CRISPR (CRSP) to Report Q4 Earnings: What's in the Cards?
We expect investors to focus on updates on CRISPR Therapeutics AG’s CRSP progress with its pipeline candidates when it reports fourth-quarter 2021 results.
The company’s earnings surpassed expectations in two of the trailing four quarters and missed the same on the other two occasions, with the average surprise being 25.1%. In the last reported quarter, CRISPR delivered an earnings surprise of 1.2%.
CRISPR Therapeutics AG Price and EPS Surprise
CRISPR Therapeutics AG price-eps-surprise | CRISPR Therapeutics AG Quote
In the trailing 12 months, shares of CRISPR have plunged 62.8% compared with the industry’s 40.8% decline.
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Let’s see how things have shaped up for the quarter to be reported.
Factors to Consider
The company’s top line mainly comprises grants and collaboration revenues. CRSP is mainly dependent on Vertex Pharmaceuticals VRTX for collaboration revenues.
With no approved product in its portfolio, we expect the focus of the fourth-quarter conference call to be on updates related to CRISPR Therapeutics’ pipeline.
Per a collaboration agreement with Vertex, the company is developing CTX001, an investigational ex-vivo CRISPR gene-edited therapy, for sickle cell disease and transfusion-dependent beta thalassemia indications in two separate phase I/II studies. CRISPR and Vertex Pharmaceuticals plan to file regulatory applications for CTX001 for both indications by year-end.
CRISPR Therapeutics is also developing three gene-edited allogeneic cell therapy programs consisting of chimeric antigen receptor T cell (CAR-T) candidates, namely CTX110, CTX120, and CTX130.
Last October, it announced updated positive top-line data from the ongoing phase I CARBON study on CTX110 for the treatment of relapsed/refractory B-cell malignancies. Data from the study demonstrated the potential of CTX110 to produce durable remissions, which are similar to the approved autologous CD19 CAR-T therapies on an intent-to-treat basis. Based on the results, the company plans to expand the CARBON study into a potential registrational study that is anticipated to begin consolidated dosing in first-quarter 2022. In November, the FDA granted the Regenerative Medicine Advanced Therapy designation to CTX110 for the treatment of relapsed or refractory B-cell malignancies.
A phase I study is investigating the safety and efficacy of several dose levels of CTX120 for the treatment of relapsed or refractory multiple myeloma. Two independent ongoing phase I studies are also evaluating the safety and efficacy of several dose levels of CTX130 for treating solid tumors and certain hematologic malignancies.
CRISPR, along with partner ViaCyte, announced that Health Canada approved the clinical trial application for its investigational allogeneic stem cell-derived therapy, VCTX210. The candidate will be evaluated as a potential treatment for type 1 diabetes (T1D). Earlier this month, the company announced that it dosed the first patient in a phase I study to evaluate the safety, tolerability and immune evasion of VCTX210 in T1D.
Activities related to the development of pipeline candidates are likely to have escalated operating expenses in the to-be-reported quarter.
Earnings Whispers
Our proven model does not conclusively predict an earnings beat for CRISPR this time around. The combination of a positive Earnings ESP and a Zacks Rank #1 (Strong Buy), 2 (Buy) or 3 (Hold) increases the odds of an earnings beat. Unfortunately, that is not the case here as you will see below. You can uncover the best stocks to buy or sell before they're reported with our Earnings ESP Filter.
Earnings ESP: The company has an Earnings ESP of 0.00% as both the Most Accurate Estimate and the Zacks Consensus Estimate are pegged at a loss of $1.74.
Zacks Rank: CRISPR currently carries a Zacks Rank #4 (Sell).
Stocks to Consider
Here are a few stocks you may want to consider as our model shows that these have the right combination of elements to beat on earnings this reporting cycle.
Cara Therapeutics CARA has an Earnings ESP of +5.24% and a Zacks Rank #1. You can see the complete list of today’s Zacks #1 Rank stocks here.
Cara Therapeutics’ loss per share estimates for 2022 have narrowed from $1.49 to $1.47 in the past 30 days. Cara Therapeutics topped earnings estimates in three of the last four quarters, delivering a surprise of 126.9%, on average.
Vir Biotechnology VIR has an Earnings ESP of +32.05% and a Zacks Rank #1.
In the past 30 days, earnings per share estimates of Vir Biotechnology for 2022 have increased from $4.77 to $6.53 in the past 30 days. In fact, Vir Biotechnology topped earnings estimates in two of the last four quarters and missed the mark on the other two occasions, delivering a surprise of 13%, on average.
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Vertex Pharmaceuticals Incorporated (VRTX) : Free Stock Analysis Report
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CRISPR Therapeutics AG (CRSP) : Free Stock Analysis Report
Vir Biotechnology, Inc. (VIR) : Free Stock Analysis Report
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