Global Blood (GBT) Up 1.9% Since Last Earnings Report: Can It Continue?
A month has gone by since the last earnings report for Global Blood Therapeutics (GBT). Shares have added about 1.9% in that time frame, outperforming the S&P 500.
Will the recent positive trend continue leading up to its next earnings release, or is Global Blood 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 drivers.
Global Blood to be Acquired by Pfizer, Misses on Earnings
Global Blood incurred a loss of $1.26 per share in second-quarter 2022, wider than the Zacks Consensus Estimate of a loss of $1.19. In the year-ago quarter, the company had reported a loss of $1.12 per share.
The company’s revenues of $71.5 million, comprising sales of solely marketed Oxbryta, beat the Zacks Consensus Estimate of $64 million. Global Blood had generated $47.6 million in product sales in the year-ago quarter. Oxbryta sales increased 29.5% sequentially.
Quarter in Details
Research and development expenses in the reported quarter were $64.8 million, up from $51.7 million in the year-ago quarter.
Selling, general and administrative expenses were $81.1 million in the reported quarter, up from $61.1 million in the year-ago quarter.
How Have Estimates Been Moving Since Then?
It turns out, estimates revision have trended upward during the past month.
Currently, Global Blood has a nice Growth Score of B, though it is lagging a lot on the Momentum Score front with a D. Following the exact same course, the stock was allocated a grade of D on the value side, putting it in the bottom 40% 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.
Estimates have been broadly trending upward for the stock, and the magnitude of these revisions indicates a downward shift. Notably, Global Blood has a Zacks Rank #3 (Hold). We expect an in-line return from the stock in the next few months.
Performance of an Industry Player
Global Blood is part of the Zacks Medical - Biomedical and Genetics industry. Over the past month, Bluebird Bio (BLUE), a stock from the same industry, has gained 15.8%. The company reported its results for the quarter ended June 2022 more than a month ago.
Bluebird reported revenues of $1.52 million in the last reported quarter, representing a year-over-year change of -79.7%. EPS of -$1.29 for the same period compares with -$3.58 a year ago.
Bluebird is expected to post a loss of $1.27 per share for the current quarter, representing a year-over-year change of +56.7%. Over the last 30 days, the Zacks Consensus Estimate has changed -4.5%.
The overall direction and magnitude of estimate revisions translate into a Zacks Rank #3 (Hold) for Bluebird. Also, the stock has a VGM Score of D.
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