significant contributions from its neuroscience and oncology franchises.
ABBV is scheduled to report quarterly earnings results on Oct. 30, before the opening bell.
AbbVie Inc. Price and Consensus
AbbVie Inc. price-consensus-chart | AbbVie Inc. Quote
Gilead Sciences
Gilead Sciences has an excellent earnings record so far. It beat earnings estimates in the last four quarters, delivering an average surprise of 7.12%. In the last reported quarter, GILD beat earnings estimates by 4.53%.
For the third quarter of 2026, Gilead Sciences has an Earnings ESP of +4.08% and a Zacks Rank #3, indicating a positive surprise. The Zacks Consensus Estimate for sales and earnings for the third quarter is pegged at $7.81 billion and $2.17 per share, respectively.
Gilead Sciences’ third-quarter 2026 sales are likely to have been driven by strong demand for its flagship HIV therapies, Biktarvy and Descovy. Higher sales of Livdelzi, which treats primary biliary cholangitis, and cancer drug Trodelvy are also expected to have supported revenue growth. However, these gains are anticipated to have been partially offset by lower Cell Therapy sales, with Yescarta and Tecartus facing competitive pressures in the United States and international markets.
Gilead Sciences is slated to report third-quarter 2025 earnings results on Oct. 29, after market close.
Gilead Sciences, Inc. Price and Consensus
Gilead Sciences, Inc. price-consensus-chart | Gilead Sciences, Inc. Quote