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Why Is Repligen (RGEN) Down 12.9% Since Last Earnings Report?
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It has been about a month since the last earnings report for Repligen (RGEN - Free Report) . Shares have lost about 12.9% in that time frame, underperforming the S&P 500.
Will the recent negative trend continue leading up to its next earnings release, or is Repligen 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 drivers.
Repligen’s Earnings and Sales Surpass Estimates in Q4
Repligen delivered fourth-quarter 2020 adjusted earnings per share of 52 cents, beating the Zacks Consensus Estimate of 31 cents. The bottom line also came in higher than the year-ago earnings of 20 cents.
Moreover, total revenues of $108.6 million exceeded the Zacks Consensus Estimate of $93.89 million. Additionally, the top line improved 56% year over year (53% in constant currency) on robust demand across all franchises, especially from COVID-19 vaccine and therapeutic related programs.
Excluding the impact of currency and acquisitions/divestures, Repligen’s revenues grew 47% organically year over year in the fourth quarter of 2020.
Quarter in Detail
Repligen earns its revenues from the sale of several products, which can be categorized mainly under four segments, namely filtration, chromatography, protein and process analytics.
Sales from filtration business were up 60% organically from the year-ago period. Chromatography business sales increased more than 20% year over year. Sales growth of proteins franchise were also strong.
Adjusted gross margin decreased year-over-year by 90 basis point to 56.3% in the fourth quarter.
In the reported quarter, adjusted research and development expenses were $6.7 million, up 36.4% from the year-ago figure.
Adjusted selling, general and administrative expenses were $27.2 million, surging 22.5% year over year.
Adjusted operating income was $27.3 million, increasing 115% year over year.
As of Dec 31, 2020, Repligen had cash and cash equivalents worth $717.3 million compared with $553.3 million on Sep 30, 2020.
Full-Year Results
Repligen reported revenues of $366.3 million in 2020, up 35.6% year over year on a reported basis. Revenues was up 35% at constant currency and 29% organically. The company’s adjusted earnings in 2020 were $1.65 per share compared with $1.07 per share in the year-ago period.
2021 Guidance
Repligen issued guidance for 2021 revenues, adjusted earnings and certain other items on its fourth-quarter earnings call. The company expects the three acquisitions it completed last year, a very strong order load and COVID-19 tailwinds to accelerate growth in 2021.
It expects revenues to be in the range of $500-$525 million, indicating overall revenue growth of 37 year over year on a reported as well as constant currency basis. Organic growth will be in the range of 26.
The company expects COVID-related programs to generate revenues in the range of $90-$100 million, almost double year over year. It expects acquisitions to add $37-$40 million to total revenues in 2021.
Adjusted net income is projected in the $106-$111 million band. Adjusted operating income is anticipated within $134-$140 million.
Adjusted EPS is anticipated within $1.86-$1.94 per share.
How Have Estimates Been Moving Since Then?
It turns out, estimates revision have trended upward during the past month. The consensus estimate has shifted 14.29% due to these changes.
VGM Scores
Currently, Repligen 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 fifth quintile 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.
Outlook
Estimates have been trending upward for the stock, and the magnitude of these revisions looks promising. It comes with little surprise Repligen has a Zacks Rank #2 (Buy). We expect an above average return from the stock in the next few months.
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Why Is Repligen (RGEN) Down 12.9% Since Last Earnings Report?
It has been about a month since the last earnings report for Repligen (RGEN - Free Report) . Shares have lost about 12.9% in that time frame, underperforming the S&P 500.
Will the recent negative trend continue leading up to its next earnings release, or is Repligen 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 drivers.
Repligen’s Earnings and Sales Surpass Estimates in Q4
Repligen delivered fourth-quarter 2020 adjusted earnings per share of 52 cents, beating the Zacks Consensus Estimate of 31 cents. The bottom line also came in higher than the year-ago earnings of 20 cents.
Moreover, total revenues of $108.6 million exceeded the Zacks Consensus Estimate of $93.89 million. Additionally, the top line improved 56% year over year (53% in constant currency) on robust demand across all franchises, especially from COVID-19 vaccine and therapeutic related programs.
Excluding the impact of currency and acquisitions/divestures, Repligen’s revenues grew 47% organically year over year in the fourth quarter of 2020.
Quarter in Detail
Repligen earns its revenues from the sale of several products, which can be categorized mainly under four segments, namely filtration, chromatography, protein and process analytics.
Sales from filtration business were up 60% organically from the year-ago period. Chromatography business sales increased more than 20% year over year. Sales growth of proteins franchise were also strong.
Adjusted gross margin decreased year-over-year by 90 basis point to 56.3% in the fourth quarter.
In the reported quarter, adjusted research and development expenses were $6.7 million, up 36.4% from the year-ago figure.
Adjusted selling, general and administrative expenses were $27.2 million, surging 22.5% year over year.
Adjusted operating income was $27.3 million, increasing 115% year over year.
As of Dec 31, 2020, Repligen had cash and cash equivalents worth $717.3 million compared with $553.3 million on Sep 30, 2020.
Full-Year Results
Repligen reported revenues of $366.3 million in 2020, up 35.6% year over year on a reported basis. Revenues was up 35% at constant currency and 29% organically. The company’s adjusted earnings in 2020 were $1.65 per share compared with $1.07 per share in the year-ago period.
2021 Guidance
Repligen issued guidance for 2021 revenues, adjusted earnings and certain other items on its fourth-quarter earnings call. The company expects the three acquisitions it completed last year, a very strong order load and COVID-19 tailwinds to accelerate growth in 2021.
It expects revenues to be in the range of $500-$525 million, indicating overall revenue growth of 37 year over year on a reported as well as constant currency basis. Organic growth will be in the range of 26.
The company expects COVID-related programs to generate revenues in the range of $90-$100 million, almost double year over year. It expects acquisitions to add $37-$40 million to total revenues in 2021.
Adjusted net income is projected in the $106-$111 million band. Adjusted operating income is anticipated within $134-$140 million.
Adjusted EPS is anticipated within $1.86-$1.94 per share.
How Have Estimates Been Moving Since Then?
It turns out, estimates revision have trended upward during the past month. The consensus estimate has shifted 14.29% due to these changes.
VGM Scores
Currently, Repligen 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 fifth quintile 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.
Outlook
Estimates have been trending upward for the stock, and the magnitude of these revisions looks promising. It comes with little surprise Repligen has a Zacks Rank #2 (Buy). We expect an above average return from the stock in the next few months.