Core Insights - Zacks Premium provides various tools for investors to enhance their stock market strategies and confidence [1][2] Zacks Style Scores - Zacks Style Scores are indicators that rate stocks based on value, growth, and momentum methodologies, helping investors identify stocks likely to outperform in the next 30 days [3][4] - Stocks are rated from A to F, with A indicating the highest potential for outperformance [4] Categories of Style Scores - **Value Score**: Focuses on identifying undervalued stocks using ratios like P/E, PEG, and Price/Sales [5] - **Growth Score**: Analyzes projected and historical earnings, sales, and cash flow to find stocks with sustainable growth [6] - **Momentum Score**: Utilizes price trends and earnings estimate changes to identify favorable investment opportunities [7] - **VGM Score**: Combines all three Style Scores to highlight stocks with attractive value, growth forecasts, and momentum [8] Zacks Rank and Style Scores - The Zacks Rank is a proprietary model that uses earnings estimate revisions to assist in portfolio building [9] - Stocks rated 1 (Strong Buy) have historically produced an average annual return of +25.41% since 1988, significantly outperforming the S&P 500 [10] - Investors are encouraged to select stocks with a Zacks Rank of 1 or 2 and Style Scores of A or B for optimal success [12] Example Company: Acadia Pharmaceuticals - Acadia Pharmaceuticals is a biopharmaceutical company focused on CNS disorders and rare diseases [15] - Currently rated 3 (Hold) with a VGM Score of B, Acadia has a Momentum Style Score of A and has seen a 13.6% increase in shares over the past four weeks [16] - Six analysts have raised earnings estimates for fiscal 2024, with the consensus estimate increasing by $0.19 to $0.73 per share, and an average earnings surprise of 54.1% [16][17]

Licensing Agreement and Strategic Focus - Acadia Pharmaceuticals signed an exclusive worldwide license agreement with Saniona to develop and commercialize SAN711, a first-in-class GABAA-α3 positive allosteric modulator [1] - SAN711 will initially be studied for essential tremor, a neurological condition with significant unmet treatment needs, with a mid-stage study planned for 2026 [2][3] - The agreement includes an upfront payment of $28 million and potential milestone payments of up to $582 million, with tiered royalties on net sales [5][6] Financial Performance and Marketed Portfolio - Acadia's shares have declined 48.2% year-to-date, significantly underperforming the industry's 7.8% decline [4] - The company's marketed portfolio includes Nuplazid and Daybue, with Nuplazid generating $446.5 million in revenue in the first nine months of 2024, a 10% year-over-year increase [7][9] - Daybue, approved for Rett syndrome, was launched in April 2023 and contributes incremental revenue [8][9] Pipeline Development and Future Growth - Acadia is evaluating carbetocin nasal spray (ACP-101) in a phase III study for Prader-Willi syndrome and plans to submit a new drug application upon successful results [11] - The company is also developing ACP-204 for Alzheimer's disease psychosis, with a mid-stage study initiated in Q4 2023 [12] - Future approvals of pipeline candidates could diversify revenue streams and reduce reliance on Nuplazid [13] Industry Comparison and Peer Performance - Acadia currently holds a Zacks Rank 3 (Hold), while peers like Allogene Therapeutics, Pfizer, and Gilead Sciences hold a Zacks Rank 2 (Buy) [14] - Allogene Therapeutics' loss per share estimates have narrowed, with shares down 21.5% year-to-date [15] - Pfizer's earnings estimates have risen, with shares down 10.6% year-to-date, while Gilead Sciences' shares have risen 12.8% year-to-date [16][17]

Core Insights - Zacks Premium offers tools for investors to enhance their stock market engagement and confidence [1] - The Zacks Style Scores are designed to complement the Zacks Rank, aiding in stock selection based on value, growth, and momentum [2][6] Zacks Style Scores Overview - Stocks are rated A, B, C, D, or F based on their value, growth, and momentum characteristics, with higher scores indicating better performance potential [3] - The Style Scores are categorized into four types: Value Score, Growth Score, Momentum Score, and VGM Score [3][4][5] Value Score - The Value Score identifies attractive and discounted stocks using ratios like P/E, PEG, Price/Sales, and Price/Cash Flow [3] Growth Score - The Growth Score focuses on a company's financial strength and future outlook, analyzing projected and historical earnings, sales, and cash flow [4] Momentum Score - The Momentum Score helps investors capitalize on price trends, utilizing factors like one-week price change and monthly earnings estimate changes [4] VGM Score - The VGM Score combines all three Style Scores, providing a comprehensive indicator for stock selection based on value, growth, and momentum [5] Zacks Rank Integration - The Zacks Rank uses earnings estimate revisions to guide investors in portfolio creation, with 1 (Strong Buy) stocks yielding an average annual return of +25.41% since 1988 [6][7] - Investors are encouraged to select stocks with a Zacks Rank of 1 or 2 and Style Scores of A or B for optimal success [8] Acadia Pharmaceuticals (ACAD) Analysis - Acadia Pharmaceuticals is a biopharmaceutical company focused on CNS disorders and rare diseases, currently rated 3 (Hold) with a VGM Score of B [10] - The company has seen a 21.9% increase in shares over the past four weeks, with four analysts revising earnings estimates upwards for fiscal 2024 [10][11] - The Zacks Consensus Estimate for ACAD has risen by $0.04 to $0.58 per share, with an average earnings surprise of 54.1% [11]

Group 1 - The discussion in the biotech community has focused on profitable buy-write or covered call strategies for selected biotech stocks over recent months [1] - ACADIA Pharmaceuticals Inc. (NASDAQ: ACAD) was identified as a mid-cap biopharma stock that was in the "buy zone" as of June, indicating positive sentiment towards its shares [2] - The Biotech Forum offers a model portfolio featuring 12-20 high upside biotech stocks, along with live chat for trade ideas and weekly market commentary [2] Group 2 - The analyst has a beneficial long position in ACAD shares through various financial instruments, indicating confidence in the stock's performance [3] - Seeking Alpha emphasizes that past performance does not guarantee future results and that no specific investment advice is provided [4]

Core Viewpoint - Acadia Pharmaceuticals reported a strong third-quarter performance for 2024, with earnings per share of 20 cents, surpassing estimates and showing significant revenue growth driven by its products Nuplazid and Daybue [1][3][4]. Financial Performance - Acadia's total revenues reached $250 million, exceeding the Zacks Consensus Estimate of $249 million, marking an 18% year-over-year increase [1][3]. - Revenues from Nuplazid increased by 10% year over year to $159.2 million, driven by a 7% growth in volumes, and also surpassed the Zacks Consensus Estimate of $155.6 million [4]. - Daybue generated net product sales of $91.2 million in the quarter, reflecting a 36% year-over-year increase, although it fell short of the Zacks Consensus Estimate of $93.8 million [4]. Expenses and Guidance - Research and development (R&D) expenses decreased by 58% year over year to $66.6 million, primarily due to reduced business development payments [5]. - Selling, general and administrative (SG&A) expenses rose by 36% year over year to $133.3 million, attributed to increased marketing costs for Daybue and consumer activation programs for Nuplazid [6]. - Acadia updated its 2024 financial guidance, projecting total revenue between $940 million and $960 million, with Daybue sales expected to be between $340 million and $350 million [8][9]. Cash Position and Strategic Moves - As of September 30, 2024, Acadia had cash, cash equivalents, and investments totaling $565.3 million, an increase from $500.9 million as of June 30, 2024 [7]. - The company announced a definitive agreement to sell its Rare Pediatric Disease Priority Review Voucher for $150 million, which will support its commercial operations and R&D programs [11][12].

Financial Data and Key Metrics - Total net sales for Q3 2024 were $250.4 million, up 18% YoY [49] - DAYBUE net product sales were $91.2 million in Q3, up 36% YoY and 8% sequentially [49] - NUPLAZID net product sales were $159.2 million in Q3, up 10% YoY [49] - Gross to net for NUPLAZID was 24.9% in Q3 [50] - R&D expenses decreased to $66.6 million in Q3 2024 from $157 million in Q3 2023 [51] - SG&A expenses increased to $133.3 million in Q3 2024 from $97.9 million in Q3 2023 [52] - Cash balance at the end of Q3 was $565.3 million, up $64.4 million from the prior quarter [52] Business Line Performance - DAYBUE sales were driven by continued penetration of the prevalent population and increased demand among continuing patients, with 923 patients receiving paid shipments in Q3 [21][22] - NUPLAZID achieved its highest-ever quarterly sales of $159.2 million, driven by increased active patients across all market segments [33] - DAYBUE has over 60% of active patients on treatment for 10 months or more, with persistency rates at 50% or higher beyond 12 months [23] - NUPLAZID's growth was supported by real-world evidence studies and label clarification, leading to higher demand and market share [34] Market Performance - DAYBUE has expanded its prescriber base to approximately 800 unique prescribers, with increasing penetration outside of RETT centers of excellence [24][25] - NUPLAZID benefited from a stable Parkinson's disease psychosis market and the launch of direct-to-consumer campaigns, which are expected to drive growth in 2025 [35][37] - DAYBUE received approval in Canada and is targeting a marketing authorization application submission in the EU in Q1 2025 [39][40] Company Strategy and Industry Competition - The company is focused on growing its commercial franchises (DAYBUE and NUPLAZID) and advancing its pipeline, including late-stage assets for Prader-Willi Syndrome and Alzheimer's disease psychosis [9][10] - Acadia is actively pursuing business development opportunities to expand its pipeline and set its growth trajectory for the future [20] - The company is leveraging real-world evidence and caregiver-reported benefits to drive adoption of DAYBUE and NUPLAZID [26][27] Management Commentary on Operating Environment and Future Outlook - Management highlighted the strong foundation of the business and the potential for future growth in both DAYBUE and NUPLAZID [57] - The company expects to see growth in both franchises in 2025, with DAYBUE sales guidance narrowed to $340-$350 million and NUPLAZID sales guidance narrowed to $600-$610 million [54] - The company is confident in its growth outlook based on the current rate of new patient starts and a growing base of enduring patients [32] Other Important Information - The company sold its rare pediatric disease priority review voucher for $150 million, with $50 million to be paid to Neuren as part of a licensing agreement [53] - Acadia is preparing for the European launch of DAYBUE, with plans to build out its team and expertise in Europe [39][94] Q&A Session Summary Question: Business Development and Early-Stage Pipeline - The company is focused on business development to complement its strong neuropsychiatry and rare disease franchises, with a strong financial position to support future deals [62][64] Question: DAYBUE Patient Dynamics and Holiday Season Impact - The company has a better understanding of the reverification process and a more mature patient base heading into 2025, which provides a dependable base for Q1 demand [66][67] Question: NUPLAZID Patient Profile and Label Change Impact - The mix of prescribers and patient age has remained consistent post-campaign launch, with no substantial change in patient demographics [71][72] Question: DAYBUE Sales and Patient Persistency - Over 60% of DAYBUE patients are on treatment for 10 months or more, with persistency rates flattening beyond 10 months, indicating a strong enduring patient base [76] - Discontinuations are primarily due to tolerability issues (diarrhea or vomiting) rather than lack of treatment effect [77] Question: DAYBUE Launch Strategy and Growth Focus - The company is focusing on enhancing efficacy messaging, managing the patient journey, and driving growth outside of centers of excellence to recharge DAYBUE growth [79][80][81] Question: DAYBUE Prescriber Dynamics - The company is focused on driving depth of prescribing among HCPs who have prescribed DAYBUE to one or two patients, with additional patients under their care [86][87] Question: DAYBUE International Expansion - The company is preparing for the Canadian launch of DAYBUE, with limited coverage expected in 2025 through private payers, and is targeting EU and Japan for future expansion [90][94] Question: European Rare Disease Launch Strategy - The company plans to launch DAYBUE in Europe post-registrational approval, with a focus on national HTA negotiations and leveraging its experience in managing rare disease launches [97][98] Question: ACP-204 Master Protocol and Data Release - The company plans to release Phase 2 data for ACP-204 at an appropriate time, with the potential to use the data to modify Phase 3 studies [102][113] Question: CEO's Vision for Acadia - The new CEO is focused on growing the commercial base, advancing the pipeline, and leveraging the company's strong financial position for future growth [114][115] Question: DAYBUE Growth Bottlenecks - The company is focused on educating physicians and caregivers about DAYBUE's real-world efficacy and clinical benefits to drive further adoption [119][120] Question: DAYBUE Patient Restarts - The company is working on strategies to address tolerability challenges and encourage restarts among patients who discontinued treatment, with restarts currently representing less than 10% of the patient base [125][126]

() ACADIA Third Quarter 2024 Earnings Call November 6, 2024 Call Agenda CEO Opening Remarks Catherine Owen Adams | Chief Executive Officer Commercial Update Brendan Teehan | Chief Operating Officer, Head of Commercial R&D Update Elizabeth H.Z. Thompson | Executive Vice President, Head of Research and Development Financial Update Mark Schneyer | Chief Financial Officer Welcome Al Kildani | Senior Vice President, Investor Relations and Corporate Communications Closing Remarks Catherine Owen Adams | Chief Exec ...

Core Insights - Acadia Pharmaceuticals reported quarterly earnings of $0.20 per share, exceeding the Zacks Consensus Estimate of $0.13 per share, and showing a significant improvement from a loss of $0.40 per share a year ago, resulting in an earnings surprise of 53.85% [1] - The company achieved revenues of $250.4 million for the quarter ended September 2024, surpassing the Zacks Consensus Estimate by 0.46% and reflecting a year-over-year increase from $211.7 million [2] - Acadia shares have underperformed the market, losing approximately 52.1% since the beginning of the year, while the S&P 500 has gained 21.2% [3] Earnings Outlook - The current consensus EPS estimate for the upcoming quarter is $0.08 on revenues of $255.72 million, and for the current fiscal year, it is $0.51 on revenues of $952.8 million [7] - The estimate revisions trend for Acadia is mixed, leading to a Zacks Rank 3 (Hold) for the stock, indicating expected performance in line with the market in the near future [6] Industry Context - The Medical - Biomedical and Genetics industry, to which Acadia belongs, is currently ranked in the top 38% of over 250 Zacks industries, suggesting a favorable outlook compared to the bottom 50% [8] - Another company in the same industry, Fortrea Holdings Inc., is expected to report quarterly earnings of $0.27 per share, reflecting a year-over-year change of +12.5%, with revenues anticipated to be $674.08 million, down 13.2% from the previous year [9][10]

Product Portfolio - NUPLAZID and DAYBUE are the company's commercial portfolio products, with NUPLAZID approved in April 2016 and DAYBUE in March 2023[86][99]. - The FDA approved DAYBUE for the treatment of Rett syndrome, making it the first and only drug approved for this condition in the U.S.[86]. - DAYBUE received marketing authorization in Canada for the treatment of Rett syndrome in October 2024, marking it as the first approved drug for this condition in Canada[93]. Research and Development - The company has incurred significant research and development expenses, with a focus on products like pimavanserin, trofinetide, ACP-101, and ACP-204[102]. - The company initiated a Phase 3 study for ACP-101 in November 2023, targeting hyperphagia in Prader-Willi syndrome[94]. - Research and development expenses decreased to $66.6 million for the three months ended September 30, 2024, from $157.0 million for the same period in 2023[114]. - Research and development expenses for the nine months ended September 30, 2024, totaled $202.5 million, down from $284.9 million in 2023[122]. Financial Performance - As of September 30, 2024, the company reported an accumulated deficit of $2.3 billion, indicating substantial operating losses primarily due to research and development expenditures[97]. - Net product sales for the three months ended September 30, 2024, were $250.4 million, an increase from $211.7 million in 2023[111]. - Net product sales of NUPLAZID increased to $159.2 million for the three months ended September 30, 2024, compared to $144.8 million in 2023, reflecting a growth of $14.4 million[112]. - Net product sales of DAYBUE rose to $91.2 million for the three months ended September 30, 2024, up from $66.9 million in 2023, an increase of $24.3 million[112]. - Net product sales for the nine months ended September 30, 2024, were $698.2 million, compared to $495.4 million in 2023[116]. - Net product sales of NUPLAZID for the nine months ended September 30, 2024, were $446.5 million, an increase of $41.2 million from $405.3 million in 2023[117]. - Net product sales of DAYBUE surged to $251.7 million for the nine months ended September 30, 2024, compared to $90.1 million in 2023, an increase of $161.6 million[117]. Expenses - Selling, general and administrative expenses increased to $133.3 million for the three months ended September 30, 2024, from $97.9 million in 2023[115]. - Selling, general and administrative expenses increased to $358.3 million for the nine months ended September 30, 2024, from $295.1 million for the same period in 2023, representing a 21.4% increase[123]. - The increase in selling, general and administrative expenses was primarily driven by costs related to the consumer activation program for the NUPLAZID franchise and increased marketing costs in the U.S.[123]. - Cost of product sales for the nine months ended September 30, 2024, was $60.0 million, representing approximately 9% of net product sales, compared to $23.7 million or 5% in 2023[119]. Cash Flow and Financing - Net cash provided by operating activities increased to $117.3 million for the nine months ended September 30, 2024, compared to a net cash used of $68.7 million for the same period in 2023[132]. - Cash, cash equivalents, and investment securities totaled $565.3 million at September 30, 2024, up from $438.9 million at December 31, 2023, marking a $126.4 million increase[132]. - Net cash used in investing activities totaled $152.7 million for the nine months ended September 30, 2024, compared to $32.3 million of net cash provided in the same period in 2023[133]. - Net cash provided by financing activities decreased to $4.9 million for the nine months ended September 30, 2024, down from $19.7 million for the same period in 2023[134]. - The company expects cash, cash equivalents, and securities to be sufficient to fund planned operations through and beyond the next 12 months[124]. - The company may require additional financing in the future to fund operations, depending on various factors including the costs of acquiring additional product candidates[124]. - The company is required to make milestone payments of $50.0 million within 60 days following Neuren's invoice delivery after December 31, 2024, due to exceeding $250.0 million in net revenue from trofinetide in North America[130]. Licensing and Market Expansion - The company expanded its licensing agreement with Neuren in July 2023, acquiring global rights for trofinetide and NNZ-2591, with potential milestone payments totaling up to $1.257 billion[92]. - The company is exploring additional markets for trofinetide, with plans for a filing in Europe anticipated in Q1 2025[93]. - The company has fulfilled one of the five post-marketing requirements for DAYBUE and is awaiting FDA's acknowledgment for another completed requirement[102]. Investment Portfolio - The investment portfolio has not been adversely impacted by past disruptions in credit markets, but future disruptions could affect it[127].

Exhibit 99.1 Acadia Pharmaceuticals Reports Third Quarter 2024 Financial Results and Operating Overview - 3Q24 total revenues of $250.4 million, up 18% year-over-year - 3Q24 NUPLAZID® (pimavanserin) net product sales of $159.2 million, up 10% year-over-year - 3Q24 DAYBUE™ (trofinetide) net product sales of $91.2 million, up 36% year-over-year SAN DIEGO, CA, November 6, 2024 – Acadia Pharmaceuticals Inc. (Nasdaq: ACAD) today announced its financial results for the third quarter ended September 30, 2024. "The ...