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Healthcare Stocks Turning Lower in Afternoon Trade; Enzymotec Tumbles after Q1 Revenue Miss

By: MT Newswires
Posted: 5/14/2014 3:48:00 PM
Referenced Stocks: ENZY

Top Healthcare Stocks

JNJ -0.24%

PFE -0.36%

ABT +0.53%

MRK +0.83%

AMGN +0.72%

Healthcare stocks gave up small gains earlier in today's session and were finishing today with small declines and the NYSE Healthcare Sector Index declining about 0.2% and shares of healthcare companies in the S&P 500 falling 0.1% as a group.

In company news, Enzymotec ( ENZY ) shares tumbled over 30%, falling to an all-time low after reporting Q1 revenue trailing Wall Street projections.

The Israeli company developing lipid-based products reported a 29.7% year over year increase in revenue to $17.9 million during the three months ended March 31, lagging the Capital IQ consensus by $1.5 million. It earned $0.24 per share, beating analyst projections by $0.07 per share.

ENZY issued in-line guidance for the full year ending in December, forecasting EPS in a range of $0.64 to $0.94 on $90 million to $110 million in revenue. Analysts, on average, are looking for a $0.86 per share profit on just under $93 million in revenue.

The company's shares were down 29% at $14.35 a share in recent trade, earlier falling to $13.60 a share, its lowest price since its Sept. 27, 2013, initial public offering of stock.

Enzymotec also issued guidance for the full year 2014 of 64 cents a share to 94 cents a share, while analysts expect 86 cents a share. The company expects full year revenue based on the proportionate consolidation method of $90 million to $110 million, while analysts expect $92.95 million. Based on the equity method, Enzymotec expects revenue of $68 million to $85 million.

In other sector news,

(+) CNAT, Q1 net loss of $0.34 per share trails analyst estimates by $0.01. Company did not generate any revenue during the three months ended March 31.

(-) PETX, Q1 net loss of $0.34 per share matches Capital IQ consensus. The company had no revenue during the quarter.