Halozyme Therapeutics (HALO) Up 0.8% Since Last Earnings Report: Can It Continue?

It has been about a month since the last earnings report for Halozyme Therapeutics (HALO). Shares have added about 0.8% in that time frame, outperforming the S&P 500.But investors have to be wondering, will the recent positive trend continue leading up to its next earnings release, or is Halozyme Therapeutics due for a pullback? Before we dive into how investors and analysts have reacted as of late, let's take a quick look at the most recent earnings report in order to get a better handle on the important catalysts.Halozyme's Q1 Earnings & Revenues Surpass EstimatesHalozyme reported first-quarter 2026 adjusted earnings of $1.60 per share, which beat the Zacks Consensus Estimate of $1.54. Earnings rose 44.1% year over year.Total revenues in the first quarter increased 42% year over year to $376.7 million. Revenues too surpassed the Zacks Consensus Estimate of $358 million.The top-line growth was primarily driven by an increase in product sales as well as higher royalty payments. Halozyme received royalty payments from Roche for Phesgo and J&J for subcutaneous Darzalex, as well as argenx for Vyvgart Hytrulo.Quarter in DetailHalozyme’s top line comprises product sales, royalties and revenues under collaborative agreements.Royalty revenues totaled $240.7 million in the first quarter, up 43% from the year-ago quarter’s level. This was mainly due to the robust demand for Phesgo, subcutaneous Darzalex and Vyvgart Hytrulo, on which it earns royalties.Royalty revenues, however, missed our model estimate of $256.6 million.Product sales were $130.4 million in the first quarter, up 67.2% from the year-ago quarter’s level. Halozyme has two commercial proprietary products, Hylenex and Xyosted, with the latter acquired from Antares Pharma in 2022.Product sales beat our model estimate of $91.1 million.Revenues under collaborative agreements were $5.6 million in the reported quarter, down almost 70% year over year.Adjusted EBITDA was $229.5 million in the reported quarter, compared with $162 million in the year-ago quarter.Halozyme had cash, cash equivalents and marketable securities of $320.9 million as of March 31, 2026, compared with $145.4 million as of Dec. 31, 2025.2026 GuidanceHalozyme reiterated its total revenue guidance for 2026, which it had provided earlier this year.The company continues to expect total revenues in the range of $1.71 billion to $1.81 billion for 2026, implying year-over-year growth of 22% to 30%. Total revenues are expected to grow due to increased royalty revenues and higher product sales from API.Royalty revenues are anticipated in the range of $1.13-$1.17 billion, implying year-over-year growth of 30% to 35%.Adjusted EBITDA is expected in the band of $1.13-$1.21 billion, implying a year-over-year surge of 71% to 83%.Adjusted earnings are expected in the range of $7.75-$8.25 per share in 2026, implying growth of 87% to 99% year over year.Halozyme’s adjusted earnings per share guidance included the impact of approximately $60 million related to the recent Hypercon and Surf Bio investment. The adjusted earnings per share guidance does not consider the impact of potential future share repurchases.How Have Estimates Been Moving Since Then?In the past month, investors have witnessed a downward trend in estimates review.VGM ScoresAt this time, Halozyme Therapeutics has a strong Growth Score of A, though it is lagging a lot on the Momentum Score front with an F. However, the stock was allocated a score of B on the value side, putting it in the second quintile for value investors.Overall, the stock has an aggregate VGM Score of B. If you aren't focused on one strategy, this score is the one you should be interested in.OutlookEstimates have been broadly trending downward for the stock, and the magnitude of these revisions indicates a downward shift. Interestingly, Halozyme Therapeutics has a Zacks Rank #3 (Hold). We expect an in-line return from the stock in the next few months.Performance of an Industry PlayerHalozyme Therapeutics belongs to the Zacks Medical - Biomedical and Genetics industry. Another stock from the same industry, Exelixis (EXEL), has gained 7.1% over the past month. More than a month has passed since the company reported results for the quarter ended March 2026.Exelixis reported revenues of $610.81 million in the last reported quarter, representing a year-over-year change of +10%. EPS of $0.87 for the same period compares with $0.62 a year ago.Exelixis is expected to post earnings of $0.85 per share for the current quarter, representing a year-over-year change of +13.3%. Over the last 30 days, the Zacks Consensus Estimate has changed +1%.Exelixis has a Zacks Rank #3 (Hold) based on the overall direction and magnitude of estimate revisions. Additionally, the stock has a VGM Score of B.Zacks' Research Chief Names "Stock Most Likely to Double"Our team of experts has just released the 5 stocks with the greatest probability of gaining +100% or more in the coming months. Of those 5, Director of Research Sheraz Mian highlights the one stock set to climb highest.This top pick is a little-known satellite-based communications firm. Space is projected to become a trillion dollar industry, and this company's customer base is growing fast. Analysts have forecasted a major revenue breakout in 2025. Of course, all our elite picks aren't winners but this one could far surpass earlier Zacks' Stocks Set to Double like Hims & Hers Health, which shot up +209%.Free: See Our Top Stock And 4 Runners UpThis article originally published on Zacks Investment Research (zacks.com).Zacks Investment ResearchWeiter zum vollständigen Artikel bei Zacks Weiter zum vollständigen Artikel bei Zacks