Exelixis (NASDAQ:EXEL) Issues Quarterly Earnings Results

Exelixis (NASDAQ:EXEL) announced its quarterly earnings results on Thursday. The biotechnology company reported $0.94 EPS for the quarter, beating the consensus estimate of $0.89 by $0.05, FiscalAI reports. Exelixis had a return on equity of 42.17% and a net margin of 35.33%. The company had revenue of $658.70 million for the quarter, compared to the consensus estimate of $646.51 million. During the same quarter last year, the company posted $0.78 earnings per share. The company’s revenue for the quarter was up 10.2% compared to the same quarter last year.

Here are the key takeaways from Exelixis’ conference call:

• CABOMETYX continued to grow, with U.S. franchise net product revenue rising 11% year over year to $605 million and global franchise revenue increasing 11% to $818 million. RCC and NET both contributed, while CABOMETYX’s share of the oral second-line-plus NET market exceeded 50%.
• Exelixis is advancing zanzalintinib as its next potential oncology franchise. The company reported continued enrollment across Wave 1 studies, initiated the STELLAR-316 colorectal cancer trial and STELLAR-202 lung cancer trial, and expects STELLAR-304 non-clear cell RCC results in the first quarter of 2027.
• The FDA’s action date for the zanzalintinib NDA based on STELLAR-303 was updated to March 3, 2027. Management did not provide additional detail on ongoing FDA discussions or potential labeling.
• The company reported third-quarter revenue of approximately $659 million, GAAP net income of $218 million, and non-GAAP net income of $240 million. Exelixis also repurchased $250 million of stock during the quarter, with $348 million remaining under its current $750 million authorization.
• Operating expenses increased to approximately $390 million from $380 million in the prior quarter, driven by higher legal and advisory fees, marketing expenses, and cost of goods sold. The company also cited the timing-related effects of the NET business when discussing its maintained 2026 revenue outlook and updated its full-year gross-to-net deduction estimate to approximately 30%.

Exelixis Trading Down 0.1%

NASDAQ EXEL traded down $0.08 on Thursday, reaching $66.20. The company’s stock had a trading volume of 2,838,647 shares, compared to its average volume of 2,184,202. Exelixis has a 52 week low of $36.00 and a 52 week high of $67.52. The firm has a market cap of $16.40 billion, a PE ratio of 20.98, a price-to-earnings-growth ratio of 1.86 and a beta of 0.47. The business has a 50-day moving average price of $58.84 and a 200 day moving average price of $50.68.

Key Stories Impacting Exelixis

Here are the key news stories impacting Exelixis this week:

• Positive Sentiment: Q3 earnings and revenue beat expectations. Exelixis reported non-GAAP earnings of $0.94 per share, topping the $0.89 consensus estimate, while revenue of $658.7 million exceeded estimates of approximately $646.5 million. EPS also increased from $0.78 a year earlier. Exelixis Q3 earnings and revenue estimates
• Positive Sentiment: Profitability and cash generation remained strong. Third-quarter revenue rose 10.2% year over year to $658.7 million, while net income increased 12.7% to $218.1 million. Operating cash flow totaled $280 million, reinforcing the company’s ability to fund operations and its oncology pipeline. Exelixis Q3 2026 results
• Positive Sentiment: Pipeline and commercial collaboration remain strategic positives. Exelixis and Bristol-Myers Squibb announced a long-term extension study intended to expand access to key cancer medicines, supporting the partners’ ongoing development and commercialization efforts. Exelixis and BMS long-term study
• Neutral Sentiment: Institutional positioning was mixed. Several hedge funds increased their EXEL holdings in the latest reported quarter, while others—including BlackRock, AQR and FMR—reduced positions. This provides no clear consensus signal.
• Negative Sentiment: Insider transactions were entirely sales. Six reported insider trades over the past six months involved selling, with no purchases. While sales may reflect personal portfolio decisions, the pattern can weigh on investor sentiment.
• Negative Sentiment: Published analyst targets trail the current valuation. The median target cited by Quiver Quantitative was $52, below the recent share price near $66, suggesting some analysts view the stock as fully valued after its advance. Exelixis analyst targets and insider activity

Wall Street Analyst Weigh In

A number of research firms recently issued reports on EXEL. Citizens Jmp raised their target price on shares of Exelixis from $55.00 to $65.00 and gave the company a “market outperform” rating in a research note on Monday, October 19th. HC Wainwright reissued a “buy” rating and set a $56.00 target price on shares of Exelixis in a research report on Thursday, July 2nd. Wells Fargo & Company boosted their target price on shares of Exelixis from $40.00 to $49.00 and gave the stock an “equal weight” rating in a research report on Monday, July 13th. Zacks Research upgraded shares of Exelixis from a “strong sell” rating to a “hold” rating in a report on Tuesday, September 1st. Finally, Royal Bank Of Canada raised their price target on Exelixis from $45.00 to $51.00 and gave the company a “sector perform” rating in a research report on Friday, October 9th. One research analyst has rated the stock with a Strong Buy rating, six have given a Buy rating, twelve have issued a Hold rating and one has assigned a Sell rating to the stock. Based on data from MarketBeat, the company has an average rating of “Hold” and an average price target of $51.50.

Insiders Place Their Bets

In other news, Director Mary Beckerle sold 9,812 shares of the company’s stock in a transaction that occurred on Monday, August 10th. The stock was sold at an average price of $53.66, for a total value of $526,511.92. Following the sale, the director directly owned 16,079 shares in the company, valued at approximately $862,799.14. This represents a 37.90% decrease in their position. The transaction was disclosed in a document filed with the SEC, which is accessible through this link. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Insiders own 2.60% of the company’s stock.

About Exelixis

Exelixis, Inc is a biopharmaceutical company focused on discovering, developing, and commercializing medicines for cancer and other serious diseases. The company’s research programs center primarily on targeted therapies, including treatments designed to inhibit signaling pathways involved in tumor growth and progression.

Exelixis’ lead product is CABOMETYX (cabozantinib), an oral medicine approved in the United States for certain patients with renal cell carcinoma, hepatocellular carcinoma, and differentiated thyroid cancer.