Arcus Biosciences (NYSE:RCUS) Announces Earnings Results, Beats Estimates By $0.22 EPS

Arcus Biosciences (NYSE:RCUS) posted its earnings results on Wednesday. The company reported ($0.89) earnings per share for the quarter, topping analysts’ consensus estimates of ($1.11) by $0.22, FiscalAI reports. The company had revenue of $33.00 million during the quarter, compared to analyst estimates of $24.94 million. Arcus Biosciences had a negative return on equity of 69.86% and a negative net margin of 142.91%.Arcus Biosciences’s revenue was down 8.3% on a year-over-year basis. During the same quarter in the prior year, the business earned ($1.03) earnings per share.

Here are the key takeaways from Arcus Biosciences’ conference call:

• Updated ARC-20 monotherapy data show the 100 mg QD cohort reached a confirmed ORR of 45% and a median PFS of 15.1 months (pooled PFS 12.2 months), which management cites as evidence casdatifan is “best‑in‑class” versus belzutifan and TKIs.
• The PEAK‑1 Phase 3 trial (casdatifan + cabozantinib vs cabozantinib) is actively enrolling with a single PFS primary endpoint, a year‑end enrollment target, and company expectation of a relatively rapid readout to support a fast‑to‑market strategy in IO‑experienced ccRCC.
• Arcus is pursuing a frontline, TKI‑free strategy centered on casdatifan + anti‑PD‑1 (with the option to add anti‑CTLA‑4 or a third non‑TKI agent); ARC‑20 cohort data (e.g., a 9% primary progression rate in an early CAS+zim subset) are being used to pick the Phase 3 frontline regimen, with a Phase 3 start targeted by year‑end.
• Financial position strengthened — cash of approximately $1.0 billion after a $288M financing, 2026 GAAP revenue guidance of $45–55M, expectations for meaningful cost reductions, and a cash runway into at least the second half of 2028.
• Arcus is advancing an inflammation & immunology portfolio, with an MRGPRX2 antagonist and a selective TNF‑R1 small molecule expected to enter the clinic in the next 12–18 months, offering large-market potential but remaining early‑stage and subject to clinical risk.

Arcus Biosciences Stock Performance

Shares of NYSE RCUS traded up $0.31 during mid-day trading on Friday, hitting $19.85. The stock had a trading volume of 26,050 shares, compared to its average volume of 1,171,857. The company has a debt-to-equity ratio of 0.22, a quick ratio of 3.65 and a current ratio of 3.65. The company has a 50 day moving average of $21.60 and a two-hundred day moving average of $18.36. Arcus Biosciences has a twelve month low of $6.50 and a twelve month high of $26.40. The firm has a market cap of $2.14 billion, a PE ratio of -6.00 and a beta of 0.84.

Insider Activity at Arcus Biosciences

In related news, General Counsel Carolyn C. Tang sold 6,810 shares of Arcus Biosciences stock in a transaction dated Wednesday, December 17th. The stock was sold at an average price of $22.16, for a total transaction of $150,909.60. Following the completion of the sale, the general counsel owned 124,734 shares of the company’s stock, valued at $2,764,105.44. The trade was a 5.18% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the SEC, which is available through this hyperlink. Also, CAO Alexander Azoy sold 4,343 shares of the company’s stock in a transaction that occurred on Thursday, December 18th. The shares were sold at an average price of $22.25, for a total value of $96,631.75. Following the completion of the sale, the chief accounting officer owned 18,531 shares in the company, valued at approximately $412,314.75. This represents a 18.99% decrease in their position. The disclosure for this sale is available in the SEC filing. Insiders have sold a total of 263,987 shares of company stock worth $6,025,620 in the last quarter. 9.60% of the stock is owned by insiders.

Institutional Trading of Arcus Biosciences

Several hedge funds and other institutional investors have recently bought and sold shares of RCUS. T. Rowe Price Investment Management Inc. acquired a new stake in shares of Arcus Biosciences during the 4th quarter worth approximately $39,000. Tower Research Capital LLC TRC boosted its holdings in Arcus Biosciences by 184.2% during the second quarter. Tower Research Capital LLC TRC now owns 8,449 shares of the company’s stock worth $69,000 after buying an additional 5,476 shares in the last quarter. Strs Ohio acquired a new stake in Arcus Biosciences during the first quarter valued at $67,000. Inceptionr LLC acquired a new stake in Arcus Biosciences during the fourth quarter valued at $210,000. Finally, Brevan Howard Capital Management LP purchased a new position in Arcus Biosciences in the second quarter valued at $97,000. 92.89% of the stock is owned by institutional investors and hedge funds.

Wall Street Analyst Weigh In

Several research firms have issued reports on RCUS. UBS Group reiterated a “buy” rating on shares of Arcus Biosciences in a research note on Monday, December 15th. Citigroup restated a “buy” rating on shares of Arcus Biosciences in a report on Friday, December 12th. Wall Street Zen lowered shares of Arcus Biosciences from a “hold” rating to a “sell” rating in a research note on Saturday, February 7th. Wells Fargo & Company set a $23.00 target price on shares of Arcus Biosciences and gave the company an “equal weight” rating in a research report on Thursday, February 12th. Finally, Morgan Stanley reaffirmed an “equal weight” rating and issued a $20.00 price target (down from $23.00) on shares of Arcus Biosciences in a report on Thursday, January 8th. Seven investment analysts have rated the stock with a Buy rating, three have assigned a Hold rating and one has given a Sell rating to the stock. According to data from MarketBeat.com, the stock currently has an average rating of “Moderate Buy” and an average target price of $29.33.

About Arcus Biosciences

Arcus Biosciences is a clinical-stage biopharmaceutical company focused on the discovery, development and commercialization of novel cancer immunotherapies. The company’s research platform centers on modulating tumor microenvironments and immune checkpoints through both small-molecule and antibody-based candidates. Arcus aims to enhance antitumor immune responses by targeting pathways such as the adenosine axis and inhibitory receptors on immune cells.

The company’s lead clinical programs include etrumadenant, an orally administered A2A adenosine receptor antagonist being evaluated in combination with anti-PD-1 therapy, and domvanalimab, an anti-TIGIT monoclonal antibody.