XOMA Royalty (NASDAQ:XOMA) Posts Earnings Results, Beats Estimates By $0.60 EPS

Key Points

• XOMA Royalty reported an earnings per share (EPS) of $0.48 for the quarter, significantly beating the consensus estimate of ($0.12) by $0.60.
• The company's revenue for the quarter totaled $13.13 million, exceeding expectations of $9.39 million.
• Insider trading activity included CEO Owen Hughes selling 25,637 shares and major shareholder Bvf Partners L.P. selling 392,723 shares, indicating a decrease in ownership positions.

XOMA Royalty (NASDAQ:XOMA - Get Free Report) issued its quarterly earnings results on Wednesday. The biotechnology company reported $0.48 earnings per share (EPS) for the quarter, beating the consensus estimate of ($0.12) by $0.60, Zacks reports. XOMA Royalty had a positive return on equity of 2.63% and a negative net margin of 27.57%. The company had revenue of $13.13 million for the quarter, compared to analyst estimates of $9.39 million.

XOMA Royalty Trading Down 0.7%

XOMA traded down $0.22 during midday trading on Friday, hitting $31.37. 58,044 shares of the company were exchanged, compared to its average volume of 33,948. The firm has a market capitalization of $379.26 million, a P/E ratio of -20.24 and a beta of 1.00. XOMA Royalty has a 1-year low of $18.35 and a 1-year high of $35.00. The firm's 50 day moving average price is $26.41 and its 200-day moving average price is $24.33. The company has a quick ratio of 5.54, a current ratio of 4.88 and a debt-to-equity ratio of 1.41.

Insider Buying and Selling

In other XOMA Royalty news, CEO Owen Hughes sold 25,637 shares of XOMA Royalty stock in a transaction dated Tuesday, May 20th. The stock was sold at an average price of $25.38, for a total transaction of $650,667.06. Following the transaction, the chief executive officer directly owned 62,701 shares of the company's stock, valued at approximately $1,591,351.38. The trade was a 29.02% decrease in their position. The sale was disclosed in a filing with the Securities & Exchange Commission, which can be accessed through this link. Insiders own 9.10% of the company's stock.

Institutional Inflows and Outflows

Several hedge funds and other institutional investors have recently bought and sold shares of the stock. Opaleye Management Inc. lifted its holdings in XOMA Royalty by 0.8% during the 2nd quarter. Opaleye Management Inc. now owns 255,087 shares of the biotechnology company's stock worth $6,428,000 after buying an additional 2,044 shares during the period. Geode Capital Management LLC lifted its stake in shares of XOMA Royalty by 9.1% in the 2nd quarter. Geode Capital Management LLC now owns 203,601 shares of the biotechnology company's stock valued at $5,132,000 after purchasing an additional 16,929 shares during the period. Woodline Partners LP lifted its stake in shares of XOMA Royalty by 7.9% in the 1st quarter. Woodline Partners LP now owns 168,550 shares of the biotechnology company's stock valued at $3,359,000 after purchasing an additional 12,284 shares during the period. Occudo Quantitative Strategies LP acquired a new position in shares of XOMA Royalty in the 2nd quarter valued at about $527,000. Finally, Marshall Wace LLP lifted its stake in shares of XOMA Royalty by 12.2% in the 2nd quarter. Marshall Wace LLP now owns 16,308 shares of the biotechnology company's stock valued at $411,000 after purchasing an additional 1,775 shares during the period. 95.92% of the stock is owned by institutional investors and hedge funds.

Wall Street Analyst Weigh In

XOMA has been the topic of several recent analyst reports. Wall Street Zen upgraded XOMA Royalty from a "hold" rating to a "buy" rating in a research note on Monday, August 11th. Zacks Research upgraded XOMA Royalty to a "hold" rating in a research report on Tuesday, August 12th. Finally, HC Wainwright restated a "buy" rating and set a $104.00 price objective on shares of XOMA Royalty in a research report on Wednesday, May 28th.

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.