The end of the earnings season is always a good time to take a step back and see who shined (and who not so much). Let’s take a look at how therapeutics stocks fared in Q3, starting with BioMarin Pharmaceutical (NASDAQ: BMRN).

Over the next few years, therapeutic companies, which develop a wide variety of treatments for diseases and disorders, face strong tailwinds from advancements in precision medicine (including the use of AI to improve hit rates) and growing demand for treatments targeting rare diseases. However, headwinds such as rising scrutiny over drug pricing, regulatory unknowns, and competition from larger, more resourced pharmaceutical companies could weigh on growth.

The 9 therapeutics stocks we track reported a mixed Q3. As a group, revenues beat analysts’ consensus estimates by 5.7%.

Thankfully, share prices of the companies have been resilient as they are up 5.8% on average since the latest earnings results.

BioMarin Pharmaceutical (NASDAQ: BMRN)

Pioneering treatments for conditions that often had no previous therapeutic options, BioMarin Pharmaceutical (NASDAQ: BMRN) develops and commercializes therapies that address the root causes of rare genetic disorders, particularly those affecting children.

BioMarin Pharmaceutical reported revenues of $776.1 million, up 4.1% year on year. This print was in line with analysts’ expectations, but overall, it was a softer quarter for the company with a significant miss of analysts’ full-year EPS guidance estimates and a significant miss of analysts’ EPS estimates.

"We are pleased with the contributions from our Enzyme Therapies and Skeletal Conditions business units to date this year driven by more than 20% revenue growth from PALYNZIQ and VOXZOGO," said Alexander Hardy, President and Chief Executive Officer of BioMarin.

BioMarin Pharmaceutical scored the highest full-year guidance raise of the whole group. Unsurprisingly, the stock is up 3.7% since reporting and currently trades at $54.60.

Is now the time to buy BioMarin Pharmaceutical? Access our full analysis of the earnings results here, it’s free for active Edge members.

Best Q3: Amgen (NASDAQ: AMGN)

Founded in 1980 during the early days of the biotechnology revolution, Amgen (NASDAQ: AMGN) is a biotechnology company that discovers, develops, and manufactures innovative medicines to treat serious illnesses like cancer, osteoporosis, and autoimmune diseases.

Amgen reported revenues of $9.56 billion, up 12.4% year on year, outperforming analysts’ expectations by 6.7%. The business had a very strong quarter with a solid beat of analysts’ revenue estimates and full-year revenue guidance beating analysts’ expectations.

Amgen achieved the fastest revenue growth among its peers. The market seems happy with the results as the stock is up 13.8% since reporting. It currently trades at $337.58.

Is now the time to buy Amgen? Access our full analysis of the earnings results here, it’s free for active Edge members.

United Therapeutics (NASDAQ: UTHR)

Founded by a mother seeking treatment for her daughter's pulmonary arterial hypertension, United Therapeutics (NASDAQ: UTHR) develops and commercializes medications for chronic lung diseases and other life-threatening conditions, with a focus on pulmonary hypertension treatments.

United Therapeutics reported revenues of $799.5 million, up 6.8% year on year, falling short of analysts’ expectations by 1.6%. It was a softer quarter as it posted a miss of analysts’ revenue estimates and a significant miss of analysts’ EPS estimates.

United Therapeutics delivered the weakest performance against analyst estimates in the group. Interestingly, the stock is up 14.7% since the results and currently trades at $476.43.

Read our full analysis of United Therapeutics’s results here.

Moderna (NASDAQ: MRNA)

Rising to global prominence during the COVID-19 pandemic with one of the first effective vaccines, Moderna (NASDAQ: MRNA) develops messenger RNA (mRNA) medicines that direct the body's cells to produce proteins with therapeutic or preventive benefits for various diseases.

Moderna reported revenues of $1.02 billion, down 45.1% year on year. This number topped analysts’ expectations by 32%. Aside from that, it was a satisfactory quarter as it also recorded a beat of analysts’ EPS estimates but full-year revenue guidance missing analysts’ expectations significantly.

Moderna pulled off the biggest analyst estimates beat but had the slowest revenue growth and slowest revenue growth among its peers. The stock is flat since reporting and currently trades at $23.71.

Read our full, actionable report on Moderna here, it’s free for active Edge members.

Biogen (NASDAQ: BIIB)

Founded in 1978 and pioneering treatments for some of medicine's most complex challenges, Biogen (NASDAQ: BIIB) develops and markets therapies for neurological conditions, including multiple sclerosis, Alzheimer's disease, spinal muscular atrophy, and rare diseases.

Biogen reported revenues of $2.53 billion, up 2.8% year on year. This print beat analysts’ expectations by 8.2%. It was a strong quarter as it also logged an impressive beat of analysts’ revenue estimates and a beat of analysts’ EPS estimates.

The stock is up 18.9% since reporting and currently trades at $175.80.

Read our full, actionable report on Biogen here, it’s free for active Edge members.

Market Update

In response to the Fed’s rate hikes in 2022 and 2023, inflation has been gradually trending down from its post-pandemic peak, trending closer to the Fed’s 2% target. Despite higher borrowing costs, the economy has avoided flashing recessionary signals. This is the much-desired soft landing that many investors hoped for. The recent rate cuts (0.5% in September and 0.25% in November 2024) have bolstered the stock market, making 2024 a strong year for equities. Donald Trump’s presidential win in November sparked additional market gains, sending indices to record highs in the days following his victory. However, debates continue over possible tariffs and corporate tax adjustments, raising questions about economic stability in 2025.

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