Theravance Bio (TBPH) Down 3.7% Since Last Earnings Report: Can It Rebound?
A month has gone by since the last earnings report for Theravance Biopharma (TBPH). Shares have lost about 3.7% in that time frame, underperforming the S&P 500.
Will the recent negative trend continue leading up to its next earnings release, or is Theravance Bio due for a breakout? Before we dive into how investors and analysts have reacted as of late, let's take a quick look at its most recent earnings report in order to get a better handle on the important catalysts.
Theravance Q3 Earnings Beat, Revenues Lag Estimates
Theravance incurred a loss of 48 cents per share in the third quarter of 2021, narrower than the Zacks Consensus Estimate of a loss of 60 cents and the year-ago loss of $1.16.
Total revenues of $13.2 million in the quarter missed the Zacks Consensus Estimate of $13.55 million. Revenues were down 27.9% year over year.
Total revenues comprised collaboration revenues worth $2.8 million from Janssen and $10.4 million from the collaboration agreement with Viatris in relation to Yupelri.
Quarter in Detail
Research & development expenses were $43.7 million, down 35.2% from the year-ago quarter.
Selling, general & administrative expenses were down 22.5% year over year to $21.3 million.
As of Sep 30, 2021, Theravance had cash, cash equivalents and marketable securities worth $216.2 million compared with $265 million as of Jun 30, 2021.
2021 Guidance Maintained
Theravance maintained its previous guidance for operating expenses in 2021. It expects R&D expense to be in the range of $180-$190 million and SG&A expense between $70 million and $80 million.
How Have Estimates Been Moving Since Then?
In the past month, investors have witnessed an upward trend in estimates revision. The consensus estimate has shifted -18.84% due to these changes.
VGM Scores
Currently, Theravance Bio has a subpar Growth Score of D, however its Momentum Score is doing a lot better with an A. However, 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 F. If you aren't focused on one strategy, this score is the one you should be interested in.
Outlook
Estimates have been broadly trending upward for the stock, and the magnitude of these revisions indicates a downward shift. Notably, Theravance Bio has a Zacks Rank #3 (Hold). We expect an in-line return from the stock in the next few months.
Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report
Theravance Biopharma, Inc. (TBPH) : Free Stock Analysis Report
To read this article on Zacks.com click here.
