Foghorn Therapeutics Inc. (FHTX) Reports Q2 Loss, Lags Revenue Estimates

Company Performance - Foghorn Therapeutics Inc. reported a quarterly loss of $0.28 per share, which was better than the Zacks Consensus Estimate of a loss of $0.31, and an improvement from a loss of $0.45 per share a year ago, representing an earnings surprise of +9.68% [1] - The company posted revenues of $7.56 million for the quarter ended June 2025, missing the Zacks Consensus Estimate by 0.85%, but showing an increase from year-ago revenues of $6.89 million [2] - Over the last four quarters, Foghorn Therapeutics has surpassed consensus EPS estimates two times, but has not been able to beat consensus revenue estimates [2] Market Outlook - Foghorn Therapeutics shares have increased by approximately 8.9% since the beginning of the year, outperforming the S&P 500's gain of 7.6% [3] - The company's earnings outlook is crucial for investors, as it includes current consensus earnings expectations for upcoming quarters and any recent changes to these expectations [4] - The current consensus EPS estimate for the coming quarter is -$0.31 on revenues of $7.93 million, and for the current fiscal year, it is -$1.27 on revenues of $29.82 million [7] Industry Context - The Medical - Biomedical and Genetics industry, to which Foghorn Therapeutics belongs, is currently ranked in the bottom 43% of over 250 Zacks industries, indicating potential challenges for stock performance [8] - Empirical research suggests a strong correlation between near-term stock movements and trends in earnings estimate revisions, which can impact investor decisions [5]