Leerink Partnrs Cuts Earnings Estimates for XOMA Royalty

Key Points

• Leerink Partners has reduced its Q3 2025 EPS estimate for XOMA Royalty from $0.03 to ($0.02), reflecting a more pessimistic outlook for the biotechnology company.
• XOMA Royalty's last reported earnings beat expectations, with $0.48 EPS against an anticipated ($0.12), showcasing stronger than expected revenue of $13.13 million for the quarter.
• Institutional investors hold a significant stake in XOMA Royalty, owning 95.92% of the company's stock, indicating strong confidence in the company's performance.

XOMA Royalty Corporation (NASDAQ:XOMA - Free Report) - Stock analysts at Leerink Partnrs reduced their Q3 2025 EPS estimates for shares of XOMA Royalty in a research note issued to investors on Thursday, August 14th. Leerink Partnrs analyst D. Risinger now forecasts that the biotechnology company will post earnings of ($0.02) per share for the quarter, down from their previous forecast of $0.03. The consensus estimate for XOMA Royalty's current full-year earnings is ($1.41) per share. Leerink Partnrs also issued estimates for XOMA Royalty's Q4 2025 earnings at $0.05 EPS, FY2025 earnings at $0.52 EPS, FY2027 earnings at $1.68 EPS, FY2028 earnings at $4.18 EPS and FY2029 earnings at $6.04 EPS.

Several other equities research analysts have also recently issued reports on the stock. Zacks Research raised shares of XOMA Royalty to a "hold" rating in a research note on Tuesday, August 12th. Wall Street Zen raised shares of XOMA Royalty from a "hold" rating to a "buy" rating in a research note on Monday, August 11th. Finally, HC Wainwright reaffirmed a "buy" rating and set a $104.00 target price on shares of XOMA Royalty in a research note on Wednesday, May 28th. Two investment analysts have rated the stock with a Buy rating and one has issued a Hold rating to the stock. Based on data from MarketBeat, the stock currently has an average rating of "Moderate Buy" and an average price target of $69.50.

XOMA Royalty Price Performance

XOMA traded up $1.45 on Monday, hitting $34.20. 111,643 shares of the company's stock were exchanged, compared to its average volume of 46,803. XOMA Royalty has a fifty-two week low of $18.35 and a fifty-two week high of $35.00. The company has a current ratio of 4.88, a quick ratio of 4.88 and a debt-to-equity ratio of 1.41. The firm has a 50-day moving average price of $27.20 and a 200-day moving average price of $24.58. The stock has a market cap of $413.48 million, a price-to-earnings ratio of -22.06 and a beta of 1.00.

XOMA Royalty (NASDAQ:XOMA - Get Free Report) last announced its earnings results on Wednesday, August 13th. The biotechnology company reported $0.48 earnings per share (EPS) for the quarter, topping the consensus estimate of ($0.12) by $0.60. XOMA Royalty had a negative net margin of 27.57% and a positive return on equity of 2.63%. The company had revenue of $13.13 million for the quarter, compared to analysts' expectations of $9.39 million.

Institutional Inflows and Outflows

Several institutional investors have recently modified their holdings of XOMA. Nuveen Asset Management LLC raised its holdings in XOMA Royalty by 3.8% in the 4th quarter. Nuveen Asset Management LLC now owns 14,363 shares of the biotechnology company's stock valued at $377,000 after buying an additional 527 shares during the period. JPMorgan Chase & Co. raised its holdings in XOMA Royalty by 13.9% in the 2nd quarter. JPMorgan Chase & Co. now owns 4,440 shares of the biotechnology company's stock valued at $112,000 after buying an additional 543 shares during the period. Eversept Partners LP raised its holdings in XOMA Royalty by 1.2% in the 4th quarter. Eversept Partners LP now owns 95,417 shares of the biotechnology company's stock valued at $2,508,000 after buying an additional 1,128 shares during the period. Wells Fargo & Company MN raised its holdings in XOMA Royalty by 38.0% in the 4th quarter. Wells Fargo & Company MN now owns 4,300 shares of the biotechnology company's stock valued at $113,000 after buying an additional 1,183 shares during the period. Finally, Northern Trust Corp raised its holdings in XOMA Royalty by 1.5% in the 4th quarter. Northern Trust Corp now owns 91,181 shares of the biotechnology company's stock valued at $2,396,000 after buying an additional 1,340 shares during the period. Hedge funds and other institutional investors own 95.92% of the company's stock.

XOMA Royalty Company Profile

XOMA Corporation operates as a biotech royalty aggregator in the United States and the Asia Pacific. It has a portfolio of economic rights to future potential milestone and royalty payments associated with partnered commercial and pre-commercial therapeutic candidates. The company also focuses on early to mid-stage clinical assets primarily in Phase 1 and 2 with commercial sales potential that are licensed to partners; and acquires milestone and royalty revenue streams on late-stage clinical or commercial assets.