BioCryst Hit 15-Year Highs But What's In Store Tomorrow For Earnings?

By StoryTrading

BioCryst’s BCRX stock price hit 15-year highs since our article was published on Benzinga earlier this month, but with the oral prophylactic treatment provider’s 2021 financial results due out this Wednesday, some traders may be wondering whether it’s time to take some money off the table.

A flurry of positive news and steadily rising sentiment could already be baked into the value of BCRX since StoryTrading contributor Zak Keller provided an update to our community. Technically, BCRX is up 59.5 percent in the last three months, countering iShares’ Biotechnology ETF (IBB), which fell 18.6 percent during the same time period. BCRX is also up more than 370 percent since the stock was presented to StoryTrading as a VIP Pick in August 2020.  

The StoryTrading community empowers individuals to make the best-informed trade and investment decisions through a holistic view of stocks based on the four pillars of Fundamentals, Catalysts, Sentiment, and Technicals. Following is a quick review of these pillars in preparation for BCRX’s 2021 results.

BCRX specializes in treatments for rare diseases and already has a drug on the market called Orladeyo, which was FDA approved in 2020 to treat hereditary angioedema (HAE). From a fundamentals perspective, the Research Triangle, N.C.-based company already said last month it expects net revenue of Orladeyo to more than double in 2022 to “no less than $250 million.” 

BCRX also said it expects Orladeyo net revenues of $122 for 2021 and the drug to become the market leader in HAE prophylaxis therapy with peak sales of $1 billion, although no timetable was assigned for achieving this milestone. 

Looking at catalysts, BCRX is now enrolling patients in pivotal REDEEM-1 and REDEEM-2 trials for BCX9930, its Factor D inhibitor that has eight treatment indications, including two for hematology, three for rheumatology, and three for nephrology. We expect an update from management on how the enrollment is going when the company reports its results Wednesday.  

Sentiment has improved for BCRX following a flurry of positive news since late 2021, as well as continued disclosures from management on strong sales performance in the future. And technical performance has been a bright spot for BCRX for several months now. 

So, looking at BCRX through the lens of StoryTrading’s four pillars, including fundamentals, catalysts, sentiment and technicals, are traders ready to take some money off the table? That's for you and the rest of the market to determine. We'll be here to tell the story as events unfold!

Disclaimer: The Author has a LONG position in BCRX.