Precigen (NASDAQ:PGEN) Posts Quarterly Earnings Results, Beats Estimates By $0.02 EPS

Precigen (NASDAQ:PGEN) announced its earnings results on Wednesday. The biotechnology company reported $0.08 earnings per share (EPS) for the quarter, beating analysts’ consensus estimates of $0.06 by $0.02, FiscalAI reports. The firm had revenue of $74.15 million for the quarter, compared to analyst estimates of $71.55 million. Precigen had a positive return on equity of 423.75% and a negative net margin of 183.98%. The business’s revenue was up 2437.6% on a year-over-year basis. During the same quarter last year, the firm posted ($1.06) EPS.

Here are the key takeaways from Precigen’s conference call:

• PAPZIMEOS continued its rapid commercial ramp: Q3 net product revenue was $72.9 million, up about 37% from Q2, with more than 500 patients having started treatment and coverage spanning over 315 million U.S. lives.
• Precigen reached profitability and positive operating cash flow: The company reported Q3 net income of $35.8 million and $11.9 million in cash from operations, ahead of its prior cash-flow timeline; it ended the quarter with $51 million in cash and investments plus $96.5 million in receivables.
• Competition is approaching in the RRP market. Management said it anticipated a new entrant and believes PAPZIMEOS’s efficacy, safety, durability, and established commercial network position it favorably, but the competitor’s launch could challenge its market leadership.
• Precigen is pursuing growth beyond the current U.S. adult indication: The EMA is reviewing its PAPZIMEOS application, a redosing study is enrolling with data expected in 2028, and the FDA’s Platform Technology Designation may help advance the AdenoVerse pipeline, including PRGN-2009.

Precigen Price Performance

PGEN traded down $1.03 on Thursday, hitting $4.02. 19,995,203 shares of the company’s stock were exchanged, compared to its average volume of 4,910,294. Precigen has a fifty-two week low of $3.04 and a fifty-two week high of $8.98. The stock has a market cap of $1.43 billion, a price-to-earnings ratio of -3.87 and a beta of 1.01. The firm has a 50-day moving average price of $7.09 and a 200-day moving average price of $5.28. The company has a current ratio of 4.58, a quick ratio of 3.89 and a debt-to-equity ratio of 2.15.

Precigen News Roundup

Here are the key news stories impacting Precigen this week:

• Positive Sentiment: Precigen reported PAPZIMEOS revenue of $72.9 million, up 37% sequentially, and positive cash flow a quarter ahead of guidance. It also reported $35.8 million in net income and $74.15 million in total revenue, above the cited $71.55 million consensus. Precigen Q3 results
• Positive Sentiment: Citizens JMP raised its price target to $12 from $11 and maintained a “market outperform” rating. A separate report says the firm increased its PAPZIMEOS sales forecast, reinforcing expectations for continued product growth. Citizens forecast and rating
• Neutral Sentiment: Reported EPS of $0.08 beat one cited consensus of $0.06, but missed Zacks’ estimate of $0.09. This difference in benchmarks may help explain why the results were not uniformly viewed as a beat. Zacks earnings report
• Negative Sentiment: Despite the strong PAPZIMEOS growth and analyst optimism, PGEN fell sharply in heavy trading. The articles provided do not establish a specific cause; investors may be weighing the mixed EPS comparisons and the company’s still-negative net margin against its improving cash flow and sales momentum.

Wall Street Analysts Forecast Growth

Several research firms have issued reports on PGEN. Weiss Ratings reaffirmed a “sell (d-)” rating on shares of Precigen in a report on Thursday, October 15th. Raymond James Financial set a $12.00 target price on shares of Precigen in a research note on Thursday. B. Riley Financial initiated coverage on shares of Precigen in a research report on Friday, September 25th. They set a “buy” rating and a $12.00 price target for the company. HC Wainwright raised their price target on shares of Precigen from $14.00 to $18.00 and gave the company a “buy” rating in a research note on Wednesday, August 5th. Finally, Citigroup reiterated a “market outperform” rating on shares of Precigen in a report on Thursday. Four research analysts have rated the stock with a Buy rating, one has assigned a Hold rating and one has given a Sell rating to the company. Based on data from MarketBeat.com, the company presently has an average rating of “Moderate Buy” and a consensus target price of $13.50.

Insider Transactions at Precigen

In related news, Director Jeffrey B. Kindler sold 185,000 shares of the business’s stock in a transaction dated Wednesday, August 26th. The shares were sold at an average price of $7.44, for a total transaction of $1,376,400.00. Following the transaction, the director directly owned 17,100 shares in the company, valued at approximately $127,224. The trade was a 91.54% decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the SEC, which can be accessed through the SEC website. Also, COO Rutul R. Shah sold 15,342 shares of the company’s stock in a transaction dated Tuesday, August 25th. The shares were sold at an average price of $7.50, for a total transaction of $115,065.00. Following the sale, the chief operating officer directly owned 468,865 shares of the company’s stock, valued at approximately $3,516,487.50. This represents a 3.17% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. The sale was made to cover tax withholding obligations related to the vesting of equity awards. Insiders sold 235,000 shares of company stock valued at $1,751,400 over the last quarter. Company insiders own 41.40% of the company’s stock.

About Precigen

Precigen, Inc is a clinical-stage biotechnology company focused on developing gene and cell therapies for cancer and serious diseases. The company uses its proprietary UltraCAR-T, AdenoVerse, and other gene-engineering platforms to design potential treatments intended to improve the targeting, persistence, and manufacturing of therapeutic cells and genetic medicines.

Precigen’s pipeline has included PRGN-2012, an investigational immunotherapy based on a gorilla adenovector for recurrent respiratory papillomatosis, as well as PRGN-2001, an investigational HPV-targeted immunotherapy.