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Perrigo (PRGO) to Report Q2 Earnings: Here's What to Expect

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Perrigo Company plc (PRGO - Free Report) is scheduled to report second-quarter 2024 numbers on Aug 2, before the opening bell. In the last reported quarter, the company posted an earnings surprise of 20.83%.

Let’s see how things have shaped up for this announcement.

Factors at Play

The Zacks Consensus Estimate for Perrigo’s total revenues is pegged at around $1.13 billion, while the same for earnings stands at 48 cents per share. Both metrics indicate a decline from the year-ago quarter’s levels.

Perrigo reports its results under the following segments — Consumer Self Care Americas (CSCA) and Consumer Self Care International (CSCI). While we expect second-quarter sales in the CSCA segment to have suffered a decline due to lower net product sales in the United States, performance in the CSCI segment is expected to have been aided by products added through its HRA Pharma acquisition, partially offset by unfavorable currency movements.

The Zacks Consensus Estimate and our model estimate for CSCA sales stand at $675 million and $710 million, respectively. For sales in the CSCI segment, the Zacks Consensus Estimate and our model estimate are pegged at $456 million and $454 million, respectively.

PRGO reported higher net price realization for its products through strategic price increases in recent quarters. The improving price trend will likely be reflected in second-quarter performance, contributing to the top line.

Investors are likely to be curious about potential product launches this year. We also expect management to provide an update on the expectedimpact of macroeconomic pressures in 2024.

Earnings Surprise History

Perrigo’s shares have lost 12.7% year to date against the industry’s 3.3% rise.

Zacks Investment Research
Image Source: Zacks Investment Research

The company’s earnings performance has been decent over the trailing four quarters. Its earnings beat estimates in three of the last four quarters and missed the mark on one occasion, registering an earnings surprise of 9.89% on average.

Perrigo Company plc Price and EPS Surprise

 

Perrigo Company plc Price and EPS Surprise

Perrigo Company plc price-eps-surprise | Perrigo Company plc Quote

 

Earnings Whispers

Our proven model does not predict an earnings beat for Perrigo this time around. 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. That is not thecase here, as you will see below. You can uncover the best stocks to buy or sell before they're reported with our Earnings ESP Filter.

Earnings ESP: Perrigo has an Earnings ESP of -7.29% as the Most Accurate Estimate of 45 cents per share is less than the Zacks Consensus Estimate of 48 cents.

Zacks Rank: Perrigo currently carries a Zacks Rank #3. You can see the complete list of today’s Zacks #1 Rank stocks here.

Stocks to Consider

Here are a few stocks worth considering from the healthcare space, as our model shows that these have the right combination of elements to beat on earnings this reporting cycle.

Apellis Pharmaceuticals (APLS - Free Report) has an Earnings ESP of +26.98% and a Zacks Rank #3.

Apellis’ stock has lost 33.6% year to date. APLS missed earnings estimates in two of the last four quarters and met the mark once while beating the mark on another occasion. On average, Apellis delivered a negative earnings surprise of 6.37% in the last four quarters. APLS will report second-quarter results on Aug 1, before the opening bell.

BioMarin Pharmaceutical (BMRN - Free Report) has an Earnings ESP of +3.24% and a Zacks Rank #3.

BioMarin’s stock has lost 12.3% year to date. BMRN beat earnings estimates in three of the last four quarters while meeting the mark in another. On average, BioMarin witnessed an earnings surprise of 11.15% in the last four quarters. BMRN will report second-quarter 2024 results on Aug 5, after market close.

Denali Therapeutics (DNLI - Free Report) has an Earnings ESP of +14.81% and a Zacks Rank #3.

Denali Therapeutics’ shares have increased 12.3% in the year-to-date period. Earnings of DNLI beat estimates in two of the last four quarters while missing the mark on the other two occasions. On average, Denali witnessed an earnings surprise of 64.51%.

Stay on top of upcoming earnings announcements with the Zacks Earnings Calendar.


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