Shares of Acceleron Pharma Inc. (NASDAQ: XLRN) were down 4% in afternoon trade on Monday. The stock has gained 92% in the past three months. It reached a new 52-week high of $95.95 on February 11. The stock is currently trading 5% below this level but there are reasons to suggest it might see a pickup in the near future.
The company is set to report its fourth quarter 2019 earnings results this week. Analysts have projected a loss of $0.30 per share which compares to a loss of $0.75 per share reported in the year-ago period. Revenue is expected to increase 840% year-over-year to $35 million. If Acceleron beats these estimates, the stock could see a gain.
Last month, Acceleron announced positive topline results from the PULSAR trial for sotatercept in the treatment of patients with pulmonary arterial hypertension. The stock had jumped over 50% on the news at the time. Developments in this area and potential approvals are likely to fuel the stock in the coming months.
Prior to this, the company said that the MEDALIST trial evaluating the use of Reblozyl in the treatment of anemia in patients with myelodysplastic syndromes (MDS) also turned out positive results. Reblozyl has already received FDA approval for the treatment of anemia in patients with beta thalassemia. The approval of this product for the new indication is also likely to give the stock a boost.
Also read: L Brands is headed in the right direction but is the road ahead smooth or rocky?
In the third quarter of 2019, Acceleron reported revenue of $4.2 million and a net loss of $45.4 million. As of September 30, 2019, the company had cash, cash equivalents and investments of $468.3 million. Acceleron believes the current cash level will be sufficient to fund operating requirements until it receives significant royalty revenue from luspatercept sales.
The majority of analysts have rated the stock as Buy and it has an average price target of $110.10, which represents a 21% increase from the current level.
Most Popular
Intensity Therapeutics is establishing a new field of localized cancer reduction: CEO
Intensity Therapeutics, Inc. (NASDAQ: INTS) is a clinical biotechnology company engaged in the discovery development, and commercialization of first-in-class cancer drugs that attenuate tumors with minimal side effects while training
INTU Earnings: Intuit Q1 2025 adj. profit rises on higher revenues
Financial technology company Intuit Inc. (NASDAQ: INTU) Thursday announced results for the first quarter of 2025, reporting a modest increase in adjusted earnings. The Mountain View-headquartered company’s first-quarter revenue came
Riding the AI wave, Nvidia looks set to stay on the high-growth path
After delivering strong results for the third quarter, Nvidia Corporation (NASDAQ: NVDA) this week said the launch of its new-generation Blackwell chip is on track. The company is thriving on
