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Trevena (TRVN) to Report Q3 Earnings: What's in the Cards?

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Trevena, Inc. (TRVN - Free Report) will provide updates on its pipeline products when it releases its third-quarter 2020 results.

The company has a mixed track record, delivering an earnings beat in two of the trailing four quarters, missing in one and meeting estimates in the remaining quarter. The average earnings surprise was 3.57%. In the last reported quarter, Trevena’s earnings surprise was 0.00%.

Shares of the company have skyrocketed 216.3% in the year so far against the industry’s decline of 1.9%.

Let’s see how things are shaping up for the quarter to be reported.

Factors at Play

As Trevena has no marketed product in its portfolio, it does not generate any revenues. The company will thus provide updates on its pipeline products in the third-quarter 2020 earnings call.

In August 2020, the FDA approved Olinvyk in adults for the management of acute pain severe enough to require an intravenous opioid analgesic and for whom alternative treatments are inadequate. The company will provide updates on the launch of the drug during the third quarter.

With the approval, the company received a $3-million milestone payment from its partner in China for the U.S. approval of Olinvyk. Nhwa holds an exclusive license agreement to develop, manufacture and commercialize Olinvyk in China. The company will supportNhwa as they continue to advance Olinvyk toward regulatory approval in China. The company expects to receive future milestone payments as well as a 10% royalty on net sales of Olinvyk in China. The company is expected to provide an update on this when it releasesthird-quarter results.

The research and development expenses and the selling,general and administrative expenses are likely to have increased in the third quarter due to expenditures on the activities to support the development of TRV027 and the launch of Olinvyk.

In August 2020, the Imperial College London (ICL) initiated a proof-of-concept study on TRV027 in COVID-19 patients. Through an ongoing collaboration with ICL, Trevenais evaluating the potential of TRV027 to treat acute lung damage/abnormal blood clotting associated with COVID-19. We expect updates on the study by the company when it reports its third-quarter 2020 results.

What the Zacks Model Unveils

Our proven model does not conclusively predict an earnings beat for Trevena this season. 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. But that is not the case here as you will see below.

Earnings ESP: Trevena has an Earnings ESP of 0.00%. You can uncover the best stocks to buy or sell before they’re reported with our Earnings ESP Filter.

Zacks Rank: The company carries a Zacks Rank #2. You can see the complete list of today’s Zacks #1 Rank stocks here.

Stocks That Warrant a Look

Here are some biotech stocks with the right mix of elements to beat on earnings this time around:

Alkermes Plc. (ALKS - Free Report) has an Earnings ESP of +142.86% and a Zacks Rank #3.

Alnylam (ALNY - Free Report) has an Earnings ESP of +4.23% and a Zacks Rank #3.  

Alexion Pharmaceuticals Inc. has an Earnings ESP of +0.84% and a Zacks Rank of 3.

 

Trevena, Inc. Price and EPS Surprise

Trevena, Inc. Price and EPS Surprise

Trevena, Inc. price-eps-surprise | Trevena, Inc. Quote

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