Targacept Earnings: Here’s Why Investors are Ambivalent Now
Targacept, Inc. (NASDAQ:TRGT) had a loss and beat Wall Street’s expectations, AND beat the revenue expectation. The revenue beat is a positive sign to shareholders seeking high growth out of the company.
Targacept, Inc. Earnings Cheat Sheet
Results: Adjusted Earnings Per Share decreased to $-0.24 in the quarter versus EPS of $0.07 in the year-earlier quarter.
Revenue: Decreased 84.69% to $3.5 million from the year-earlier quarter.
Actual vs. Wall St. Expectations: Targacept, Inc. reported adjusted EPS loss of $0.24 per share. By that measure, the company beat the mean analyst estimate of $-0.34. It beat the average revenue estimate of $0.
Quoting Management: “We are pleased to have recently completed recruitment in two Phase 2b clinical trials, our TC-5619 study in negative symptoms and cognitive dysfunction in schizophrenia, where we expect to report top-line results by the end of this year, and our TC-1734 study in mild to moderate Alzheimer’s disease where we expect to report top-line results in mid-2014,” said Dr. Stephen A. Hill, Targacept’s President and Chief Executive Officer. “As we progress towards the planned second quarter initiation of a third Phase 2b clinical trial, a study of TC-5214 in overactive bladder, we remain focused on quality execution and capital efficiency. With our capital base and three clinical programs with diverse NNR pharmacologies in areas of large unmet need, we are enthusiastic about the future.”
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