Generation Bio Co. Down 7.59% To $4.57 After Earnings Miss

Generation Bio Co (GBIO) missed earnings estimates for Q1 2023 this afternoon.

Generation Bio Co.'s earnings came in at an EPS loss of $0.53 per share, 15% lower than estimates for an EPS loss of $0.46 per share. The firm's loss per share narrowed by 13% since reporting a loss of $0.61 per share a year ago.

Consensus estimates for Generation Bio Co. revenue averaged out to $7.9 million, with the business missing on those expectations with reported first-quarter revenue of $0.00. The $7.9 million (0%) negative revenue surprise led to 0% growth year-over-year as the firm reported revenue of $0.00 in its year-ago quarter. The lower earnings growth compared to revenue points to Generation Bio Co. not being able to improve its profit margin.

The stock is down 7.59% to $4.57 after the report.

The firm's higher revenue growth to earnings signals that the firm has not been able to reduce costs and has seen its profit margin decrease.

Wall Street Analysts had an average rating of Buy on the stock prior to the report.

Trading in the five days leading up to the report earned Generation Bio Co. a Bullish Sentiment Rank from InvestorsObserver.

Generation Bio Co. has performed a little above average during the past few months. Before the report, Generation Bio Co. received a Long-Term Technical Rank by InvestorsObserver of 56, putting it in the top half of stocks. The firm was recently trading at a 52-week low of $3.4 on March 10, 2023 and set a 52-week high on August 8, 2022 at $8.72.

Generation Bio Co is a genetics medicine company that is focused on creating gene therapies to provide durable and redosable treatments for patients suffering from rare and untreated diseases. The company focuses on liver and retina related diseases.