Merrimack (MACK): What Awaits The Stock In Q3 Earnings?
Zacks Investment Research | Nov 07, 2016 08:25PM ET
Merrimack Pharmaceuticals, Inc. (NASDAQ:MACK) is scheduled to report third-quarter 2016 results on Nov 9. Last quarter, Merrimack delivered a negative earnings surprise of 17.65%. Let’s see how things are shaping up for the company this quarter.
Factors Influencing the Quarter
Apart from license and collaboration fees, Merrimack’s top line comprises revenues generated by its only marketed product, Onivyde. The drug is approved in the U.S. (in Oct 2015), in combination with fluorouracil (5-FU) and leucovorin, for the treatment of metastatic adenocarcinoma of the pancreas in patients who were previously treated with Eli Lilly and Company’s (NYSE:LLY) Gemzar-based therapy.
Onivyde’s initial uptake has been encouraging. We expect the drug to contribute significantly to third-quarter revenues.
Merrimack’s efforts on commercializing Onivyde and driving awareness about the drug bode well. The company has also been engaged in visiting key institutions, educating physicians, and providing active patient and oncology practice support services.
Inclusion of the drug in the National Comprehensive Cancer Network (NCCN) clinical practice guidelines in Oncology for pancreatic adenocarcinoma should accelerate patient access. Moreover, its sales to major clinical institutions are expected to increase, going ahead.
In Jul 2016, the Committee for Medicinal Products for Human Use (CHMP) of the European Medicines Agency (EMA) rendered a positive opinion on the approval of Onivyde. We expect the company to offer further details on the regulatory front during its third-quarter earnings call.
Meanwhile, Merrimack is working on expanding Onivyde’s label into other indications such as front-line pancreatic cancer, pediatric solid tumors and glioma. Investors are expected to remain focused on pipeline updates by the company.
Surprise History
Merrimack’s track record has been decent so far with a four-quarter average positive earnings surprise of 1.26%. The company has beaten estimates twice in the last four trailing quarters, met the same once and missed them in the remaining one quarter.
MERRIMACK PHAR Price and EPS Surprise
Original post
Get The News You Want
Trading in financial instruments and/or cryptocurrencies involves high risks including the risk of losing some, or all, of your investment amount, and may not be suitable for all investors. Prices of cryptocurrencies are extremely volatile and may be affected by external factors such as financial, regulatory or political events. Trading on margin increases the financial risks.
Before deciding to trade in financial instrument or cryptocurrencies you should be fully informed of the risks and costs associated with trading the financial markets, carefully consider your investment objectives, level of experience, and risk appetite, and seek professional advice where needed.
Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. The data and prices on the website are not necessarily provided by any market or exchange, but may be provided by market makers, and so prices may not be accurate and may differ from the actual price at any given market, meaning prices are indicative and not appropriate for trading purposes. Fusion Media and any provider of the data contained in this website will not accept liability for any loss or damage as a result of your trading, or your reliance on the information contained within this website.
It is prohibited to use, store, reproduce, display, modify, transmit or distribute the data contained in this website without the explicit prior written permission of Fusion Media and/or the data provider. All intellectual property rights are reserved by the providers and/or the exchange providing the data contained in this website.
Fusion Media may be compensated by the advertisers that appear on the website, based on your interaction with the advertisements or advertisers.