We expect investors to focus on Affimed N.V.’s AFMD progress with its three clinical programs on AFM24, acimtamig (AFM13) and AFM28, being studied for different cancer indications, when it reports second-quarter 2024 earnings.
Let’s see how things have shaped up for the quarter to be reported.
Factors to Note
Affimed’s revenues are related to a platform license provided to Genentech, a subsidiary of Roche RHHBY. Revenues in the last reported declined year over year, a trend most likely to have continued in the to-be-reported quarter.
AFMD’s clinical-stage pipeline comprises three investigational candidates, AFM24, acimtamig (AFM13) and AFM28, which are currently being developed either as a monotherapy or in combination therapies with other agents for several oncology indications.
AFM28 is being evaluated as a monotherapy in a phase I dose-escalation study for the treatment of refractory acute myeloid leukemia.
The LuminICE-203 study is evaluating acimtamig in combination with AlloNK cells in patients with refractory Hodgkin's Lymphoma.
The phase I/IIa AFM24-102 study is evaluating AFM24 in combination with Roche’s oncology drug, Tecentriq (atezolizumab), for the treatment of refractory patients with non-small cell lung cancer (NSCLC).
Roche’s Tecentriq is currently approved in the United States, EU and several other countries to treat some of the most aggressive and difficult-to-treat forms of cancer, including advanced lung cancer, urothelial cancer and breast cancer.
Investors will be keen to get more updates on the studies related to the pipeline candidates on the upcoming second-quarter earnings call.
Year to date, shares of Affimed have plunged 18.1% against the industry’s 0.5% increase.
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Research and development expenses declined in the last reported quarter owing to lower costs associated with the development of the AFM13 and AFM24. Also, general and administrative expenses decreased in the last reported quarter due to a decline in headcount and other expenses. It remains to be seen whether the same trend continued or reversed in the to-be-reported quarter.
The company’s cash, cash equivalents and investments were €48.5 million as of Mar 31, 2024.
Earnings Surprise History
Affimed has a mixed earnings surprise history. The company’s earnings beat estimates in two of the trailing three quarters and met the same on the remaining occasion. AFMD delivered an average surprise of 13.09%. In the last reported quarter, Affimed’s earnings beat estimates by 20.23%.
Earnings Whispers
Our proven model does not conclusively predict an earnings beat for Affimed this time around. The combination of a positive Earnings ESP and a Zacks Rank #1 (Strong Buy), 2 (Buy) or 3 (Hold) increases the odds of an earnings beat. That is not the case here, as you will see below. You can uncover the best stocks to buy or sell before they're reported with our Earnings ESP Filter.
Earnings ESP: Affimed has an Earnings ESP of 0.00% as the Most Accurate Estimate and the Zacks Consensus Estimate are both pegged at a loss of $1.00 per share.
Zacks Rank: Affimed currently carries a Zacks Rank #3. You can see the complete list of today’s Zacks #1 Rank stocks here.
Affimed N.V. Price and EPS Surprise
Affimed N.V. price-eps-surprise | Affimed N.V. Quote
Stocks to Consider
Here are some stocks worth considering from the healthcare space, as our model shows that these have the right combination of elements to beat on earnings this reporting cycle.
Krystal Biotech, Inc. KRYS has an Earnings ESP of +34.00% and a Zacks Rank #2.
Shares of Krystal Biotech have surged 72.3% in the year-to-date period. Earnings of Krystal Biotech beat estimates in two of the last four quarters and missed on the remaining two occasions. KRYS delivered an average negative earnings surprise of 21.46% in the last four quarters. KRYS is set to report second-quarter earnings on Aug 5.
Amgen Inc. AMGN has an Earnings ESP of +0.48% and a Zacks Rank #3.
Shares of Amgen have risen 16.3% year to date. Amgen beat earnings estimates in each of the trailing four quarters, with the average earnings surprise being 6.42%. AMGN is set to report second-quarter earnings on Aug 6.
Stay on top of upcoming earnings announcements with the Zacks Earnings Calendar.
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The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
