Precision BioSciences (DTIL) Reports Q1 Loss, Lags Revenue Estimates
Precision BioSciences (DTIL) came out with a quarterly loss of $2.21 per share versus the Zacks Consensus Estimate of a loss of $0.43. This compares to loss of $0.35 per share a year ago. These figures are adjusted for non-recurring items.
This quarterly report represents an earnings surprise of -413.95%. A quarter ago, it was expected that this genome editing company would post a loss of $0.42 per share when it actually produced a loss of $3.20, delivering a surprise of -661.90%.
Over the last four quarters, the company has surpassed consensus EPS estimates just once.
Precision BioSciences , which belongs to the Zacks Medical - Biomedical and Genetics industry, posted revenues of $0.03 million for the quarter ended March 2025, missing the Zacks Consensus Estimate by 99.71%. This compares to year-ago revenues of $17.58 million. The company has topped consensus revenue estimates just once over the last four quarters.
The sustainability of the stock's immediate price movement based on the recently-released numbers and future earnings expectations will mostly depend on management's commentary on the earnings call.
Precision BioSciences shares have added about 29.9% since the beginning of the year versus the S&P 500's gain of 0.2%.
While Precision BioSciences has outperformed the market so far this year, the question that comes to investors' minds is: what's next for the stock?
There are no easy answers to this key question, but one reliable measure that can help investors address this is the company's earnings outlook. Not only does this include current consensus earnings expectations for the coming quarter(s), but also how these expectations have changed lately.
Empirical research shows a strong correlation between near-term stock movements and trends in earnings estimate revisions. Investors can track such revisions by themselves or rely on a tried-and-tested rating tool like the Zacks Rank, which has an impressive track record of harnessing the power of earnings estimate revisions.
Ahead of this earnings release, the estimate revisions trend for Precision BioSciences: unfavorable. While the magnitude and direction of estimate revisions could change following the company's just-released earnings report, the current status translates into a Zacks Rank #4 (Sell) for the stock. So, the shares are expected to underperform the market in the near future. You can see the complete list of today's Zacks #1 Rank (Strong Buy) stocks here.
It will be interesting to see how estimates for the coming quarters and current fiscal year change in the days ahead. The current consensus EPS estimate is -$0.08 on $13.7 million in revenues for the coming quarter and -$1.17 on $45.6 million in revenues for the current fiscal year.
Investors should be mindful of the fact that the outlook for the industry can have a material impact on the performance of the stock as well. In terms of the Zacks Industry Rank, Medical - Biomedical and Genetics is currently in the top 28% of the 250 plus Zacks industries. Our research shows that the top 50% of the Zacks-ranked industries outperform the bottom 50% by a factor of more than 2 to 1.
Fortress Biotech (FBIO), another stock in the same industry, has yet to report results for the quarter ended March 2025.
This biopharmaceutical company is expected to post quarterly loss of $0.44 per share in its upcoming report, which represents a year-over-year change of +57.3%. The consensus EPS estimate for the quarter has remained unchanged over the last 30 days.
Fortress Biotech's revenues are expected to be $10.3 million, down 21% from the year-ago quarter.
Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report
Precision BioSciences, Inc. (DTIL) : Free Stock Analysis Report
Fortress Biotech, Inc. (FBIO) : Free Stock Analysis Report
This article originally published on Zacks Investment Research (zacks.com).
Zacks Investment Research
Try Our AI Features
Explore what Daily8 AI can do for you:
Comments
No comments yet...
Related Articles
Yahoo
an hour ago
- Yahoo
Dow futures dip as stocks eye record highs ahead of U.S.-China talks and inflation reports
Stock futures ticked lower on Sunday night as the S&P 500's recent rally has brought it within 2.4% of its all-time high reached in February, before President Donald Trump's trade war ravaged markets. That comes ahead of a big week, which will see another round of U.S.-China trade talks and key inflation reports. U.S. stock futures pointed down on Sunday night ahead of a big week that will be highlighted by more U.S.-China trade talks and fresh inflation data. A strong jobs report on Friday added more fuel to a rally that has lifted the S&P 500 to within 2.4% of its all-time high reached in February, before President Donald Trump's trade war sank markets. Futures for the Dow Jones Industrial Average fell 44 points, or 0.10%. S&P 500 futures slipped 0.15%, and Nasdaq futures eased 0.23%. Tesla stock may see more downside after Trump said his relationship with CEO Elon Musk is over. The yield on the 10-year Treasury slipped less than 1 basis point to 4.506%. The dollar fell 0.11% against the euro and 0.15% against the yen. While Wall Street may not react to Trump sending National Guard troops to Los Angeles, his overall immigration crackdown represents a labor-supply shock to the economy that has implications for the dollar. Gold dipped 0.28% to $3,337.20 per ounce. U.S. oil prices climbed 0.08% to $64.63 per barrel, and Brent crude gained 0.05% to $66.50. On Monday, U.S. and Chinese officials will meet in London to begin another round of trade talks after agreeing last month in Geneva to pause their prohibitively high tariffs. Since that de-escalation in the trade war, both sides have accused the other reneging on their deal. For the U.S., a key sticking point has been the availability of rare earths, which are dominated by China and are critical for the auto, tech, and defense sectors. Kevin Hassett, director of the National Economic Council, sounded upbeat on Sunday that the London talks could result in a resolution. 'I'm very comfortable that this deal is about to be closed,' he told CBS News. Meanwhile, new inflation data are due as the Federal Reserve remains in wait-and-see mode to assess how much Trump's tariffs are moving the needle on prices. The better-than-expected jobs report on Friday eased fears of a recession, taking pressure off the Fed to cut rates to support the economy. That means that any rate cuts may have to come as a result of cooler inflation. The Labor Department will release its monthly consumer price index on Wednesday and its producer price index on Thursday. Also on Wednesday, the Treasury Department will issue its monthly update on the budget, offering clues on how much debt the federal government is issuing amid concern about bond supply and demand. This story was originally featured on Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
Business Insider
an hour ago
- Business Insider
TGT, CSCO, or DAL: Which Value Stock Could Offer the Highest Return?
Amid the ongoing macro uncertainty, value stocks could be an attractive addition to investors' portfolios. Value stocks trade below their intrinsic value, thus having the potential to outperform the market over the long term. These stocks are often undervalued relative to their fundamentals and growth potential. Using TipRanks' Stock Comparison Tool, we placed Target (TGT), Cisco (CSCO), and Delta Air Lines (DAL) against each other to find the value stock that could offer the highest return. Confident Investing Starts Here: Target (NYSE:TGT) Big-box retailer Target has been struggling to thrive due to intense competition, company-specific issues, and macro pressures. The company delivered disappointing results for the first quarter of Fiscal 2025 and lowered its full-year sales guidance, blaming tariff uncertainty, weak discretionary spending, and consumer backlash to the rollback of key DEI (diversity, equity, and inclusion) policies. Target has been losing market share to other retailers. It has greater exposure to discretionary items than groceries or essentials compared to rivals like Walmart (WMT). This is disadvantageous for Target, as consumers are cautious about their discretionary spending in a challenging macro backdrop. Currently, TGT stock trades at a forward P/E or price-to-earnings (adjusted) multiple of 13.2x, which is about 19.6% below the sector average. Is TGT Stock a Buy, Hold, or Sell? Recently, Guggenheim analyst John Heinbockel cut the price target for Target stock to $115 from $155, while maintaining a Buy rating, saying 'challenging fundamentals have prevailed over a modest valuation during the past year,' with the stock underperforming the S&P 500 (SPX) amid a 20% reset in 2026 EPS expectations. The 5-star analyst noted that the operating outlook for Target is uncertain due to the sequential pressure on comparable sales. That said, Heinbockel remains bullish on TGT stock due to its valuation, with the P/E multiple based on 2025 earnings appearing 'undemanding' at 13.2x, compared to nearly 16x a year ago. The analyst also highlighted TGT's dividend and potential buyback efforts, which together represent an 8% total shareholder return. Overall, Wall Street has a Moderate Buy consensus rating on Target stock based on 10 Buys, 20 Holds, and one Sell recommendation. The average TGT stock price target of $103.04 indicates about 6% upside potential from current levels. TGT stock is down 28% year-to-date. Target stock's dividend yield stands at 4.6%. Cisco Systems (NASDAQ:CSCO) Cisco stock has risen about 12% so far in 2025, as the networking and security solutions provider is expected to gain from artificial intelligence (AI)-led demand. The company recently delivered better-than-projected earnings and revenue for the third quarter of Fiscal 2025. Notably, Cisco reported more than $600 million in AI infrastructure orders from web companies, bringing the total for Fiscal 2025 to more than $1.25 billion. In fact, the company said that the figure surpassed the $1 billion mark a quarter ahead of its schedule. Also, Cisco's security products business is gaining from the $28 billion Splunk acquisition. In Q3 FY25, CSCO reported a 54% rise in its security products revenue to $2.01 billion. That said, the company lagged analysts' expectations for this business. Looking ahead, Cisco is focused on capturing further AI opportunities through continued innovation and strategic partnerships. The company is one of the U.S. tech giants that have partnered with Saudi Arabia's AI startup HUMAIN to offer AI tech. CSCO stock currently trades at a forward P/E (adjusted) multiple of 17.4x, which is about 23% below the sector average. Is Cisco a Buy or Sell Stock? Following the Q3 FY25 print, UBS analyst David Vogt reiterated a Hold rating on Cisco stock with a price target of $70. The 4-star analyst noted that the company modestly exceeded Wall Street's Q3 FY25 estimates, with stronger Networking growth driving the revenue beat while margin and EPS gained from a more favorable tariff backdrop than accounted for in the guidance and a lower tax rate. Vogt highlighted management's commentary about the strength in webscale demand being broad-based, with three of the top six webscale customers growing triple-digits. The company also mentioned its recent deals with Saudi Arabia and the UAE, indicating that the sovereign opportunity is an additional driver of its accelerating AI business. Despite the favorable AI trends and the acceleration in the core business, Vogt prefers to be on the sidelines, as he thinks that the improved performance is already priced into CSCO stock, which is trading at a P/E multiple of about 16x his FY26 EPS estimate of $4.00. With nine Buys and seven Holds, Cisco stock earns a Moderate Buy consensus rating on TipRanks. The average CSCO stock price target of $70.77 implies about 7.1% upside potential from current levels. CSCO stock offers a dividend yield of 2.4%. Delta Air Lines (NYSE:DAL) Delta Air Lines is one of the major carriers in the U.S. Despite rising about 14% over the past month due to easing tariff pressures, DAL stock is still down nearly 16% year-to-date on concerns of a slowdown in travel demand due to macro uncertainty. Back in April, Delta announced better-than-anticipated earnings for the first quarter of 2025, but pulled back its full-year outlook, saying that the tariffs under the Trump administration were weighing on bookings. At that time, Delta Air Lines said that international and premium travel, which have been growing faster than the coach cabin business, have been relatively resilient. At a forward P/E (adjusted) multiple of 9.41x, DAL stock trades at a 52% discount to the sector average. Is DAL Stock a Buy or Sell? Recently, UBS upgraded Delta Air Lines stock and rival United Airlines (UAL) to Buy from Hold, citing an improved international and premium travel demand, increased revenue expectations, and a stabilizing economic outlook. Analyst Thomas Wadewitz increased the price target for DAL stock to $66 from $46. The 4-star analyst stated that the upgrade follows the relief due to the 90-day agreement between the U.S. and China and framework with the U.K., which has shifted his base case from a potential downturn to 'stability / slow growth.' Also, based on recent commentary of the airlines, including a May 6 meeting with Delta, Wadewitz noted 'stability in demand in April and May.' He added that fare data indicates a 410 basis points year-over-year improvement for Delta and 180 basis points for United Airlines in April. UBS raised its 2025 earnings estimates for Delta from $5.05 to $5.64 per share. On TipRanks, DAL stock scores a Strong Buy consensus rating based on 13 Buys and two Hold recommendations. The average DAL stock price target of $60.93 implies about 20% upside potential. DAL stock offers a dividend yield of 1.2%. Conclusion Among the three value stocks discussed here, Wall Street is highly bullish on Delta Air Lines stock and cautiously optimistic on Target and Cisco. Analysts see higher upside potential in DAL stock compared to the other two value stocks. Wall Street is bullish on Delta Air Lines due to its solid execution, diversified revenue streams, and strong fundamentals.
Yahoo
4 hours ago
- Yahoo
Stock Futures Edge Higher
Stock futures edged slightly higher Sunday as investors looked forward to an update on trade policies and as Apple prepared to kick off its annual developers conference. Shortly after 6 p.m. Eastern time on Sunday, Dow Jones Industrial Average futures were up 27 points or less than 0.1%, while S&P 500 futures and Nasdaq futures also ticked up less than 0.1%. U.S. and Chinese officials are scheduled to discuss trade in a meeting on Monday.
