Cubist Pharmaceuticals Inc. Fourth Quarter Earnings on Deck This Week

Cubist Pharmaceuticals, Inc. (NASDAQ:CBST) will unveil its latest earnings on Thursday, January 19, 2012. Cubist Pharmaceuticals is focused on the research, development, and commercialization of pharmaceutical products that address unmet medical needs in the acute care environment.

Cubist Pharmaceuticals, Inc. Earnings Preview Cheat Sheet.

Wall St. Earnings Expectations: The average estimate of analysts is for net income of 29 cents per share, a decline of 32.6% from the company’s actual earnings for the same quarter a year ago. During the past three months, the average estimate has moved down from 31 cents. Between one and three months ago, the average estimate moved down. It also has dropped from 30 cents during the last month. Analysts are projecting profit to rise by 57.2% versus last year to 74 cents.

Past Earnings Performance: Last quarter, the company beat estimates by one cent, coming in at profit of 33 cents a share versus the estimate of net income of 32 cents a share. It marked the fourth straight quarter of beating estimates.

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Wall St. Revenue Expectations: On average, analysts predict $204.7 million in revenue this quarter, a rise of 26.5% from the year ago quarter. Analysts are forecasting total revenue of $745.8 million for the year, a rise of 17.2% from last year’s revenue of $636.5 million.

Analyst Ratings: 10 out of 14 analysts surveyed (71.4%) have a buy rating on Cubist Pharmaceuticals.. This is below the mean analyst rating of 10 competitors, which average 74.4% buy ratings.

A Look Back: In the third quarter, profit fell 22.4% to $24.2 million (33 cents a share) from $31.2 million (50 cents a share) the year earlier, but exceeded analyst expectations. Revenue rose 24.5% to $201.7 million from $162.1 million.

Key Stats:

Revenue has gone up for three straight quarters. It rose 4.9% in the second quarter from the year earlier and 12.8% in the first quarter.

Competitors to Watch: Optimer Pharmaceuticals, Inc. (NASDAQ:OPTR), Merck & Co., Inc. (NYSE:MRK), Teva Pharmaceutical Industries Ltd (NASDAQ:TEVA), Theravance, Inc. (NASDAQ:THRX), MiddleBrook Pharmaceuticals, Inc. (MBRKQ), Pfizer Inc. (NYSE:PFE), Novartis AG (NYSE:NVS), The Medicines Company (NASDAQ:MDCO), Insite Vision Inc. (INSV), and Abbott Laboratories (NYSE:ABT).

Stock Price Performance: During November 15, 2011 to January 13, 2012, the stock price had risen $4.90 (13.2%) from $36.99 to $41.89. The stock price saw one of its best stretches over the last year between September 12, 2011 and September 20, 2011 when shares rose for seven-straight days, rising 10.9% (+$3.46) over that span. It saw one of its worst periods between February 14, 2011 and February 23, 2011 when shares fell for seven-straight days, falling 4.3% (-97 cents) over that span.

(Company fundamentals by Xignite Financials. Earnings estimates provided by Zacks)

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To contact the reporter on this story: Derek Hoffman at staff.writers@wallstcheatsheet.com

To contact the editor responsible for this story: Damien Hoffman at editors@wallstcheatsheet.com