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Corcept (CORT) Down on Q2 Earnings Miss, Revenues Rise Y/Y

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Shares of Corcept Therapeutics Incorporated (CORT - Free Report) were down 1.3% on May 4 after it reported earnings of 24 cents per share for second-quarter 2022, missing the Zacks Consensus Estimate of 25 cents. In the year-ago quarter, the company had reported earnings of 21 cents per share.

Revenues in the second quarter increased 12.9% year over year to $103.4 million. Corcept’s top line comprises sales of the Cushing’s syndrome drug, Korlym. Sales surpassed the Zacks Consensus Estimate of $102 million.

In the second quarter of 2022, research and development expenses increased 16.3% to $32.8 million. Selling, general and administrative expenses increased 26% to $37.8 million.

Corcept’s stock has rallied 43.1% in the year so far against the industry’s decrease of 19.5%.

Zacks Investment Research
Image Source: Zacks Investment Research

2022 Guidance

Corcept reiterated the guidance it had provided earlier this year. The company continues to expect total revenues in the range of $400-$430 million in 2022. The Zacks Consensus Estimate for the same stands at $415.4 million.

Pipeline Updates

Corcept’s lead pipeline candidate, relacorilant, is being evaluated in phase III of the GRACE study to treat Cushing’s syndrome. Enrollment is currently underway in said study. A new drug application for relacorilant is expected to be submitted in the second half of 2023.

Relacorilant is also being investigated in phase III of the GRADIENT study in patients whose Cushing’s syndrome is caused by adrenal adenoma. Enrollment in this study is ongoing.

Enrollment is also currently ongoing in the phase Ib study evaluating relacorilant in combination with Merck’s (MRK - Free Report) PD-1 checkpoint inhibitor, Keytruda (pembrolizumab), for treating patients suffering from adrenal cancer along with cortisol excess.

Merck’s biggest revenue generator, Keytruda, is approved for treating several types of cancer indications. MRK continues to study Keytruda for addressing more cancer indications.

Corcept is also evaluating relacorilant in combination studies for treating solid tumors. In June 2022, the company initiated the pivotal phase III ROSELLA study evaluating relacorilant in combination with nab-paclitaxel for the treatment of patients with platinum-resistant ovarian cancer.

The company is planning to initiate a phase II study evaluating relacorilant in combination with enzalutamide for treating patients with prostate cancer in collaboration with the University of Chicago. Enzalutamide is marketed by Pfizer under the brand name, Xtandi.

Corcept’s other pipeline candidates are also progressing well.

Corcept has completed enrollment of patients in the phase II GRATITUDE study evaluating miricorilant for treating the reversal of antipsychotic-induced weight gain (“AIWG”). The company has also completed enrollment in the phase II GRATITUDE 2 study of miricorilant to reverse the long-standing AIWG. Data from both studies are expected in the fourth quarter of 2022.

The company is also conducting a phase Ib dose-finding study to investigate miricorilant in patients with presumed non-alcoholic steatohepatitis. Data from this study is also expected in the fourth quarter of 2022.

Zacks Rank & Stocks to Consider

Corcept currently carries a Zacks Rank #3 (Hold). Some better-ranked stocks in the same sector include Alaunos Therapeutics, Inc. (TCRT - Free Report) and Verrica Pharmaceuticals Inc. (VRCA - Free Report) , both carrying a Zacks Rank #2 (Buy) at present. You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.

Alaunos Therapeutics’ loss per share estimates narrowed 20.6% for 2022 and 9.1% for 2023 in the past 60 days.

Earnings of Alaunos Therapeutics have surpassed estimates in each of the trailing four quarters. TCRT delivered an earnings surprise of 34.25%, on average.

Verrica Pharmaceuticals’ loss per share estimates narrowed 19.3% for 2022 and 4.7% for 2023 in the past 60 days.

Earnings of Verrica Pharmaceuticals have surpassed estimates in each of the trailing four quarters. VRCA delivered an earnings surprise of 28.45%, on average.


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