Categories Earnings, Health Care

Earnings preview: Advaxis stock treading near an all-time low ahead of Q2 results

Late-stage biotech firm Advaxis, Inc. (NASDAQ: ADXS) is scheduled to report second-quarter financial results on June 10, Monday, after the closing bell. Analysts expect the company to report a loss of $1.20 per share, on revenues of $0.17 million.

During the same quarter last year, the biotech firm had reported a wider loss of $4.05 per share, on higher earnings of $1.75 million.  In the past four quarters, Advaxis has twice missed earnings estimates.

pharma stocks
(Image Courtesy: Louis Reed/Unsplash)

As the company does not have any commercial products yet, it does not have any significant product revenues. The clinical trials and drug development costs are funded through various public and private offerings of its common stock, clinical collaborations, option and warrant exercises, and interest income.

The company, which focuses on discovery, development, and commercialization of immunotherapy products, has seen its stock plunge almost 90% over the past 52 weeks. The stock has declined 43% in the year-to-date period.

READ: What is NASH and which biotech companies are vying for its first-mover status

Much of this decline was contributed by the company’s decision to go ahead with a one-for-fifteen reverse stock split of its common stock in March, a move intended at maintaining stock value.

Announcement of the reverse stock split had sent the stock tumbling 20% on March 28. The move slashed the number of shares outstanding to just about 5.5 million from 82.6 million.

The stock price plunging at a rapid pace is of significant risk to the company as it represents a good amount of its financial funding.

Meanwhile, analysts are quite bullish about the stock, which has a 12-month average price target of $5.15, suggesting a 107% upside from the last close.

Browse through our earnings calendar and get all scheduled earnings announcements, analyst/investor conference and much more!

Most Popular

WBA Earnings Preview: Will Walgreens’ Q3 report bring cheer to investors?

Walgreens Boots Alliance, Inc. (NASDAQ: WBA) has been facing challenges due to higher operating costs, rising competition, and an unfavorable retail environment. These factors have put pressure on the drugstore

Main points from Accenture’s (ACN) Q3 2024 earnings report

Shares of Accenture (NYSE: ACN) rose 6% on Thursday, following the company’s announcement of its third-quarter 2024 earnings results. Although revenue and profits missed expectations, the stock jumped after the

ACB Earnings: Aurora Cannabis reports narrower Q4 loss on higher revenues

Aurora Cannabis, Inc. (NASDAQ: ACB) on Thursday reported a net loss for the fourth quarter of 2024. The company’s revenues moved up 5% year-over-year during the quarter. The Canada-based recreational

Add Comment
Loading...
Cancel
Viewing Highlight
Loading...
Highlight
Close
Top