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Drug/Biotech Stocks Q1 Earnings Due on Apr 29: BMY, ABBV, AZN
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First-quarter earnings kick-started last week for the pharma/biotech sector. A few pharma bigwigs have reported so far, along with a few biotech players. Several are scheduled to report shortly. Bellwether Johnson & Johnson (JNJ - Free Report) reported mixed results, beating on earnings but missing revenue estimates. Swiss major Novartis (NVS - Free Report) too reported mixed first-quarter results as earnings beat estimates, but sales lagged expectations. Roche’s performance in the first quarter was encouraging, driven by demand for COVID-19 tests and contribution from newer drugs.
Per the Zacks classification, the pharma/biotech industry comes under the broader Medical sector, which comprises pharma/biotech and medical device companies.
Per the Earnings Trends report, as of Apr 27, 21.1% of the companies in the Medical sector, constituting nearly 37.2% of the sector’s market capitalization, reported earnings. While 83.3% beat earnings estimates, 75% topped the same for sales. Earnings increased 5.6% year over year on 14% higher revenues. Overall, first-quarter earnings for the Medical sector are expected to rise 10.5% on a 13.8% sales increase.
Let’s analyze three pharma/biotech companies — Bristol Myers (BMY - Free Report) , AbbVie (ABBV - Free Report) and AstraZeneca (AZN - Free Report) that are set to report results on Apr 29.
Bristol Myers
Bristol-Myers is scheduled to report quarterly results before the opening bell. The company beat earnings estimates in two of the last four quarters and missed in one, the average surprise being 1.01%. In the last reported quarter, the company met expectations.
Per our proven model, stocks with the combination of a positive Earnings ESP and a Zacks Rank #1 (Strong Buy), #2 (Buy) or #3 (Hold) have a good chance of delivering an earnings beat. You can uncover the best stocks to buy or sell before they’re reported with our Earnings ESP Filter.
Bristol Myers Squibb Company Price, Consensus and EPS Surprise
Bristol-Myers currently has an Earnings ESP of +1.57% and a Zacks Rank #3, indicating a likely earnings surprise. The Zacks Consensus Estimate for earnings stands at $1.92 per share.
Earnings in the first quarter might have gained from strong demand for Eliquis and incremental contribution from newer drugs. Label expansions of Opdivo are likely to have boosted results.
AbbVie
AbbVie has an excellent track record, with earnings beating estimates in all of the last four quarters, the surprise being 2.55%, on average. In the last reported quarter, it beat earnings expectations by 0.61%.
Strong demand for immunology drugs, aesthetics and cosmetics products is expected to have driven sales in the first quarter of 2022. Moreover, new drug launches in the past few quarters are likely to have brought additional sales during the first quarter.
AstraZeneca
The earnings surprise history has been good so far for AstraZeneca. It surpassed expectations in two of the trailing four quarters and missed in one, delivering an earnings surprise of 2.22%, on average. In the last reported quarter, AstraZeneca pulled off an earnings surprise of 9.09%.
AstraZeneca, too, is likely to report an earnings beat, as it currently has an Earnings ESP of +2.56% and Zacks Rank #3.
AstraZeneca’s newer drugs, mainly cancer medicines, Lynparza, Tagrisso and Imfinzi are likely to have driven revenues in the first quarter. Contribution from its COVID-19 vaccine might have boosted revenues further. Cost-cutting efforts are expected to have aided earnings.
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Drug/Biotech Stocks Q1 Earnings Due on Apr 29: BMY, ABBV, AZN
First-quarter earnings kick-started last week for the pharma/biotech sector. A few pharma bigwigs have reported so far, along with a few biotech players. Several are scheduled to report shortly. Bellwether Johnson & Johnson (JNJ - Free Report) reported mixed results, beating on earnings but missing revenue estimates. Swiss major Novartis (NVS - Free Report) too reported mixed first-quarter results as earnings beat estimates, but sales lagged expectations. Roche’s performance in the first quarter was encouraging, driven by demand for COVID-19 tests and contribution from newer drugs.
Per the Zacks classification, the pharma/biotech industry comes under the broader Medical sector, which comprises pharma/biotech and medical device companies.
Per the Earnings Trends report, as of Apr 27, 21.1% of the companies in the Medical sector, constituting nearly 37.2% of the sector’s market capitalization, reported earnings. While 83.3% beat earnings estimates, 75% topped the same for sales. Earnings increased 5.6% year over year on 14% higher revenues. Overall, first-quarter earnings for the Medical sector are expected to rise 10.5% on a 13.8% sales increase.
Let’s analyze three pharma/biotech companies — Bristol Myers (BMY - Free Report) , AbbVie (ABBV - Free Report) and AstraZeneca (AZN - Free Report) that are set to report results on Apr 29.
Bristol Myers
Bristol-Myers is scheduled to report quarterly results before the opening bell. The company beat earnings estimates in two of the last four quarters and missed in one, the average surprise being 1.01%. In the last reported quarter, the company met expectations.
Per our proven model, stocks with the combination of a positive Earnings ESP and a Zacks Rank #1 (Strong Buy), #2 (Buy) or #3 (Hold) have a good chance of delivering an earnings beat. You can uncover the best stocks to buy or sell before they’re reported with our Earnings ESP Filter.
Bristol Myers Squibb Company Price, Consensus and EPS Surprise
Bristol Myers Squibb Company price-consensus-eps-surprise-chart | Bristol Myers Squibb Company Quote
Bristol-Myers currently has an Earnings ESP of +1.57% and a Zacks Rank #3, indicating a likely earnings surprise. The Zacks Consensus Estimate for earnings stands at $1.92 per share.
Earnings in the first quarter might have gained from strong demand for Eliquis and incremental contribution from newer drugs. Label expansions of Opdivo are likely to have boosted results.
AbbVie
AbbVie has an excellent track record, with earnings beating estimates in all of the last four quarters, the surprise being 2.55%, on average. In the last reported quarter, it beat earnings expectations by 0.61%.
Per our proven model, AbbVie is likely to report an earnings beat, as it currently has an Earnings ESP of +0.18% and a Zacks Rank #3. You can see the complete list of today’s Zacks #1 Rank stocks here.
AbbVie Inc. Price, Consensus and EPS Surprise
AbbVie Inc. price-consensus-eps-surprise-chart | AbbVie Inc. Quote
Strong demand for immunology drugs, aesthetics and cosmetics products is expected to have driven sales in the first quarter of 2022. Moreover, new drug launches in the past few quarters are likely to have brought additional sales during the first quarter.
AstraZeneca
The earnings surprise history has been good so far for AstraZeneca. It surpassed expectations in two of the trailing four quarters and missed in one, delivering an earnings surprise of 2.22%, on average. In the last reported quarter, AstraZeneca pulled off an earnings surprise of 9.09%.
AstraZeneca, too, is likely to report an earnings beat, as it currently has an Earnings ESP of +2.56% and Zacks Rank #3.
AstraZeneca PLC Price, Consensus and EPS Surprise
AstraZeneca PLC price-consensus-eps-surprise-chart | AstraZeneca PLC Quote
AstraZeneca’s newer drugs, mainly cancer medicines, Lynparza, Tagrisso and Imfinzi are likely to have driven revenues in the first quarter. Contribution from its COVID-19 vaccine might have boosted revenues further. Cost-cutting efforts are expected to have aided earnings.
Stay on top of upcoming earnings announcements with the Zacks Earnings Calendar.
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