Stoke Therapeutics (NASDAQ:STOK) Announces Earnings Results, Beats Estimates By $0.01 EPS

Key Points

• Stoke Therapeutics beat EPS estimates for the quarter, reporting a loss of $0.79 per share versus the expected $0.80 loss. Revenue came in at $6.23 million, slightly below the $6.48 million forecast.
• Conference call updates were positive, highlighting durable long-term seizure reductions and improved Vineland-3 subdomain scores in four-year OLE data for zorevunersen, which the company said was generally well-tolerated.
• The company is advancing Phase III EMPEROR, with roughly 130 patients randomized so far and a U.S./U.K./Japan enrollment target of about 150 patients by June. Stoke also said it has enough cash, about $411 million plus ATM proceeds, to fund operations through a potential launch in late 2027 or early 2028.

Stoke Therapeutics (NASDAQ:STOK - Get Free Report) released its quarterly earnings results on Thursday. The company reported ($0.79) earnings per share for the quarter, topping analysts' consensus estimates of ($0.80) by $0.01, FiscalAI reports. The company had revenue of $6.23 million during the quarter, compared to analysts' expectations of $6.48 million. Stoke Therapeutics had a negative return on equity of 2.05% and a negative net margin of 3.73%.

Here are the key takeaways from Stoke Therapeutics' conference call:

• Four‑year OLE results show durable seizure reductions (median ~59–91% in reported intervals) and statistically significant improvements across five Vineland‑3 subdomains over years 1–4, with zorevunersen described as generally well‑tolerated despite common CSF protein elevations that lacked serious clinical manifestations.
• Phase III EMPEROR enrollment has been rapid — ~130 patients randomized to date, ~91 have received the two 70 mg loading doses, 18 completed the week‑28 primary endpoint visit, and the company expects to finish randomizing ~150 patients in the U.S./U.K./Japan by June with a mid‑2027 readout and a rolling NDA start in Q1 2027.
• Commercial and labeling plans emphasize using the long‑term OLE data (section 14/supplementary studies) to support prescriber guidance and payer discussions, a focused payer engagement program (national account directors) and a lean commercial model targeting an estimated ~6,000 addressable U.S. patients aged ≤25 at launch.
• Financial runway — Stoke reported ~$411 million in cash and marketable securities at quarter end and raised ~$80.7 million via an ATM program, which it says funds operations through a potential U.S. launch in late 2027/early 2028.

Stoke Therapeutics Trading Up 0.3%

NASDAQ:STOK traded up $0.10 during trading hours on Friday, hitting $32.89. 693,127 shares of the stock were exchanged, compared to its average volume of 725,005. Stoke Therapeutics has a 52-week low of $8.70 and a 52-week high of $40.22. The firm's fifty day moving average price is $34.34 and its 200 day moving average price is $32.03. The company has a market cap of $2.05 billion, a P/E ratio of -274.06 and a beta of 1.20.

Insider Activity at Stoke Therapeutics

In other Stoke Therapeutics news, insider Barry Ticho sold 1,461 shares of the business's stock in a transaction that occurred on Thursday, March 19th. The stock was sold at an average price of $29.99, for a total transaction of $43,815.39. Following the completion of the sale, the insider directly owned 40,702 shares in the company, valued at approximately $1,220,652.98. The trade was a 3.47% decrease in their position. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is accessible through this hyperlink. Also, insider Jason Hoitt sold 1,931 shares of the company's stock in a transaction that occurred on Wednesday, March 18th. The shares were sold at an average price of $31.34, for a total value of $60,517.54. Following the completion of the sale, the insider owned 10,276 shares of the company's stock, valued at $322,049.84. This trade represents a 15.82% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. Insiders sold 69,699 shares of company stock worth $2,526,714 in the last quarter. Corporate insiders own 9.50% of the company's stock.

Institutional Inflows and Outflows

Several hedge funds have recently added to or reduced their stakes in the business. RTW Investments LP boosted its position in shares of Stoke Therapeutics by 8.3% during the fourth quarter. RTW Investments LP now owns 5,546,856 shares of the company's stock worth $176,057,000 after buying an additional 423,331 shares during the period. Morgan Stanley raised its stake in shares of Stoke Therapeutics by 0.3% in the fourth quarter. Morgan Stanley now owns 3,546,158 shares of the company's stock valued at $112,555,000 after acquiring an additional 9,108 shares in the last quarter. State Street Corp raised its stake in shares of Stoke Therapeutics by 75.2% in the fourth quarter. State Street Corp now owns 2,498,049 shares of the company's stock valued at $79,288,000 after acquiring an additional 1,072,176 shares in the last quarter. Goldman Sachs Group Inc. raised its stake in shares of Stoke Therapeutics by 21.4% in the first quarter. Goldman Sachs Group Inc. now owns 1,662,039 shares of the company's stock valued at $11,053,000 after acquiring an additional 293,072 shares in the last quarter. Finally, Janus Henderson Group PLC raised its stake in shares of Stoke Therapeutics by 333.8% in the fourth quarter. Janus Henderson Group PLC now owns 1,450,933 shares of the company's stock valued at $46,031,000 after acquiring an additional 1,116,452 shares in the last quarter.

Analyst Ratings Changes

A number of research firms recently weighed in on STOK. Canaccord Genuity Group upped their price target on Stoke Therapeutics from $36.00 to $60.00 and gave the stock a "buy" rating in a report on Friday, March 20th. Wall Street Zen lowered Stoke Therapeutics from a "hold" rating to a "sell" rating in a research note on Saturday, March 21st. Guggenheim initiated coverage on Stoke Therapeutics in a research note on Thursday, February 5th. They set a "buy" rating and a $60.00 price objective for the company. Chardan Capital reiterated a "buy" rating and set a $35.00 price objective on shares of Stoke Therapeutics in a research note on Wednesday, March 18th. Finally, Weiss Ratings reiterated a "hold (c)" rating on shares of Stoke Therapeutics in a research note on Friday, April 10th. One analyst has rated the stock with a Strong Buy rating, nine have issued a Buy rating and two have issued a Hold rating to the company. Based on data from MarketBeat, the stock currently has an average rating of "Moderate Buy" and a consensus target price of $41.83.

Stoke Therapeutics Company Profile

Stoke Therapeutics, headquartered in Bedford, Massachusetts, is a clinical-stage biopharmaceutical company focused on developing genetic medicines to upregulate protein production for the treatment of rare neuromuscular and neurological disorders. Founded in 2014, the company applies its proprietary Targeted Augmentation of Nuclear Gene Output (TANGO™) platform to design antisense oligonucleotides that selectively modulate RNA splicing and enhance expression of functional proteins.

The company's lead program, STK-001, is an antisense oligonucleotide therapy designed to increase production of the sodium channel protein SCN1A and is currently in clinical development for Dravet syndrome, a severe childhood-onset epilepsy.

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