Revance Therapeutics Down 4.87% To $7.92 After Earnings Beat

Revance Therapeutics Inc (RVNC) reported better than expected earnings this afternoon for Q3 2023.

Wall Street earnings per share (EPS) projections for Revance Therapeutics were at a loss of $0.90 per share. The company beat those estimates with an EPS loss of $0.55 per share. The loss of $0.55 per share (which represents a -39% EPS surprise) led to the company's profits rising 53% compared to last year when the firm reported an EPS loss of $1.17 per share. The increase in Revance Therapeutics's annual growth rate represents how the business is performing well amid recent economic conditions.

Consensus analyst estimates were at $60.4 million. The Healthcare company missed on those expectations for its third quarter with revenue of $56.8 million, a negative revenue surprise of $3.6 million (6%). The firm managed 96% growth year-over-year due to Revance Therapeutics reporting quarterly revenue of $29 million in its year-ago quarter. Revance Therapeutics achieved a lower earnings growth rate than revenue, signaling that the business has not been able to improve its profit margin.

The stock is down 4.87% to $7.92 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.

The average recommendation from Wall Street analysts was a Strong Buy which may get revised based on this new data.

InvestorsObserver gives the stock a Bearish Sentiment score at the moment based on recent trading.

Revance Therapeutics has performed poorly during the past few months, garnering a low Long-Term Technical Rank by InvestorsObserver of 2, putting Revance Therapeutics in the bottom 25% of stocks. The firm was recently trading at a 52-week low of $7.51 on October 31, 2023 and set a 52-week high on May 9, 2023 at $37.98.

Revance Therapeutics Inc is a biotechnology company focused on aesthetic and therapeutic offerings, including its neuromodulator product, DaxibotulinumtoxinA for Injection. The company has launched a prestige aesthetics portfolio, which includes the RHA Collection of dermal fillers and the HintMD platform. Its main products include DaxibotulinumtoxinA for Injection and DaxibotulinumtoxinA for Injection Aesthetics. The operating business segments are Product and the Service Segment. The Products segment generates maximum revenue which is engaged in the research and development of aesthetic and therapeutic products.