A month has gone by since the last earnings report for AMAG Pharmaceuticals . Shares have added about 6.8% in that time frame, underperforming the S&P 500.
Will the recent positive trend continue leading up to its next earnings release, or is AMAG Pharmaceuticals due for a pullback? Before we dive into how investors and analysts have reacted as of late, let's take a quick look at the most recent earnings report in order to get a better handle on the important catalysts.
AMAG Reports Q1 Loss, Beats on Revenues
AMAG incurred an adjusted (excluding one-time expenses) loss of 39 cents per share in the first quarter of 2020, narrower than the year-ago reported loss of $3.32. The Zacks Consensus Estimate was of earnings of 1 cent.
Including the one-time expenses, AMAG posted a loss of 72 cents per share in the first quarter, narrower than the year ago quarter’s loss of $3.54.
Quarterly revenues of $68.7 million fell 9.4% from $75.8 million a year ago. However, the top line beat the Zacks Consensus Estimate of $65 million.
Quarter in Detail
Makena subcutaneous auto-injector recorded sales of $21.8 million, plunging 30.3% year over year.
Feraheme sales were $44.4 million in the first quarter, rising 11% year over year. Intrarosa generated sales worth $3.2 million in the reported quarter compared with $4.4 million in the prior year.
Per the press release, due to the COVID-19 pandemic effect and the planned divestiture of Intrarosa and Vyleesi, AMAG implemented a company-wide restructuring that will reduce the current workforce by approximately 30%. As a result, the company is also withdrawing its 2020.(guidance?)
Other Updates
In April 2020, AMAG announced that its board of directors appointed Scott Myers as the president and chief executive officer (CEO) as well as a board member, effective immediately.
We remind investors that in October 2019, AMAG announced that the FDA’s Bone, Reproductive and Urologic Drugs Advisory Committee analyzed data from the PROLONG study on Makena. The drug is approved to reduce preterm birth among pregnant women with a prior spontaneous preterm delivery. Nine of 16 advisory committee members voted in favor of pushing the FDA authorities to pursue the withdrawal of Makena from the market while the rest backed the idea of keeping the product in the market under an accelerated approval and also requested a new confirmatory trial on the same.
Following AMAG’s request to the FDA for a meeting to discuss the future of Makena, the regulatory body indicated that it was premature to hold a conference at this time as the matter is still under review. AMAG remains committed to working with the agency to find a way that could allow eligible pregnant women a continued access to Makena.
How Have Estimates Been Moving Since Then?
In the past month, investors have witnessed a downward trend in fresh estimates. The consensus estimate has shifted -10.17% due to these changes.
VGM Scores
Currently, AMAG Pharmaceuticals has an average Growth Score of C, though it is lagging a bit on the Momentum Score front with a D. Charting a somewhat similar path, 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 D. 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 indicates a downward shift. Notably, AMAG Pharmaceuticals has a Zacks Rank #3 (Hold). We expect an in-line return from the stock in the next few months.
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Why Is AMAG Pharmaceuticals (AMAG) Up 6.8% Since Last Earnings Report?
A month has gone by since the last earnings report for AMAG Pharmaceuticals . Shares have added about 6.8% in that time frame, underperforming the S&P 500.
Will the recent positive trend continue leading up to its next earnings release, or is AMAG Pharmaceuticals due for a pullback? Before we dive into how investors and analysts have reacted as of late, let's take a quick look at the most recent earnings report in order to get a better handle on the important catalysts.
AMAG Reports Q1 Loss, Beats on Revenues
AMAG incurred an adjusted (excluding one-time expenses) loss of 39 cents per share in the first quarter of 2020, narrower than the year-ago reported loss of $3.32. The Zacks Consensus Estimate was of earnings of 1 cent.
Including the one-time expenses, AMAG posted a loss of 72 cents per share in the first quarter, narrower than the year ago quarter’s loss of $3.54.
Quarterly revenues of $68.7 million fell 9.4% from $75.8 million a year ago. However, the top line beat the Zacks Consensus Estimate of $65 million.
Quarter in Detail
Makena subcutaneous auto-injector recorded sales of $21.8 million, plunging 30.3% year over year.
Feraheme sales were $44.4 million in the first quarter, rising 11% year over year. Intrarosa generated sales worth $3.2 million in the reported quarter compared with $4.4 million in the prior year.
Per the press release, due to the COVID-19 pandemic effect and the planned divestiture of Intrarosa and Vyleesi, AMAG implemented a company-wide restructuring that will reduce the current workforce by approximately 30%. As a result, the company is also withdrawing its 2020.(guidance?)
Other Updates
In April 2020, AMAG announced that its board of directors appointed Scott Myers as the president and chief executive officer (CEO) as well as a board member, effective immediately.
We remind investors that in October 2019, AMAG announced that the FDA’s Bone, Reproductive and Urologic Drugs Advisory Committee analyzed data from the PROLONG study on Makena. The drug is approved to reduce preterm birth among pregnant women with a prior spontaneous preterm delivery. Nine of 16 advisory committee members voted in favor of pushing the FDA authorities to pursue the withdrawal of Makena from the market while the rest backed the idea of keeping the product in the market under an accelerated approval and also requested a new confirmatory trial on the same.
Following AMAG’s request to the FDA for a meeting to discuss the future of Makena, the regulatory body indicated that it was premature to hold a conference at this time as the matter is still under review. AMAG remains committed to working with the agency to find a way that could allow eligible pregnant women a continued access to Makena.
How Have Estimates Been Moving Since Then?
In the past month, investors have witnessed a downward trend in fresh estimates. The consensus estimate has shifted -10.17% due to these changes.
VGM Scores
Currently, AMAG Pharmaceuticals has an average Growth Score of C, though it is lagging a bit on the Momentum Score front with a D. Charting a somewhat similar path, 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 D. 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 indicates a downward shift. Notably, AMAG Pharmaceuticals has a Zacks Rank #3 (Hold). We expect an in-line return from the stock in the next few months.