In this article, we discuss the 5 healthcare stocks making moves after earnings. If you want to see some more healthcare companies moving on quarterly results, go directly to 10 Healthcare Stocks Making Moves After Earnings.
5. Becton, Dickinson and Company (NYSE:BDX)
Number of Hedge Fund Holders: 49
Shares of Becton, Dickinson and Company (NYSE:BDX) rose to a nearly two-month high on Thursday, August 4, 2022. The surge came after the medical technology company beat financial expectations for its fiscal third quarter and lifted its outlook for the full year.
Becton, Dickinson and Company (NYSE:BDX) reported adjusted earnings of $2.66 per share, up from $2.28 per share in the year-ago period. Revenue inched up 0.7 percent versus last year to $4.6 billion. The results easily exceeded the consensus of $2.50 per share for earnings and $4.47 billion for revenue.
Becton, Dickinson and Company (NYSE:BDX) also released its segment-wise sales results. Revenue from its medical segment rose 4.7 percent to $2.19 billion, while international revenue increased 5.5 percent to $1.14 billion in the quarter. In comparison, revenue from the life science segment fell 8.7 percent to $1.31 billion.
For fiscal 2022, Becton, Dickinson and Company (NYSE:BDX) lifted its adjusted profit outlook to a range of $11.28 – $11.35 per share, from its previous guidance between $11.15 – $11.30 per share.
4. Vertex Pharmaceuticals Incorporated (NASDAQ:VRTX)
Number of Hedge Fund Holders: 49
Vertex Pharmaceuticals Incorporated (NASDAQ:VRTX) surpassed financial expectations for the second quarter, driven by solid sales of its cystic fibrosis treatment Trikafta. The Boston-based biopharmaceutical company earned $3.60 per share on an adjusted basis, well above 17 cents per share in the year-ago period.
Revenue for the quarter jumped 22 percent on a year-over-year basis to $2.20 billion. Analysts were expecting Vertex Pharmaceuticals Incorporated (NASDAQ:VRTX) to post earnings of $3.52 per share on revenue of $2.13 billion.
Looking forward, Vertex Pharmaceuticals Incorporated (NASDAQ:VRTX) now expects revenue of $8.6 – $8.8 billion for the full year, up from its previous guidance of $8.4 – $8.6 billion.
Speaking on the results, CEO Reshma Kewalramani said:
“With sustained and growing leadership in CF, programs in five disease areas now entering or progressing through late-stage clinical development and the next wave of innovation beginning to enter the clinic later this year, Vertex has reached a new inflection point. As we reach more CF patients, we are poised to deliver significant, durable financial returns for years to come.”
3. Eli Lilly and Company (NYSE:LLY)
Number of Hedge Fund Holders: 53
Shares of Eli Lilly and Company (NYSE:LLY) fell for two consecutive trading sessions after missing financial expectations for the second quarter on Thursday, August 4, 2022. The Indiana-based pharmaceutical giant reported adjusted earnings of $1.25 per share, well below $1.85 per share in the year-ago period.
Revenue for the quarter also fell 4 percent versus last year to $6.49 billion. Analysts were expecting Eli Lilly and Company (NYSE:LLY) to earn $1.69 per share on revenue of $6.84 billion.
Eli Lilly and Company (NYSE:LLY) also disclosed its region-wise sales performance. Its U.S. revenue rose 6 percent to $3.93 billion, while revenue outside the U.S. plummeted 16 percent to $2.55 billion in the quarter.
Looking forward, Eli Lilly and Company (NYSE:LLY) lowered its full-year adjusted earnings outlook to a range of $7.90 – $8.05 per share. Previously, it was looking for adjusted earnings between $8.15 – $8.30 per share.
2. Cigna Corporation (NYSE:CI)
Number of Hedge Fund Holders: 53
Shares of Cigna Corporation (NYSE:CI) hit a new 52-week high of $284.46 on Thursday, August 4, 2022, after delivering solid results for the second quarter. The Connecticut-based healthcare giant reported adjusted earnings of $6.22 per share, up from $5.24 per share in the same period last year.
In addition, Cigna Corporation (NYSE:CI) posted revenue of $45.480 billion, compared to $43.131 billion in the year-ago period. The results easily surpassed the consensus of $5.48 per share for earnings and $44.41 billion for revenue.
Moving forward, Cigna Corporation (NYSE:CI) now anticipates an adjusted profit of at least $22.90 per share for the full year, compared to its previous projection of at least $22.60 per share.
Discussing the results, CEO of Cigna Corporation (NYSE:CI), David M. Cordani, said:
“Our focus on our customers, patients and clients continues to resonate in the market as our strong results and positive momentum reinforce the value we are delivering. Evernorth and Cigna Healthcare continue driving our strong performance, and our focus on ongoing innovation positions us for sustained, differentiated growth.”
1. Zoetis Inc. (NYSE:ZTS)
Number of Hedge Fund Holders: 67
Zoetis Inc. (NYSE:ZTS) missed profit expectations for the second quarter and lowered its outlook for the full year. As a result, its shares slipped over three percent on Wednesday, August 4, 2022.
The animal health company reported adjusted earnings of $1.20 per share, below the consensus of $1.22 per share. On the bright side, Zoetis Inc. (NYSE:ZTS) posted revenue of $2.05 billion, slightly above the expectations of $2.04 billion.
For fiscal 2022, Zoetis Inc. (NYSE:ZTS) now anticipates adjusted earnings of $4.97 – $5.05 per share and revenue between $8.23 – $8.33 billion. That’s below its previous outlook of $4.99 – $5.09 per share for earnings and $8.23 – $8.38 billion for revenue.
Earlier this year, Zoetis Inc. (NYSE:ZTS) appeared in the first-quarter 2022 investor letter of investment management firm Baron Funds. Here’s what the firm said:
“Shares of Zoetis Inc., the global leader in the discovery, development, and manufacturing of companion and farm animal health medicine and vaccines, fell along with shares of other high-multiple 2021 standout performers. We retain conviction as Zoetis recently reported a top and bottom line beat with more than 21% growth driven by dermatology, parasiticides, and recently launched monoclonal osteoarthritic treatments. The company’s 2022 guidance was in line with Street expectations, calling for 9% to 11% operational revenue growth and modest margin expansion despite heavy investment in core growth drivers.”
You can also take a peek at Top 10 Stock Picks of Cannell Capital and Jim Cramer Recommends These 10 Stocks For Recession.
