Xencor Inc Down 16.41% To $22.17 After Earnings Miss

Xencor Inc (XNCR) missed earnings projections on 2/27/2024 for Q4 2023.

Xencor Inc's earnings came in at an EPS loss of $0.31 per share, 244% lower than estimates for an EPS loss of $0.09 per share. The firm's loss per share expanded by 55% since reporting a loss of $0.2 per share a year ago.

Consensus analyst estimates were at $73.8 million. The Healthcare company missed on those expectations for its fourth quarter with revenue of $44.7 million, a negative revenue surprise of $29.2 million (39%). The firm managed 107% growth year-over-year due to Xencor Inc reporting quarterly revenue of $21.6 million in its year-ago quarter. Xencor Inc 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 16.41% to $22.17 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 Strong Buy on the stock prior to the report.

Trading in the five days leading up to the report earned Xencor Inc a Bullish Sentiment Rank from InvestorsObserver.

Prior to the report, InvestorsObserver gave the stock an overall score of 59. Meanwhile, the average Wall Street analyst rated the stock a Strong Buy.

Xencor Inc is a clinical-stage biopharmaceutical company based in the United States. It focuses on discovering and developing engineered monoclonal antibody and other protein therapeutics to treat severe and life-threatening diseases with unmet medical needs. The company uses its XmAb technology platform to create antibody product candidates such as XmAb5871 and XmAb7195. It also has a few pre-clinical stage candidates in its portfolio such as XmAb14045 and XmAb13676. It earns its revenue from research and development collaborations and licenses of its internally developed drug candidates.