Praxis Precision Medicines (NASDAQ:PRAX) Releases Earnings Results, Misses Expectations By $0.50 EPS

Praxis Precision Medicines (NASDAQ:PRAX) posted its earnings results on Thursday. The company reported ($3.50) EPS for the quarter, missing analysts’ consensus estimates of ($3.00) by ($0.50), FiscalAI reports.

Here are the key takeaways from Praxis Precision Medicines’ conference call:

• Two NDAs submitted: Praxis submitted NDAs for ulixacaltamide in essential tremor and relutrigine for SCN2A/SCN8A DEEs; ulixacaltamide has FDA Breakthrough designation and relutrigine has Rare Pediatric Disease designation with the NDA already filed.
• Strong cash position — pro forma cash of approximately $1.5 billion after the January offering, which management says is expected to fund operations into 2028.
• Multiple near-term catalysts: POWER1 top-line readout for vormatrigine expected in Q2, elsunersen (EMBRAVE) top-line and EMBRAVE3 enrollment readouts in H1 with potential NDA next year, and EMERALD enrollment completion in H2 with a possible sNDA by 2027.
• Rising spend to support pipeline and launches — 2025 operating expenses were $326M (Q4 $97M) and management expects materially higher 2026 spend for commercial build-out, which increases near-term cash burn.
• Regulatory timing choices: Praxis requested priority review for relutrigine but not for ulixacaltamide, citing strategic/payer considerations (including IRA timing), which could affect ulixacaltamide’s approval timing and launch dynamics.

Praxis Precision Medicines Stock Up 0.3%

NASDAQ:PRAX opened at $332.48 on Friday. Praxis Precision Medicines has a 12-month low of $26.70 and a 12-month high of $335.75. The stock’s fifty day simple moving average is $299.27 and its 200-day simple moving average is $176.28. The firm has a market capitalization of $8.38 billion, a P/E ratio of -25.77 and a beta of 2.84.

Hedge Funds Weigh In On Praxis Precision Medicines

Institutional investors have recently modified their holdings of the business. Los Angeles Capital Management LLC acquired a new position in Praxis Precision Medicines during the fourth quarter valued at approximately $163,000. Commonwealth Equity Services LLC acquired a new stake in Praxis Precision Medicines during the 4th quarter valued at $220,000. O Shaughnessy Asset Management LLC bought a new position in shares of Praxis Precision Medicines in the fourth quarter valued at about $226,000. Amundi bought a new position in Praxis Precision Medicines in the 4th quarter valued at about $233,000. Finally, Ieq Capital LLC acquired a new position in shares of Praxis Precision Medicines in the fourth quarter valued at approximately $240,000. Institutional investors own 67.84% of the company’s stock.

Wall Street Analysts Forecast Growth

PRAX has been the subject of a number of research reports. Weiss Ratings reiterated a “sell (e+)” rating on shares of Praxis Precision Medicines in a research note on Monday, December 29th. Wedbush boosted their price objective on Praxis Precision Medicines from $95.00 to $130.00 and gave the stock an “underperform” rating in a report on Friday. Guggenheim reissued a “buy” rating and set a $800.00 price target (up from $760.00) on shares of Praxis Precision Medicines in a research report on Tuesday, February 10th. Robert W. Baird set a $433.00 target price on Praxis Precision Medicines in a research note on Friday. Finally, Needham & Company LLC increased their price objective on Praxis Precision Medicines from $460.00 to $510.00 and gave the company a “buy” rating in a report on Wednesday, February 4th. Three research analysts have rated the stock with a Strong Buy rating, twelve have assigned a Buy rating, one has issued a Hold rating and two have given a Sell rating to the company’s stock. Based on data from MarketBeat, Praxis Precision Medicines currently has an average rating of “Moderate Buy” and an average target price of $568.38.

Praxis Precision Medicines News Summary

Here are the key news stories impacting Praxis Precision Medicines this week:

• Positive Sentiment: Praxis said it submitted two NDAs to the FDA — one for ulixacaltamide in essential tremor (ET) and one for relutrigine for SCN2A/SCN8A developmental and epileptic encephalopathies (DEEs). These filings materially advance commercialization prospects and underpin the company’s long‑term revenue thesis. Praxis Provides Corporate Update and Reports Q4 and Full‑Year 2025 Financial Results
• Positive Sentiment: Guggenheim reiterated a Buy and sharply raised its price target (reported coverage suggests very bullish upside expectations), which supports investor optimism about ulixacaltamide’s market opportunity. Praxis Gains Analyst Confidence With Ulixacaltamide
• Positive Sentiment: Company earnings call materials and previews highlighted solid financials/cash position and corporate updates that investors may interpret as providing runway to support regulatory work and potential launches. Q4 2025 Earnings Call Highlights
• Neutral Sentiment: Wells Fargo initiated coverage with an Equal‑Weight rating and a $282 target, a cautious stance that tempers some of the bullish analyst commentary but is not a sell signal. Wells Fargo Cautious on Praxis Precision After Recent Revenue Estimates
• Neutral Sentiment: Market previews and earnings breakdowns circulated ahead of and after the release — useful for investors but largely informational unless guidance or surprises emerge. Q4 2025 Earnings Report Preview Earnings Breakdown: Praxis Q4
• Negative Sentiment: Praxis reported a Q4 EPS miss: ($3.50) vs. consensus ($3.00). That shortfall, and any weaker near‑term revenue or guidance, pressures the stock while the market digests when/if revenue will ramp from product launches. Earnings Report & Conference Call
• Negative Sentiment: Wedbush raised its price target to $130 but kept an Underperform rating — the new PT implies a very large downside relative to the recent share price and may amplify selling from investors focused on near‑term valuation. Wedbush Raises PT to $130 While Maintaining Underperform

Praxis Precision Medicines Company Profile

Praxis Precision Medicines is a clinical-stage biopharmaceutical company focused on discovering and developing precision therapies for disorders driven by neuronal excitability. The company applies translational neuroscience and genetic insights to design small molecule drugs that target specific ion channels and receptor subtypes implicated in neurological and psychiatric conditions. Its research aims to address unmet needs in rare epilepsies, essential tremor, treatment-resistant depression and other central nervous system (CNS) disorders.

The company’s pipeline includes several lead candidates at various stages of development.