Q1 2009 Biotech Earnings Roundup: The Good, the Bad, and the Ugly

Now that first quarter earnings are finally over and all the companies I follow have finally reported their numbers, I decided to breakdown those companies whose reports stood out because of stockprice movement.

The good: Large cap biotech giants Gilead Sciences (GILD) and Amgen (AMGN) reported good numbers and their stock prices responded well, GILD up 2.49 and AMGN up 3.01. Human Genome Sciences (HGSI) rebounded well from the March 9th release of phase 3 Albuferon data as HGSI added .80 or almost 50 percent. Acorda (ACOR) also rebounded well from its March 31 NDA disappointment and soared 3.31, as this time the FDA accepted its NDA. Some others include Biomarin (BMRN) +.83, United Therapeutics (UTHR) +2.54, and AMAG Pharmaceuticals (AMAG) +4.15.

The bad: Large cap biotechs Biogen Idec (BIIB) and Genzyme (GENZ) shed 1.40 and 3.16 respectively. Cougar Biotechnology (CGRB) got hit for 1.96, which sure wasn't a sign of things to come as JNJ offered to buy it out on Friday. Some others with a bad reaction to earnings include OSI Pharma (OSIP) down 1.37, Cephalon (CEPH) down 1.30, Auxilium Pharma (AUXL) down 1.58 and Allergan (AGN) down 2.87.

The ugly: Large cap oncology giant Celgene (CELG) kicked the first quarter pre-announcements off with a disaster, lowering full year numbers, and the stock followed suit shedding 5.93. Myriad Genetics (MYGN) missed revenue estimates and finished down 4.04. And, ugliest of them all, on the day Sequenom (SQNM) released its first quarter report, it reported significant material issues with its SEQureDX Trisomy 21 test. SQNM finished down 11.29, or 76 percent.

Disclosure: long MYGN.

Comments

[Inspector Ed:]

Re: SQNM with this big a drop in price and little damage to earning potential this one has good upside movement coming.

May 27 10:10 AM

[Alphameister:]

Not sure what purpose is served by this article, but describing the first-quarter report by CELG as a "disaster" only reflects and reinforces the lunacy of today's market.

May 27 12:35 PM

[Mark Cifra:]

When a large cap biotech like Celgene gaps down 7.00 and closes down 5.93, thats a disaster. If you didn't own it, maybe its a buying oppurtunity, but if you owned it, its a disaster in my opinion.


On May 27 12:35 PM Alphameister wrote:

> Not sure what purpose is served by this article, but describing the
> first-quarter report by CELG as a "disaster" only reflects and reinforces
> the lunacy of today's market.

May 27 03:52 PM

[jimmy Turano:]

MARK CIFRA-Since you are so informative to many investors, and helpful, I see you left out one stock that needs to be addressed please.
It cerntainly should fit one of your scenario's above.
THE GOD, THE BAD OR THE UGLY
Please give your perspective
on MDRNA INC(MRNA)
APPRECIATED IN ADVANCE!

Jun 03 06:59 PM