LENZ Therapeutics (NASDAQ:LENZ) Announces Quarterly Earnings Results

LENZ Therapeutics (NASDAQ:LENZ) posted its earnings results on Tuesday. The company reported ($1.02) earnings per share (EPS) for the quarter, topping the consensus estimate of ($1.05) by $0.03, FiscalAI reports. LENZ Therapeutics had a negative net margin of 519.30% and a negative return on equity of 46.82%. The business had revenue of $5.49 million for the quarter, compared to analysts’ expectations of $2.38 million.

Here are the key takeaways from LENZ Therapeutics’ conference call:

• July prescriptions increased more than 45% month over month after LENZ launched telehealth prescribing and expanded its national TV campaign; management said growth was observed across all channels.
• Early persistence data were encouraging, with more than 60% of ePharmacy patients purchasing multiple monthly packs. Among the more mature cohorts, repeat purchasing is tracking toward an average of five packs annually among patients who refill.
• Q2 product revenue was $1.7 million on approximately 27,000 packs sold, up 9% sequentially, while total revenue reached $5.5 million partly due to $3.8 million in ex-U.S. licensing revenue.
• The company reported a $31.9 million net loss, or $1.02 per share, and adjusted SG&A was $34.9 million despite falling 14% quarter over quarter. Management plans to evaluate Q3 data before determining the appropriate level and mix of commercial spending.
• LENZ expanded its international commercial network with a fifth partnership covering Australia and New Zealand, while nine regulatory submissions remained under review and additional submissions were expected by year-end.

LENZ Therapeutics Stock Down 2.8%

Shares of NASDAQ LENZ traded down $0.15 during mid-day trading on Tuesday, reaching $5.21. 505,923 shares of the company were exchanged, compared to its average volume of 946,450. LENZ Therapeutics has a 52 week low of $4.68 and a 52 week high of $50.40. The company’s 50 day moving average price is $5.82 and its 200 day moving average price is $9.36. The stock has a market capitalization of $163.33 million, a PE ratio of -1.45 and a beta of 0.65.

Institutional Investors Weigh In On LENZ Therapeutics

A number of large investors have recently added to or reduced their stakes in LENZ. Price T Rowe Associates Inc. MD lifted its stake in LENZ Therapeutics by 307.6% during the fourth quarter. Price T Rowe Associates Inc. MD now owns 1,023,542 shares of the company’s stock worth $16,378,000 after purchasing an additional 772,411 shares during the last quarter. Adage Capital Partners GP L.L.C. increased its position in shares of LENZ Therapeutics by 108.8% during the 2nd quarter. Adage Capital Partners GP L.L.C. now owns 1,122,738 shares of the company’s stock valued at $32,907,000 after purchasing an additional 585,000 shares during the last quarter. Franklin Resources Inc. raised its holdings in shares of LENZ Therapeutics by 6,756.1% during the 3rd quarter. Franklin Resources Inc. now owns 587,084 shares of the company’s stock valued at $27,346,000 after buying an additional 578,521 shares in the last quarter. Millennium Management LLC purchased a new position in shares of LENZ Therapeutics during the 4th quarter valued at about $8,630,000. Finally, Squarepoint Ops LLC lifted its position in LENZ Therapeutics by 447.8% in the 4th quarter. Squarepoint Ops LLC now owns 491,898 shares of the company’s stock worth $7,870,000 after buying an additional 402,110 shares during the last quarter. Hedge funds and other institutional investors own 54.32% of the company’s stock.

Wall Street Analysts Forecast Growth

Several research analysts have recently weighed in on LENZ shares. Weiss Ratings raised shares of LENZ Therapeutics from a “sell (e+)” rating to a “sell (d-)” rating in a report on Wednesday, June 17th. HC Wainwright reissued a “buy” rating on shares of LENZ Therapeutics in a research note on Tuesday, July 7th. Piper Sandler cut LENZ Therapeutics from an “overweight” rating to a “neutral” rating and reduced their target price for the stock from $39.00 to $12.00 in a research report on Tuesday, May 12th. Zacks Research cut LENZ Therapeutics from a “hold” rating to a “strong sell” rating in a report on Wednesday, July 15th. Finally, Citigroup lowered their price target on LENZ Therapeutics from $26.00 to $20.00 and set a “buy” rating on the stock in a report on Wednesday, May 13th. Five analysts have rated the stock with a Buy rating, one has issued a Hold rating and two have given a Sell rating to the stock. According to data from MarketBeat, the company currently has a consensus rating of “Hold” and a consensus price target of $29.80.

About LENZ Therapeutics

LENZ Therapeutics, Inc, a biopharmaceutical company, focuses on developing and commercializing therapies to improve vision in the United States. Its product candidates include LNZ100 and LNZ101 which are in Phase III clinical trials for the treatment of presbyopia. The company is headquartered in Del Mar, California.