Latest news with #ElancoAnimalHealth
Yahoo
09-05-2025
- Business
- Yahoo
Why Elanco Animal Health Incorporated (ELAN) Skyrocketed On Wednesday
We recently published a list of . In this article, we are going to take a look at where Elanco Animal Health Incorporated (NYSE:ELAN) stands against other Wednesday's best-performing stocks. The stock market rebounded on Wednesday, with all major indices ending in the green as investors cheered the Federal Reserve's decision to keep interest rates unchanged. On Wednesday afternoon, the Fed kept rates steady at a range of 4.25 percent to 4.5 percent, saying that it was not in a hurry to cut rates and could still 'wait and see' the impact of President Donald Trump's tariff policies. The Dow Jones rallied by 0.70 percent, the S&P 500 increased by 0.43 percent, and the Nasdaq grew by 0.27 percent. Beyond the major indices, 10 firms stood out with strong gains, thanks to a flurry of fresh developments, including new partnerships, optimistic outlooks, and impressive earnings performance. In this article, we name Wednesday's 10 best-performing stocks and detail the reasons behind their gains. To come up with the list, we considered only the stocks with a $2-billion market capitalization and $5-million trading volume. A farmer tending to a herd of cattle with Innovative Parasiticide and Vaccine Products. Elanco Animal Health saw its share prices soar by 26.29 percent on Wednesday to end at $12.01 apiece following an impressive net income performance coupled with an optimistic outlook for the rest of the year. In its latest earnings release, Elanco Animal Health Incorporated (NYSE:ELAN) said net income for the first quarter of the year expanded by 109 percent to $67 million from $32 million in the same period last year, despite total revenues dipping by 1 percent to $1.19 billion from $1.2 billion year-on-year, weighed down by an unfavorable impact from the aqua divestiture coupled with foreign exchange losses during the quarter. Despite this, Elanco Animal Health Incorporated (NYSE:ELAN) remains optimistic for the rest of the year, having raised its revenue guidance to a range of $4.51 billion to $4.58 billion. Net loss, on the other hand, is expected to widen to a range of $7 million to $35 million. 'We are raising our 2025 full-year revenue guidance and maintaining our adjusted EBITDA and adjusted EPS ranges,' said CFO Todd Young. 'On tariffs, we have taken several intervention actions, positioning us well to cover potential impacts with or without the pharmaceutical exemption,' he added. Overall, ELAN ranks 2nd on our list of Wednesday's best-performing stocks. While we acknowledge the potential of ELAN as an investment, our conviction lies in the belief that AI stocks hold greater promise for delivering higher returns and doing so within a shorter time frame. There is an AI stock that went up since the beginning of 2025, while popular AI stocks lost around 25%. If you are looking for an AI stock that is more promising than ELAN but that trades at less than 5 times its earnings, check out our report about this . READ NEXT: 20 Best AI Stocks To Buy Now and 30 Best Stocks to Buy Now According to Billionaires. Disclosure: None. This article is originally published at Insider Monkey. 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
Yahoo
07-05-2025
- Business
- Yahoo
Elanco Animal Health Sells Xdemvy Royalties To Blackstone in $295 Million Deal
Elanco Animal Health Incorporated (NYSE:ELAN) on Monday announced the sale of certain future tiered royalties and commercial milestones associated with Xdemvy (lotilaner ophthalmic solution) 0.25% for the human health application of lotilaner to Blackstone Life Sciences and Blackstone Credit & Insurance for $295 million in cash. The company will use the proceeds to accelerate debt reduction, positioning Elanco to achieve an expected net leverage ratio of 3.9x to 4.3x adjusted EBITDA by the end of 2025. Also Read: Elanco Animal's Outlook Lags Street Expectations, But Analyst Sees Time For Elanco's Commercial Investment To Payoff Elanco will repay portions of its outstanding term loans on a pro-rata basis, which is expected to reduce interest expense by approximately $10 million, offset by the sale of approximately $10 million of royalties based on Elanco's initial 2025 guidance. In 2019, Elanco exclusively licensed lotilaner to Tarsus Pharmaceuticals, Inc. (NASDAQ:TARS) for exploration as a solution to several unmet human health needs. In 2023, Xdemvy became the first lotilaner-based product approved for human use and the only FDA-approved medicine for Demodex blepharitis, a common eyelid disease in humans caused by Demodex mites. The agreement applies to certain tiered royalties associated with Xdemvy's U.S. net sales from April 2025 through August 2033 and certain commercial milestones. Elanco retains the rights to all royalty payments on net sales outside the U.S. and any future human applications of lotilaner beyond ophthalmic solutions. Elanco Animal Health is scheduled to release its first quarter 2025 financial results on Wednesday, May 7. Analysts expect adjusted earnings per share of 31 cents and sales of $1.21 billion, as per data from Benzinga Pro. Elanco Health Stock Prediction For 2025 Equity research analysts on and off Wall Street typically use earnings growth and fundamental research as a form of valuation and forecasting. But many in trading turn to technical analysis as a way to form predictive models for share price trajectory. Some investors look to trends to help forecast where they believe a stock could trade at a certain point in the future. Looking at Elanco Animal Health, an investor could make an assessment about a stock's long term prospects using a moving average and trend line. If they believe a stock will remain above the moving average, which many believe is a bullish signal, they can extrapolate that trend into the future using a trend line. For Elanco Animal Health, the 200-day moving average sits at $12.34, according to Benzinga Pro, which is above the current price of $9.75. For more on charts and trend lines, see a description here.
