Global Blood's (GBT) Q3 Loss Widens, Voxelotor in Focus

Global Blood Therapeutics, Inc. GBT incurred a loss of $1.07 per share in the third quarter of 2019, which was wider than a loss of 83 cents in the year-ago quarter and the Zacks Consensus Estimate of a loss of $1.03.

The company did not record any revenues during the quarter.

Research and development (R&D) expenses in the third quarter were $39.1 million, up 18.5% year over year. The increase can be mainly attributable to higher employee-related costs and elevated costs associated with NDA submission activities. 

General and administrative (G&A) expenses were $29.7 million, up 137.6% year over year. The increase was due to higher employee-related costs and elevated expenses associated with the buildout of the company’s commercial operations.

Shares of the company have gained 16.9% year to date compared with the industry’s growth of 0.2%.


Pipeline Update

The company’s lead product candidate is voxelotor (GBT440), an oral, once-daily treatment for sickle cell disease (SCD).

In September, the FDA accepted Global Blood’s new drug application (NDA) seeking accelerated approval for voxelotor in SCD. The agency granted the NDA priority review and set an action date of Feb 26, 2020. The company intends to launch the drug by the first half of 2020. If the drug is approved, it could bring millions of dollars for the company annually.

The company is on track to initiate a post-approval confirmatory study on voxelotor. The study aims to achieve the primary endpoint of transcranial Doppler flow velocity before the end of 2019.

The company has another pipeline candidate, inclacumab, a novel fully human monoclonal antibody against P-selectin, in its portfolio. The drug is being developed as a treatment for vaso-occlusive crises (“VOC”) in patients with SCD.

Global Blood has an exclusive worldwide license agreement with drug giant, Roche Holding AG RHHBY, for the development and commercialization of inclacumab.


The company expects net loss to significantly increase in the fourth quarter of 2019 on higher expenses related to the continued buildout of commercial infrastructure, as it prepares for the potential commercial launch of voxelotor, the expansion of its manufacturing efforts for the same, the commencement of additional clinical studies on the drug in SCD and the advancement of its pipeline programs, including the inclacumab program.


Global Blood Therapeutics, Inc. Price, Consensus and EPS Surprise


Global Blood Therapeutics, Inc. Price, Consensus and EPS Surprise

Global Blood Therapeutics, Inc. price-consensus-eps-surprise-chart | Global Blood Therapeutics, Inc. Quote

Zacks Rank and Stocks to Consider

Global Blood currently carries a Zacks Rank #4 (Sell).

A few better-ranked stocks in the biotech sector are Alkermes Plc. ALKS and AVEO Pharmaceuticals Inc. AVEO, both sporting a Zacks Rank #1 (Strong Buy). You can see the complete list of today’s Zacks #1 Rank stocks here.

Alkermes’ earnings per share estimates have increased from 36 cents to 52 cents for 2019 in the past 60 days. The company delivered a positive earnings surprise in the trailing four quarters by 236.80% on average.  

AVEO’s estimates have gone up from a loss of 6 cents to a profit of 1 cent for 2019 in the past 60 days. The company delivered a positive earnings surprise in three of the trailing four quarters by 28.34% on average.    

Today's Best Stocks from Zacks

Would you like to see the updated picks from our best market-beating strategies? From 2017 through 2018, while the S&P 500 gained +15.8%, five of our screens returned +38.0%, +61.3%, +61.6%, +68.1%, and +98.3%. This outperformance has not just been a recent phenomenon. From 2000 – 2018, while the S&P averaged +4.8% per year, our top strategies averaged up to +56.2% per year.

See their latest picks free >>

Click to get this free report

Roche Holding AG (RHHBY): Free Stock Analysis Report

Global Blood Therapeutics, Inc. (GBT): Free Stock Analysis Report

Alkermes plc (ALKS): Free Stock Analysis Report

AVEO Pharmaceuticals, Inc. (AVEO): Free Stock Analysis Report

To read this article on click here.

Zacks Investment Research

The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.

Other Topics


Latest Markets Videos


    Zacks is the leading investment research firm focusing on stock research, analysis and recommendations. In 1978, our founder discovered the power of earnings estimate revisions to enable profitable investment decisions. Today, that discovery is still the heart of the Zacks Rank. A wealth of resources for individual investors is available at

    Learn More