AbCellera Biologics (NASDAQ:ABCL) Releases Earnings Results, Misses Expectations By $0.04 EPS

AbCellera Biologics (NASDAQ:ABCL) announced its quarterly earnings results on Wednesday. The company reported ($0.18) earnings per share (EPS) for the quarter, missing the consensus estimate of ($0.14) by ($0.04), FiscalAI reports. The business had revenue of $4.05 million during the quarter, compared to the consensus estimate of $7.85 million. AbCellera Biologics had a negative net margin of 181.75% and a negative return on equity of 14.86%.

Here are the key takeaways from AbCellera Biologics’ conference call:

• ABCL635 enrollment and dosing were completed ahead of schedule, with top-line Phase I data in post-menopausal women expected shortly. Management views a clean safety profile and efficacy comparable to approved small-molecule treatments as key success criteria.
• AbCellera announced T-cell engager collaborations with Vertex and Jazz that provide more than $110 million in upfront payments, with potential downstream payments exceeding $2 billion under the Jazz agreement and tiered royalties on sales.
• ABCL688 and ABCL386 remain in IND-enabling work and are expected to enter Phase I/II studies in 2027, while the ABCL575 Phase I trial is on track for a Q4 readout; the company currently does not plan to develop ABCL575 beyond Phase I.
• Second-quarter revenue fell to approximately $4 million from $17 million a year earlier, while the net loss widened to about $55 million, or $0.18 per share, as research and development spending increased to support internal programs.
• AbCellera ended the quarter with approximately $567 million in cash and marketable securities, plus roughly $110 million in committed government funding, which management believes is sufficient to fund at least three years of pipeline investment.

AbCellera Biologics Price Performance

Shares of ABCL traded down $0.17 during mid-day trading on Wednesday, hitting $5.92. 4,552,079 shares of the company’s stock were exchanged, compared to its average volume of 5,701,921. The company has a 50-day simple moving average of $6.18 and a 200 day simple moving average of $4.64. AbCellera Biologics has a 52 week low of $2.74 and a 52 week high of $8.44. The company has a market cap of $1.81 billion, a PE ratio of -12.33 and a beta of 1.20.

Wall Street Analyst Weigh In

Several brokerages recently commented on ABCL. Benchmark raised AbCellera Biologics from a “hold” rating to a “buy” rating and set a $11.00 price target on the stock in a research note on Tuesday, July 7th. JonesTrading began coverage on AbCellera Biologics in a research report on Friday, April 10th. They issued a “buy” rating and a $11.00 price objective for the company. Weiss Ratings reaffirmed a “sell (d-)” rating on shares of AbCellera Biologics in a research note on Friday, July 17th. Cantor Fitzgerald assumed coverage on shares of AbCellera Biologics in a report on Tuesday, May 5th. They set an “overweight” rating and a $7.00 price objective for the company. Finally, Wall Street Zen cut shares of AbCellera Biologics from a “hold” rating to a “sell” rating in a research report on Saturday, May 16th. One analyst has rated the stock with a Strong Buy rating, three have given a Buy rating, one has given a Hold rating and one has given a Sell rating to the company. Based on data from MarketBeat, AbCellera Biologics currently has an average rating of “Moderate Buy” and an average target price of $8.00.

Hedge Funds Weigh In On AbCellera Biologics

A number of institutional investors have recently added to or reduced their stakes in ABCL. Invesco Ltd. lifted its stake in AbCellera Biologics by 27.9% in the fourth quarter. Invesco Ltd. now owns 54,603 shares of the company’s stock valued at $187,000 after acquiring an additional 11,914 shares during the last quarter. XTX Topco Ltd acquired a new position in AbCellera Biologics during the fourth quarter worth approximately $1,242,000. nVerses Capital LLC bought a new stake in AbCellera Biologics in the fourth quarter valued at approximately $121,000. Voloridge Investment Management LLC boosted its stake in shares of AbCellera Biologics by 170.0% during the 4th quarter. Voloridge Investment Management LLC now owns 695,796 shares of the company’s stock worth $2,380,000 after acquiring an additional 438,061 shares during the period. Finally, Virtus Investment Advisers LLC increased its holdings in shares of AbCellera Biologics by 103.4% during the 4th quarter. Virtus Investment Advisers LLC now owns 73,488 shares of the company’s stock worth $251,000 after acquiring an additional 37,365 shares during the last quarter. 61.42% of the stock is currently owned by institutional investors and hedge funds.

About AbCellera Biologics

AbCellera Biologics Inc (NASDAQ: ABCL) is a biotechnology company specializing in the discovery and development of therapeutic antibodies. The company’s technology platform integrates single-cell screening, microfluidics, high-throughput sequencing and artificial intelligence to rapidly identify and optimize antibody candidates against a wide range of disease targets. By combining experimental data with machine learning, AbCellera accelerates early-stage drug discovery and improves the efficiency of lead candidate selection.

AbCellera primarily operates through partnerships with pharmaceutical and biotechnology firms, offering its antibody discovery services on a fee-for-service and milestone-driven basis.