It has been about a month since the last earnings report for Acadia Pharmaceuticals (ACAD). Shares have added about 1% in that time frame, underperforming the S&P 500.
Will the recent positive trend continue leading up to its next earnings release, or is Acadia due for a pullback? Before we dive into how investors and analysts have reacted as of late, let’s take a quick look at its most recent earnings report in order to get a better handle on the important catalysts.
Acadia’s Q4 Earnings & Revenues Fall Shy of Estimates
Acadia reported a fourth-quarter 2021 loss of 27 cents per share, wider than the Zacks Consensus Estimate of a loss of 24 cents. In the year-ago quarter, the company incurred a loss of 42 cents per share.
Total revenues, comprising net sales of Nuplazid increased 8% year over year to $130.8 million for the fourth quarter, driven by volume growth. The top line, however, missed the Zacks Consensus Estimate of $135 million. Nuplazid sales fell below market expectation in the reported quarter.
Quarter in Detail
Research and development (R&D) expenses were $67.1 million for the quarter, up 8.1% from the year-ago quarter.
Selling, general and administrative (SG&A) expenses were $105.8 million, down 12.4% year over year.
As of Dec 31, 2021, Acadia had cash, cash equivalents and investments worth $520.7 million compared with $540.3 million as of Sep 30, 2021.
2022 Guidance
Acadia expects Nuplazid net sales of $510-$560 million for 2022. The company expects R&D expenses of $355-$375 million, while SG&A expenses are expected to be $360-$380 million in 2022.
How Have Estimates Been Moving Since Then?
In the past month, investors have witnessed a downward trend in fresh estimates.
The consensus estimate has shifted -38.97% due to these changes.
VGM Scores
At this time, Acadia has a strong Growth Score of A, though it is lagging a lot on the Momentum Score front with an F. Charting a somewhat similar path, the stock was allocated a grade of D on the value side, putting it in the bottom 40% for this investment strategy.
Overall, the stock has an aggregate VGM Score of C. If you aren’t focused on one strategy, this score is the one you should be interested in.
Outlook
Estimates have been broadly trending downward for the stock, and the magnitude of this revision indicates a downward shift. Notably, Acadia has a Zacks Rank #3 (Hold). We expect an in-line return from the stock in the next few months.
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