Geron (NASDAQ:GERN) Posts Earnings Results, Misses Expectations By $0.01 EPS

Key Points

• Geron missed quarterly EPS expectations, reporting a loss of $0.02 per share versus the expected loss of $0.01, while revenue of $57.48 million exceeded estimates of $55.30 million.
• RYTELO revenue increased 17% year over year to $57.5 million, with prescribing accounts rising 8% to about 1,575. Management expects 2026 net product revenue of $220 million to $240 million, likely toward the mid-to-high end of guidance.
• Shares surged 21.6% to $1.63, although the company is assessing a change to the interim event threshold for its Phase III myelofibrosis trial; the base case still projects final overall-survival analysis in the second half of 2028.

Geron (NASDAQ:GERN - Get Free Report) posted its quarterly earnings data on Wednesday. The biopharmaceutical company reported ($0.02) earnings per share (EPS) for the quarter, missing analysts' consensus estimates of ($0.01) by ($0.01), Zacks reports. Geron had a negative net margin of 35.48% and a negative return on equity of 23.31%. The business had revenue of $57.48 million during the quarter, compared to analyst estimates of $55.30 million.

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

• RYTELO net revenue rose 17% year over year to $57.5 million in the second quarter, while first-half revenue increased approximately 24% year over year.
• RYTELO demand grew 5% sequentially, prescribing accounts increased 8% to approximately 1,575, and the company expects 2026 net product revenue of $220 million-$240 million to land at the mid-to-high end of guidance.
• Management cited encouraging real-world evidence in lower-risk MDS that was generally consistent with the Phase III IMerge trial, supporting RYTELO adoption—particularly in earlier lines of therapy and community treatment centers.
• Geron ended the quarter with $327 million in cash, equivalents, restricted cash, and marketable securities, while maintaining 2026 operating expense guidance of $230 million-$240 million and reporting a 4% first-half decrease in operating expenses.
• The company is evaluating a modification to the interim event threshold for the Phase III IMpactMF myelofibrosis trial after discussions with regulators; although timelines remain unchanged, the base case still calls for final overall-survival analysis in the second half of 2028.

Geron Stock Up 21.6%

Shares of NASDAQ:GERN traded up $0.29 during trading on Wednesday, hitting $1.63. 36,057,531 shares of the company were exchanged, compared to its average volume of 9,380,397. Geron has a fifty-two week low of $1.04 and a fifty-two week high of $2.01. The stock has a market cap of $1.05 billion, a price-to-earnings ratio of -14.82 and a beta of 0.61. The company has a current ratio of 6.78, a quick ratio of 4.96 and a debt-to-equity ratio of 0.52. The firm has a fifty day moving average price of $1.33 and a two-hundred day moving average price of $1.46.

Hedge Funds Weigh In On Geron

Several hedge funds and other institutional investors have recently made changes to their positions in GERN. RA Capital Management L.P. raised its position in Geron by 5.6% during the fourth quarter. RA Capital Management L.P. now owns 63,771,366 shares of the biopharmaceutical company's stock worth $84,178,000 after acquiring an additional 3,392,000 shares in the last quarter. State Street Corp increased its stake in shares of Geron by 0.9% during the 4th quarter. State Street Corp now owns 26,867,322 shares of the biopharmaceutical company's stock worth $35,465,000 after purchasing an additional 248,508 shares during the last quarter. Vestal Point Capital LP raised its holdings in shares of Geron by 8.0% in the 2nd quarter. Vestal Point Capital LP now owns 23,775,000 shares of the biopharmaceutical company's stock valued at $33,523,000 after purchasing an additional 1,769,660 shares during the period. Soleus Capital Management L.P. lifted its stake in Geron by 572.5% in the 2nd quarter. Soleus Capital Management L.P. now owns 16,140,000 shares of the biopharmaceutical company's stock valued at $22,757,000 after purchasing an additional 13,740,000 shares during the last quarter. Finally, Millennium Management LLC lifted its stake in Geron by 97.8% in the 3rd quarter. Millennium Management LLC now owns 11,367,989 shares of the biopharmaceutical company's stock valued at $15,574,000 after purchasing an additional 5,620,635 shares during the last quarter. 73.71% of the stock is owned by institutional investors.

Analyst Upgrades and Downgrades

Separately, Weiss Ratings lowered shares of Geron from a "sell (d-)" rating to a "sell (e+)" rating in a research note on Friday, July 24th. Two research analysts have rated the stock with a Buy rating, two have given a Hold rating and one has assigned a Sell rating to the stock. According to data from MarketBeat.com, the stock presently has an average rating of "Hold" and a consensus target price of $4.00.

About Geron

Geron Corporation NASDAQ: GERN is a clinical-stage biotechnology company dedicated to developing and commercializing novel treatments that target telomerase, an enzyme critical to cancer cell immortality. The company's research is focused on hematologic malignancies and solid tumors, with a pipeline designed to address diseases that have historically had limited therapeutic options.

The lead product candidate, imetelstat, is a first-in-class telomerase inhibitor currently in Phase II and Phase III clinical trials for myelofibrosis and myelodysplastic syndromes.

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