) is scheduled to report third-quarter fiscal 2014 results on Aug
6. Last quarter, the company posted a positive surprise of 263.33%.
Let's see how things are shaping up for this announcement.
Factors at Play
GW Pharma's key growth driver, Sativex, is expected to continue to
perform well. In the fiscal second quarter, the company had
announced that for the six months ended Mar 31, 2014, in-market
Sativex sales volumes sold by GW Pharma's commercial partners
increased by 40% over the prior-year period. However, the company's
operating expenses are expected to remain under pressure as it
continues to invest in pipeline.
Our proven model does not conclusively show that GW Pharma is
likely to report a narrower-than-expected loss this quarter. This
is because a stock needs to have both a positive
and a Zacks Rank #1, 2 or 3 for this to happen. This is not the
case here, as you will see below.
Earnings ESP for GW Pharma is 0.00%. This is because both the Most
Accurate estimate and the Zacks Consensus Estimate stand at a loss
of 62 cents per share.
GW Pharma carries a Zacks Rank #4 (Sell).
We caution against stocks with Zacks Ranks #4 and #5 (Sell-rated
stocks) going into the earnings announcement, especially when the
company is seeing negative estimate revisions.
Other Stocks to Consider
Here are some companies you may want to consider as our model shows
that they have the right combination of elements.
ARIAD Pharmaceuticals, Inc. (
) has an earnings ESP of +3.70% and carries a Zacks Rank #3. It is
scheduled to announce its second quarter 2014 financial results
before the opening bell on Aug 6.
Impax Laboratories Inc. (
) has an earnings ESP of +5.13% and carries a Zacks Rank #3. It
will announce its second quarter 2014 financial results before
markets open on Aug 6.
The earnings ESP for InterMune, Inc. (
) is +1.79% and it carries a Zacks Rank #3. The company is
scheduled to release its second-quarter results before the opening
bell on Aug 6.
Want the latest recommendations from Zacks Investment Research?
Today, you can download 7 Best Stocks for the Next 30 Days.
Click to get this free report
INTERMUNE INC (ITMN): Free Stock Analysis
IMPAX LABORATRS (IPXL): Free Stock Analysis
ARIAD PHARMA (ARIA): Free Stock Analysis Report
GW PHARMA-ADR (GWPH): Free Stock Analysis
To read this article on Zacks.com click here.