Watch These 5 Drug Stocks for Q1 Earnings: Beat or Miss?

Industry Overview - The earnings season for the drug/biotech sector is concluding, with companies like Viatris and Perrigo set to report their first-quarter 2024 results this week [1] - 55% of companies in the Medical sector have reported quarterly earnings, with 93.9% beating earnings estimates and 75.8% exceeding revenue estimates [1] - Despite a year-over-year earnings decline of 31.2%, revenues in the Medical sector rose by 4.4% [1] Company Summaries Viatris - Viatris has a mixed performance history, beating earnings expectations in three of the last four quarters, with an average positive earnings surprise of 3.78% [3] - The company has an Earnings ESP of +0.74% and a Zacks Rank of 3, indicating a likely positive surprise, with consensus estimates of 68 cents per share in earnings and $3.74 billion in revenue [3] - Revenues in the Generic segment are expected to improve due to new products, offsetting declines in mature products [4] Perrigo Company - Perrigo has also shown mixed results, beating earnings expectations in three of the last four quarters, with an average beat of 6.47% [5] - The company has an Earnings ESP of 0.00% and a Zacks Rank of 4, with consensus estimates of 24 cents per share in earnings and $1.09 billion in revenue [5] - Sales in the Consumer Self Care Americas segment may be negatively impacted by lower net product sales in the U.S., while the Consumer Self Care International segment could benefit from acquisitions [5] Teva Pharmaceutical - Teva has a mixed earnings history, beating estimates in two of the last four quarters, with a trailing four-quarter average negative earnings surprise of 1.80% [7] - The company has an Earnings ESP of -4.46% and a Zacks Rank of 3, with consensus estimates of 51 cents per share in earnings and $3.7 billion in revenue [7] - Revenue growth is expected to be driven by higher sales of Austedo, despite lower sales from legacy brands [7] Iovance Biotherapeutics - Iovance has a mixed track record, beating estimates in two of the last four quarters, with an average beat of 20.05% [8] - The company has an Earnings ESP of 0.00% and a Zacks Rank of 3, with consensus estimates indicating a loss of 45 cents per share and $2.9 million in revenue [8] - Investors will be looking for updates on the commercial launch of its new melanoma drug, Amtagvi, during the earnings call [8] ACADIA Pharmaceuticals - ACADIA has a mixed earnings history, with an average earnings surprise of 18.56% over the last four quarters [9] - The company has an Earnings ESP of -71.34% and a Zacks Rank of 3, with consensus estimates of 17 cents per share in earnings and $206.9 million in revenue [9]