Ultragenyx (RARE) got here out with a quarterly lack of $2.03 per share versus the Zacks Consensus Estimate of a lack of $1.25. This compares to lack of $2.04 per share a yr in the past. These figures are adjusted for non-recurring gadgets.
This quarterly report represents an earnings shock of -62.40%. 1 / 4 in the past, it was anticipated that this biotechnology firm would put up a lack of $1.06 per share when it really produced a lack of $1.34, delivering a shock of -26.42%.
Over the past 4 quarters, the corporate has surpassed consensus EPS estimates two occasions.
Ultragenyx, which belongs to the Zacks Medical – Biomedical and Genetics trade, posted revenues of $99.Four million for the quarter ended March 2021, surpassing the Zacks Consensus Estimate by 33.03%. This compares to year-ago revenues of $36.31 million. The corporate has topped consensus income estimates 4 occasions during the last 4 quarters.
The sustainability of the inventory’s speedy worth motion based mostly on the recently-released numbers and future earnings expectations will largely rely on administration’s commentary on the earnings name.
Ultragenyx shares have misplaced about 23.1% because the starting of the yr versus the S&P 500’s acquire of 11.6%.
What’s Subsequent for Ultragenyx?
Whereas Ultragenyx has underperformed the market to this point this yr, the query that involves traders’ minds is: what’s subsequent for the inventory?
There aren’t any straightforward solutions to this key query, however one dependable measure that may assist traders deal with that is the corporate’s earnings outlook. Not solely does this embody present consensus earnings expectations for the approaching quarter(s), but in addition how these expectations have modified recently.
Empirical analysis exhibits a robust correlation between near-term inventory actions and traits in earnings estimate revisions. Traders can monitor such revisions by themselves or depend on a tried-and-tested ranking instrument just like the Zacks Rank, which has a powerful monitor report of harnessing the facility of earnings estimate revisions.
Forward of this earnings launch, the estimate revisions pattern for Ultragenyx was unfavorable. Whereas the magnitude and path of estimate revisions may change following the corporate’s just-released earnings report, the present standing interprets right into a Zacks Rank #4 (Promote) for the inventory. So, the shares are anticipated to underperform the market within the close to future. You’ll be able to see the entire checklist of at this time’s Zacks #1 Rank (Sturdy Purchase) shares right here.
It will likely be attention-grabbing to see how estimates for the approaching quarters and present fiscal yr change within the days forward. The present consensus EPS estimate is -$1.24 on $80.23 million in revenues for the approaching quarter and -$5.17 on $326.17 million in revenues for the present fiscal yr.
Traders must be conscious of the truth that the outlook for the trade can have a fabric affect on the efficiency of the inventory as effectively. By way of the Zacks Trade Rank, Medical – Biomedical and Genetics is at the moment within the backside 15% of the 250 plus Zacks industries. Our analysis exhibits that the highest 50% of the Zacks-ranked industries outperform the underside 50% by an element of greater than 2 to 1.
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Ultragenyx Pharmaceutical Inc. (RARE): Free Inventory Evaluation Report
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