Regeneron Pharmaceuticals Inc (REGN) Shares Lose 5% in Pre-market After Reporting Fourth Quarter Earnings

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Regeneron Pharmaceuticals Inc (NASDAQ:REGN) reported their earnings this morning, and investors have responded quite bullishly to the news. The company reported revenue of $1.1 billion, which fell short of Wall Street’s estimated $1.17 bilion. Additionally, they reported earnings of just $2.83 per share, falling well short of the consensus estimate of $3.31.

On a positive note though, the company saw net sales of EYLEA in the U.S. increase an astounding 44% year-over-year, and 54% annually.

“Regeneron had a successful 2015, with strong growth in EYLEA sales for retinal diseases, the approval of Praluent for hypercholesterolemia, and important advances across all stages of our pipeline,” said Leonard S. Schleifer, M.D., Ph.D., President and Chief Executive Officer of Regeneron. “In 2016, we look forward to driving increased physician education, patient access, and reimbursement for Praluent in the United States and to launching this important medicine in other countries around the world. We also anticipate significant pipeline progress including the U.S. FDA action on the sarilumab application for rheumatoid arthritis, the Phase 3 results and potential U.S. regulatory submission for dupilumab in atopic dermatitis, and the continued progress of our development programs for retinal diseases, asthma, pain, infectious diseases, and cancer. Realizing these important product and pipeline opportunities will require significant investments, which are essential to support our long-term growth and success.”

The stock closed at $390.53 during the last trading session. It is down 23.76% since July 6, 2015 and is downtrending. It has underperformed the S&P500 by 14.29%.

From a total of 15 analysts covering Regeneron Pharmaceuticals Inc. (NASDAQ:REGN) stock, 7 rate it a “Buy”, 1 a “Sell”, and 7 a “Hold”. This means that 47% of the ratings are positive. The highest target price is $700 while the lowest target price is $400. The mean of all analyst targets is $592.04 which is 51.60% above today’s ($390.53) stock price. Regeneron Pharmaceuticals Inc. was the topic of 29 analyst reports since July 28, 2015 according to the firm StockzIntelligence Inc. Leerink Swann initiated shares on February 5 with a “Outperform” rating. Morgan Stanley downgraded shares to a”Equal-Weight” rating and a $593 target share price in their report from an October 2. Chardan Capital Markets downgraded REGN stock in a recent report from January 25 to a “Sell” rating. Vetr upgraded the rating on August 21. Vetr has a “Buy” rating and a $618.66 price target on shares. Finally, Roth Capital upgraded the stock to a “Buy” rating in a report they issued on a January 19.

The institutional sentiment increased to 1.35 in Q2 2015. It’s up 0.32, from 1.03 in 2015Q2. The ratio increased, as 49 funds sold all their Regeneron Pharmaceuticals Inc shares they owned while 164 reduced their positions. 75 funds bought stakes while 213 increased their total positions. Institutions now own 67.66 million shares which is 6.96% less than the previous share count of 72.72 million in 2015Q2.

Lagoda Investment Management L.P. holds 13.54% of its total portfolio in Regeneron Pharmaceuticals Inc, equating to 99,748 shares. Jw Asset Management Llc owns 52,080 shares representing 8.77% of their total US portfolio. Moreover, Sands Capital Management Llc has 5.37% of their total portfolio invested in the company, equating to 4.14 million shares. The Quebec – Canada-based Sectoral Asset Management Inc has a total of 5.2% of their portfolio invested in the stock. Polen Capital Management Llc, a Florida-based fund reported 575,505 shares owned.

Since February 25, 2015, the stock had 2 insider purchases, and 3 insider sales for a total of $97.86 million in net activity. Sanofi bought 80,538 shares worth $37.02 million. Brown Michael S sold 3,000 shares worth $1.65 million. Baker Charles A sold 5,000 shares worth $2.75 million. Powchik Peter sold 23,485 shares worth $13.47 million. The insider Poon Christine A sold 112 shares worth $63,186.

Regeneron Pharmaceuticals, Inc. is an integrated biopharmaceutical firm that discovers, invents, develops, makes and commercializes medicines for the treatment of serious medical conditions. The company has a market cap of $39.07 billion. The Firm commercializes medicines for eye diseases, colorectal cancer, and a rare inflammatory condition and has product candidates under development in other areas, including hypercholesterolemia, oncology, rheumatoid arthritis , asthma and atopic dermatitis. It has 76.08 P/E ratio. The Company’s marketed products include EYLEA (aflibercept) injection, ZALTRAP (ziv-aflibercept) injection for intravenous infusion and ARCALYST (rilonacept) injection for subcutaneous use.

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