AstraZeneca Earnings: Here’s Why Shares are Down Now

AstraZeneca PLC (NYSE:AZN) delivered a profit and beat Wall Street’s expectations, BUT came up short on beating the revenue expectation. The revenue miss is a negative sign to shareholders seeking high growth out of the company. Shares are down 0.52%.

Markets are at 5-year highs! Discover the best stocks to own. Click here for our fresh Feature Stock Pick now!

AstraZeneca PLC Earnings Cheat Sheet

Results: Adjusted Earnings Per Share decreased 22.1% to $1.41 in the quarter versus EPS of $1.81 in the year-earlier quarter.

Revenue: Decreased 13.12% to $6.39 billion from the year-earlier quarter.

Actual vs. Wall St. Expectations: AstraZeneca PLC reported adjusted EPS income of $1.41 per share. By that measure, the company beat the mean analyst estimate of $1.33. It missed the average revenue estimate of $6.53 billion.

Quoting Management: Pascal Soriot, Chief Executive Officer, commenting on the results, said: “As anticipated, the first quarter performance reflects the loss of exclusivity for several large products. We remain focused on our strategic priorities of returning to growth and achieving scientific leadership. Brilinta, the diabetes franchise, Emerging Markets, Japan and our Respiratory products have all made good progress and we continued to invest in distinctive science that will advance our knowledge of disease physiology and help to identify new drug targets.”

Key Stats (on next page)…

Revenue decreased 12.32% from $7.28 billion in the previous quarter. EPS decreased 9.62% from $1.56 in the previous quarter.

Looking Forward: Analysts have a more negative outlook for the company’s next-quarter performance. Over the past three months, the average estimate for next quarter’s earnings has fallen from a profit of $1.31 to a profit $1.21. For the current year, the average estimate has moved down from a profit of $5.79 to a profit of $5.38 over the last ninety days.

Stocks with improving earnings metrics are worthy of your extra attention. In fact, “E = Earnings Are Increasing Quarter-Over-Quarter” is a core component of our CHEAT SHEET investing framework for this very reason. Don’t waste another minute – click here and get our CHEAT SHEET stock picks now.

(Company fundamentals provided by Xignite Financials. Email any earnings discrepancies to earnings [at] wallstcheatsheet.com)