Regeneron stock tumbled Tuesday after the biotech giant's blockbuster eye disease drug, Eylea, widely missed Wall Street's first-quarter sales expectations.
Total U.S. Eylea sales came in at $1.04 billion, comprised of $736 million from the standard dosage and $307 million from the newer high-dose version. But analysts expected a respective $835.4 million and $382.2 million, according to FactSet. Bayer records Eylea sales abroad.
Regeneron Pharmaceuticals previously stated that a macular disease patient support group, Good Days, closed funding support for Eylea recipients. That negatively impacted Eylea sales, Leerink Partners analyst David Risinger said in a client note.
On the stock market today, Regeneron stock crashed 6.9% to 568.91.
Regeneron Stock: Sales, Earnings Both Miss
Across all products, Regeneron's sales fell 4% to $3.03 billion, lagging expectations for $3.25 billion. The biotech giant also reported adjusted earnings of $8.22 per share, down 14% and below forecasts by 40 cents a share.
Risinger noted global sales of cancer drug Libtayo also missed forecasts at $285 million, while U.S. sales of cholesterol treatment Praluent lagged at $57 million. Sanofi records sales of Praluent outside the U.S.
Risinger maintained his outperform rating on Regeneron stock, however.
He noted the company largely kept its outlook for the year, though it tweaked its gross margin guidance down to 86.5% at the midpoint, from 87.5% previously. Regeneron also lowered its capital expenditures outlook to a midpoint of $900 million from $913 million.
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