Axsome (AXSM) Surges 7.8%: Is This an Indication of Further Gains?
Axsome Therapeutics (AXSM) shares soared 7.8% in the last trading session to close at $81.99. The move was backed by solid volume with far more shares changing hands than in a normal session. This compares to the stock's 9.7% gain over the past four weeks.
The stock rallied after the company announced robust preliminary results for the fourth quarter and full year 2023. Preliminary net product revenues are expected to be around to be around $71 million and $204 million for the fourth quarter and full year of 2023, respectively.
This biopharmaceutical company is expected to post quarterly loss of $1.24 per share in its upcoming report, which represents a year-over-year change of +3.1%. Revenues are expected to be $65.38 million, up 168.3% 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 Axsome, the consensus EPS estimate for the quarter has been revised 0.8% higher over the last 30 days to the current level. And a positive trend in earnings estimate revision usually translates into price appreciation. So, make sure to keep an eye on AXSM 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 >>>>
Axsome belongs to the Zacks Medical - Biomedical and Genetics industry. Another stock from the same industry, C4 Therapeutics, Inc. (CCCC), closed the last trading session 9.7% higher at $6.34. Over the past month, CCCC has returned 377.7%.
C4 Therapeutics, Inc.'s consensus EPS estimate for the upcoming report has changed -22.2% over the past month to -$0.63. Compared to the company's year-ago EPS, this represents a change of +17.1%. C4 Therapeutics, Inc. currently boasts a Zacks Rank of #2 (Buy).
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Axsome Therapeutics, Inc. (AXSM) : Free Stock Analysis Report
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