Yahoo Finance Glaukos (GKOS) Down 4.3% Since Last Earnings Report: Can It Rebound?
A month has gone by since the last earnings report for Glaukos (GKOS). Shares have lost about 4.3% in that time frame, underperforming the S&P 500.
Will the recent negative trend continue leading up to its next earnings release, or is Glaukos due for a breakout? Before we dive into how investors and analysts have reacted as of late, let's take a quick look at its most recent earnings report in order to get a better handle on the important drivers.
Glaukos Q4 Earnings Miss Estimates, Revenues Rise Y/Y
Glaukos Corporation reported a fourth-quarter 2023 adjusted loss of 63 cents per share, 12.5% wider than the Zacks Consensus Estimate of a loss of 56 cents.The figure was also wider than the year-ago quarter’s adjusted loss of 53 cents per share.
The GAAP loss per share was 75 cents compared with the prior-year quarter’s reported loss of 66 cents.
Revenue Details
Glaukos registered revenues of $82 million in the fourth quarter, up 16% year over year on a reported basis and 15% at constant currency (cc). The figure also surpassed the Zacks Consensus Estimate by 1.5%.
Full-Years Results
GKOS recorded worldwide total revenues of $314.7 million in 2023, up 11% year over year on a reported basis and 12% at cc. Adjusted loss per share for 2023 was $2.27 compared with a loss of $2.18 in the previous year.
Quarter in Detail
The company recorded net sales of $60.6 million and $21.8 million for Glaucoma and Corneal Health, respectively, up 15% and 19% year over year.
Margin Trend
Gross profit increased 9.4% to $59.5 million in the reported quarter. The gross margin was flat year over year at 84%.
Selling, general and administrative expenses rose 21% to $63 million. Research and development expenses totaled $37.1 million, up 3% year over year. Total operating expenses were $102.1 million, up 16% from that recorded in the prior-year period.
The operating loss amounted to $38.6 million compared with $33.7 million in the year-ago period. The adjusted operating loss was $32.4 million, wider than the year-ago quarter’s reported loss of $27.4 million.
Financial Update
Glaukos exited fourth-quarter 2023 with cash and cash equivalents, and short-term investments of $301 million compared with $307 million at the end of the last reported quarter.
2024 Guidance
The company issued its guidance for 2024 revenues. It expects net sales in the range of $350-$360 million. The Zacks Consensus Estimate for the same is pegged at $355.6 million.
How Have Estimates Been Moving Since Then?
It turns out, estimates review have trended downward during the past month.
The consensus estimate has shifted -5.9% due to these changes.
VGM Scores
At this time, Glaukos has an average Growth Score of C, though it is lagging a lot on the Momentum Score front with an F. Following the exact same course, the stock was allocated a grade of F on the value side, putting it in the fifth quintile for this investment strategy.
Overall, the stock has an aggregate VGM Score of F. If you aren't focused on one strategy, this score is the one you should be interested in.
Outlook
Estimates have been broadly trending downward for the stock, and the magnitude of these revisions indicates a downward shift. Notably, Glaukos has a Zacks Rank #3 (Hold). We expect an in-line return from the stock in the next few months.
Performance of an Industry Player
Glaukos belongs to the Zacks Medical - Instruments industry. Another stock from the same industry, Integer (ITGR), has gained 14.6% over the past month. More than a month has passed since the company reported results for the quarter ended December 2023.
Integer Holdings reported revenues of $413.15 million in the last reported quarter, representing a year-over-year change of +10.9%. EPS of $1.39 for the same period compares with $1.11 a year ago.
Integer Holdings is expected to post earnings of $1.12 per share for the current quarter, representing a year-over-year change of +28.7%. Over the last 30 days, the Zacks Consensus Estimate has changed -2.3%.
Integer Holdings 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.
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Glaukos Corporation (GKOS) : Free Stock Analysis Report
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