Absci (NASDAQ:ABSI) Posts Quarterly Earnings Results, Misses Expectations By $0.02 EPS

Key Points

• Absci missed quarterly expectations: The company reported a loss of $0.21 per share versus the $0.19 consensus estimate, while revenue of $0.32 million fell well short of analysts’ $0.89 million forecast.
• Clinical and financial catalysts remain in focus: Interim Phase 1 results for ABS-201 showed favorable safety and an estimated half-life of at least 65 days. Absci expects additional hair-loss data in 2026 and 2027, plans a Phase 2 endometriosis study, and says Lilly’s $40 million investment plus recent financing extends its runway into the second half of 2028.
• Investor optimism is tempered by significant risk: Most analysts rate the stock a Buy, with a consensus price target of $13.43, but Absci remains unprofitable and its commercial outlook depends on unproven clinical efficacy, durability, and market assumptions.

Absci (NASDAQ:ABSI - Get Free Report) posted its quarterly earnings data on Tuesday. The company reported ($0.21) earnings per share (EPS) for the quarter, missing the consensus estimate of ($0.19) by ($0.02), FiscalAI reports. The business had revenue of $0.32 million for the quarter, compared to analyst estimates of $0.89 million. Absci had a negative return on equity of 66.32% and a negative net margin of 6,450.76%.

Here are the key takeaways from Absci's conference call:

• ABS-201 interim Phase 1 results were encouraging: Management reported favorable safety and tolerability, with an estimated half-life of at least 65 days and modeling suggesting two to three doses could maintain more than 90% prolactin-receptor occupancy over six months.
• Multiple upcoming clinical catalysts remain on schedule. The company expects interim 13-week proof-of-concept data for pattern hair loss later in 2026, full 26-week data in early 2027, and plans to initiate a Phase 2 endometriosis study in the fourth quarter of 2026.
• Eli Lilly partnership and new financing strengthen resources. Lilly invested $40 million and is collaborating on ABS-201’s clinical development, while Absci’s June financing generated approximately $93.6 million in net proceeds and extended projected funding into the second half of 2028.
• Absci is expanding its AI drug-discovery platform with Atlas, which integrates literature, genetics, and single-cell data to identify targets before feeding them into the Origin molecule-design platform; management said the technology has already suggested additional prolactin-related indications.
• The company remains dependent on unproven clinical and commercial assumptions: durability of hair regrowth will not be established by the 13- or 26-week readouts, and the cited market opportunities and product profile are based partly on modeling, consumer research, and hypothetical profiles rather than clinical efficacy results.

Absci Stock Performance

Shares of NASDAQ:ABSI traded up $0.40 during midday trading on Tuesday, hitting $9.41. 2,791,641 shares of the company's stock traded hands, compared to its average volume of 4,540,358. The firm's fifty day moving average price is $8.62 and its two-hundred day moving average price is $5.34. Absci has a twelve month low of $2.24 and a twelve month high of $12.06. The company has a market cap of $1.47 billion, a PE ratio of -11.34 and a beta of 2.35.

Wall Street Analyst Weigh In

Several equities analysts recently weighed in on the company. BTIG Research increased their target price on Absci from $9.00 to $13.00 and gave the stock a "buy" rating in a research report on Wednesday, June 24th. Morgan Stanley restated a "positive" rating and issued a $10.00 price target on shares of Absci in a report on Thursday, June 25th. Needham & Company LLC reaffirmed a "buy" rating and set a $11.00 price objective (up from $7.00) on shares of Absci in a research note on Wednesday, June 24th. HC Wainwright increased their price objective on shares of Absci from $8.00 to $16.00 and gave the stock a "buy" rating in a report on Thursday, June 25th. Finally, Weiss Ratings reissued a "sell (d-)" rating on shares of Absci in a research report on Friday, July 17th. Eight equities research analysts have rated the stock with a Buy rating and one has issued a Sell rating to the company's stock. According to data from MarketBeat, the company presently has a consensus rating of "Moderate Buy" and an average price target of $13.43.

Institutional Inflows and Outflows

A number of hedge funds and other institutional investors have recently modified their holdings of the stock. State Street Corp boosted its position in shares of Absci by 190.1% in the fourth quarter. State Street Corp now owns 5,990,877 shares of the company's stock worth $20,908,000 after buying an additional 3,925,926 shares during the period. Schonfeld Strategic Advisors LLC purchased a new position in shares of Absci in the fourth quarter valued at $8,201,000. Price T Rowe Associates Inc. MD grew its holdings in Absci by 2,955.4% during the 4th quarter. Price T Rowe Associates Inc. MD now owns 2,156,067 shares of the company's stock valued at $7,526,000 after purchasing an additional 2,085,501 shares in the last quarter. Vanguard Group Inc. grew its holdings in Absci by 12.9% during the 3rd quarter. Vanguard Group Inc. now owns 7,281,918 shares of the company's stock valued at $22,137,000 after purchasing an additional 830,336 shares in the last quarter. Finally, Goldman Sachs Group Inc. increased its stake in Absci by 257.6% during the 4th quarter. Goldman Sachs Group Inc. now owns 1,023,775 shares of the company's stock worth $3,573,000 after buying an additional 737,477 shares during the period. Institutional investors and hedge funds own 52.05% of the company's stock.

Absci Company Profile

Absci Corporation NASDAQ: ABSI is a biotechnology company that applies machine learning, synthetic biology and automation to accelerate the discovery and development of protein-based therapeutics. The company's Integrated Drug Creation® (IDC®) platform is designed to identify and produce novel antibody and enzyme candidates at speeds and scales that traditional biopharma discovery methods cannot match. Absci works with pharmaceutical and biotechnology partners to generate, screen and optimize protein molecules for a wide range of therapeutic applications.

The core of Absci's offering is its end-to-end discovery engine, which combines proprietary algorithms, high-throughput laboratory automation and a deep learning framework.

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