BioMarin Pharmaceutical (BMRN) generated a quarterly profit of $ 0.53 per share, surpassing the Zacks consensus estimate of $ 0.30 per share. This is compared to $ 0.32 in earnings per share a year ago. These numbers have been adjusted for non-regular items.
This quarterly report represents a surprising revenue of 76.67%. A quarter ago, the rare disease biopharmacy was expected to generate $ 0.32 per share, a 75% surprise, when it actually made $ 0.56.
In the last four quarters, the company has exceeded its consensus EPS estimate four times.
BioMarin, a member of the Zacks Medical-Biomedical and Genetics industry, generated $ 51.69 million in revenue in the quarter to June 2021 and exceeded the Zacks consensus estimate by 11.78%. This is compared to the previous year’s revenue of $ 492.49 million. The company has exceeded consensus revenue estimates four times in the last four quarters.
The sustainability of immediate price fluctuations in stocks based on recently released figures and future earnings forecasts depends primarily on management’s commentary on the earnings call.
BioMarin’s share price has fallen about 10.7% since the beginning of the year, compared to a 17.2% rise in the S & P 500.
What’s next for BioMarin?
BioMarin has underperformed the market so far this year, but the question that comes to investors’ minds is what’s next?
There is no easy answer to this important question, but one reliable way for investors to address this is the company’s earnings outlook. This includes not only current consensus earnings forecasts for the next quarter, but also how these forecasts have changed recently.
Empirical studies have shown a strong correlation between short-term stock price volatility and earnings forecast revision trends. Investors can track such revisions themselves or rely on proven valuation tools such as Zacks Rank, which has an impressive track record of leveraging the power of revenue estimation revisions.
Prior to the announcement of financial results, BioMarin’s estimation revision trend was favorable. The size and direction of the quote revision is subject to change according to the company’s just-released earnings report, but the current situation will translate to Zack Rank # 1 (Strong By) for equities. Therefore, stocks are expected to outperform the market in the near future. A complete list of today’s Zack # 1 Rank (Strong By) stocks can be found here.
It will be interesting to see how estimates for the upcoming quarters and the current fiscal year will change. Current consensus EPS estimates are $ 443.61 million in revenue for the next quarter at $ 0.19 and revenue for the current year at $ 1.83 billion at $ 1.09.
Investors should be aware of the fact that industry outlooks can also have a significant impact on equity performance. In terms of Zacks industry rank, Medical-Biomedical and Genetics are currently in the bottom 19% of the Zacks industry with over 250. According to our survey, the top 50% of the Zack Fair industry outperforms the bottom 50% by more than 2: 1.
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BioMarin Pharmaceutical (BMRN) surpasses second quarter revenue and revenue estimates
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