Jazz Pharmaceuticals (NASDAQ:JAZZ) Issues Earnings Results, Misses Expectations By $0.47 EPS

Key Points

• Jazz Pharmaceuticals missed EPS expectations, reporting $5.71 per share versus the $6.18 consensus, but revenue rose 15.5% year over year to $1.21 billion, exceeding estimates.
• Strong performance in XYWAV and Epidiolex supported higher 2026 guidance, including revenue of $4.60 billion–$4.75 billion and rare-sleep revenue of $2.025 billion–$2.125 billion.
• Management expressed confidence in zanidatamab’s approval by the August 25 PDUFA date, while warning that Zepzelca’s second-line business may decline further after a planned label change.

Jazz Pharmaceuticals (NASDAQ:JAZZ - Get Free Report) released its quarterly earnings results on Monday. The specialty pharmaceutical company reported $5.71 earnings per share for the quarter, missing analysts' consensus estimates of $6.18 by ($0.47), FiscalAI reports. Jazz Pharmaceuticals had a net margin of 0.66% and a return on equity of 14.56%. The firm had revenue of $1.21 billion for the quarter, compared to analyst estimates of $1.11 billion. During the same period in the previous year, the business posted ($8.25) earnings per share. Jazz Pharmaceuticals's revenue for the quarter was up 15.5% on a year-over-year basis.

Here are the key takeaways from Jazz Pharmaceuticals' conference call:

• Record revenue of $1.21 billion rose 16% year over year, prompting Jazz to raise 2026 revenue guidance to $4.60 billion–$4.75 billion. Adjusted EPS was $5.71, while first-half operating cash flow reached $824 million.
• XYWAV sales increased 13% to $471 million, with approximately 525 net patient additions and limited uptake of high-sodium generics. Jazz now expects double-digit XYWAV growth in 2026 and raised rare-sleep revenue guidance to $2.025 billion–$2.125 billion.
• Epidiolex sales grew 16% to $292 million on strong underlying demand, particularly among adult and long-term-care patients. Jazz is pursuing a capsule formulation and several clinical trials to expand usage across additional treatment-resistant seizure populations.
• Jazz expressed high confidence in zanidatamab’s approval for first-line HER2-positive metastatic GEA by the August 25 PDUFA date and said it is prepared for launch. The company highlighted median overall survival of 26.4 months in the combination arm and expects additional doublet overall-survival data in the third quarter.
• Zepzelca sales rose 42% to $106 million, driven by first-line maintenance adoption, but Jazz plans to submit a labeling supplement removing the second-line indication after the LAGOON results. Management expects the historical second-line business to continue eroding, with a possible acceleration following the label change.

Jazz Pharmaceuticals Trading Down 0.5%

Shares of Jazz Pharmaceuticals stock traded down $1.28 on Monday, hitting $251.58. 1,493,225 shares of the company's stock traded hands, compared to its average volume of 948,321. The company has a debt-to-equity ratio of 0.95, a current ratio of 2.04 and a quick ratio of 1.85. The company has a market capitalization of $15.80 billion, a price-to-earnings ratio of -12,572.71, a price-to-earnings-growth ratio of 0.22 and a beta of 0.32. The company has a fifty day moving average of $239.50 and a two-hundred day moving average of $207.30. Jazz Pharmaceuticals has a one year low of $105.00 and a one year high of $261.30.

Analyst Ratings Changes

Several analysts have recently weighed in on JAZZ shares. Wells Fargo & Company upped their price objective on Jazz Pharmaceuticals from $265.00 to $285.00 and gave the company an "overweight" rating in a report on Tuesday, July 14th. Sanford C. Bernstein reissued a "market perform" rating on shares of Jazz Pharmaceuticals in a report on Tuesday, June 9th. Piper Sandler increased their price objective on Jazz Pharmaceuticals from $232.00 to $301.00 and gave the company an "overweight" rating in a research report on Friday, May 22nd. Royal Bank Of Canada lifted their price target on shares of Jazz Pharmaceuticals from $195.00 to $258.00 and gave the stock an "outperform" rating in a research note on Wednesday, May 6th. Finally, Canaccord Genuity Group began coverage on shares of Jazz Pharmaceuticals in a research note on Thursday, July 16th. They issued a "buy" rating and a $290.00 target price for the company. One research analyst has rated the stock with a Strong Buy rating, sixteen have given a Buy rating and three have assigned a Hold rating to the company. According to data from MarketBeat, the stock has an average rating of "Moderate Buy" and a consensus price target of $259.06.

Insider Transactions at Jazz Pharmaceuticals

In related news, Director Heather Ann Mcsharry sold 2,000 shares of the firm's stock in a transaction dated Friday, May 22nd. The shares were sold at an average price of $241.00, for a total transaction of $482,000.00. Following the transaction, the director directly owned 18,449 shares of the company's stock, valued at $4,446,209. This trade represents a 9.78% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is available at this link. Also, Director Bruce C. Cozadd sold 6,000 shares of the company's stock in a transaction on Wednesday, July 1st. The shares were sold at an average price of $240.47, for a total value of $1,442,820.00. Following the completion of the transaction, the director owned 366,682 shares of the company's stock, valued at $88,176,020.54. This trade represents a 1.61% decrease in their position. The SEC filing for this sale provides additional information. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Over the last quarter, insiders sold 13,098 shares of company stock valued at $3,131,906. Corporate insiders own 4.10% of the company's stock.

Institutional Inflows and Outflows

A number of hedge funds have recently added to or reduced their stakes in JAZZ. Danske Bank A S bought a new position in Jazz Pharmaceuticals in the third quarter worth approximately $40,000. Caitong International Asset Management Co. Ltd raised its stake in Jazz Pharmaceuticals by 1,383.3% in the third quarter. Caitong International Asset Management Co. Ltd now owns 356 shares of the specialty pharmaceutical company's stock worth $47,000 after buying an additional 332 shares in the last quarter. Geneos Wealth Management Inc. lifted its holdings in shares of Jazz Pharmaceuticals by 57.6% during the 1st quarter. Geneos Wealth Management Inc. now owns 375 shares of the specialty pharmaceutical company's stock valued at $47,000 after purchasing an additional 137 shares during the last quarter. Sunbelt Securities Inc. purchased a new position in shares of Jazz Pharmaceuticals in the third quarter worth $53,000. Finally, Kestra Advisory Services LLC acquired a new stake in shares of Jazz Pharmaceuticals during the fourth quarter worth about $63,000. 89.14% of the stock is owned by hedge funds and other institutional investors.

Jazz Pharmaceuticals Company Profile

Jazz Pharmaceuticals plc is a global biopharmaceutical company focused on developing and commercializing therapies in neuroscience and oncology. The company's research and development efforts target unmet medical needs in sleep disorders, hematologic malignancies, rare neurological conditions and solid tumors. Jazz's product portfolio includes therapies for narcolepsy, hepatic veno-occlusive disease, acute myeloid leukemia and other serious disorders.

Flagship products from Jazz Pharmaceuticals include Xyrem® (sodium oxybate) and Xywav® (calcium, magnesium, potassium, and sodium oxybates) for the treatment of cataplexy and excessive daytime sleepiness in patients with narcolepsy.

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