CytomX Therapeutics CTMX, a clinical-stage oncology company, is expected to beat first-quarter 2025 earnings when it reports quarterly results soon. (Find the latest earnings estimates and surprises on Zacks Earnings Calendar.)
The Zacks Consensus Estimate for CTMX’s earnings per share in the to-be-reported quarter is currently pegged at 18 cents. CytomX recognizes collaboration revenues from its ongoing partnership agreements with several biotech companies like Amgen AMGN, Astellas, Bristol Myers, Moderna, AbbVie and Regeneron. The Zacks Consensus Estimate for revenues is pinned at $35.52 million.
Let's see how things have shaped up for the upcoming quarterly release.
Factors to Consider Regarding CTMX’s Q1 Earnings
In the absence of a marketed product, investors will look for updates on the company’s pipeline in the upcoming earnings call.
In January 2025, CytomX announced its investigational candidate, CX-2051 (EpCAM PROBODY ADC), as its lead program. The candidate is initially being developed for advanced metastatic colorectal cancer (CRC) in a phase I dose-escalation study, which is currently enrolling patients.
The decision was taken as part of the company’s strategic objectives for 2025. Initial data from the early-stage CRC study is expected in the first half of 2025.
Year to date, CytomX shares have plunged 25.7% compared with the industry’s 5.8% decline.
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CytomX is simultaneously evaluating the safety and initial clinical activity for its second pipeline candidate, CX-801 (PROBODY Interferon-alpha 2b), as a monotherapy and in combination with Merck’s blockbuster oncology drug, Keytruda (pembrolizumab), in a phase I dose-escalation study to treat metastatic melanoma. Initial data is expected in the second half of 2025.
In January 2025, CytomX also announced plans to reduce its workforce by about 40% to prioritize clinical programs and enhance financial flexibility. Management expects the resulting cost savings to primarily support non-partnered early-stage research and administrative functions.
The workforce reductions are expected to have been completed. Investors will probably get an update regarding this restructuring plan on the upcoming earnings call. Restructuring savings and prioritized clinical development are expected to extend CytomX's cash runway through second-quarter 2026.
Research and Development expenses in the to-be-reported quarter are likely to have risen due to increased clinical development costs for pipeline candidates.
However, general and administrative expenses are expected to have declined year over year, reflecting the company’s workforce reductions during the first quarter.
CytomX, in collaboration with Amgen, was developing CX-904 (EGFR-CD3 PROBODY TCE) in an early-stage study evaluating the candidate’s safety and anti-tumor activity across multiple EGFR-positive tumor types. However, in the last earnings release, CTMX and Amgen jointly decided not to develop CX-904 further, based on clinical observations and CytomX’s shift of focus.
CTMX’s Earnings Surprise History
CytomX has a mixed earnings surprise history. It beat estimates in three of the trailing four quarters and missed on the remaining occasion, delivering an average surprise of 180.70%. In the last reported quarter, the company came up with an earnings surprise of 210%.
Earnings Whispers for CTMX
Our proven model predicts an earnings beat for CytomX this time around. The combination of a positive Earnings ESP and a Zacks Rank #1 (Strong Buy), 2 (Buy), or 3 (Hold) increases the odds of an earnings beat, which is the case here, as you will see below. You can uncover the best stocks to buy or sell before they're reported with our Earnings ESP Filter.
Earnings ESP of CTMX: CTMXhas an Earnings ESP of +38.89% as the Most Accurate Estimate currently stands at 25 cents, higher than the Zacks Consensus Estimate, which is pegged at 18 cents.
CTMX’s Zacks Rank: CTMXcurrently carries a Zacks Rank #2.
CytomX Therapeutics, Inc. Price, Consensus and EPS Surprise
CytomX Therapeutics, Inc. Price, Consensus and EPS Surprise
CytomX Therapeutics, Inc. price-consensus-eps-surprise-chart | CytomX Therapeutics, Inc. Quote
Other Stocks to Consider
Here are some other stocks worth considering from the healthcare space, as our model shows that these also have the right combination of elements to beat on earnings this reporting cycle.
argenx ARGX has an Earnings ESP of +10.92% and a Zacks Rank #2 at present. You can see the complete list of today’s Zacks #1 Rank stocks here.
argenx stock has lost 2.4% year to date. ARGX beat on earnings in two of the last four quarters and missed in the other two, delivering an average surprise of 345.11%.
Novavax NVAX has an Earnings ESP of +495.75% and a Zacks Rank #3 at present.
Shares of Novavax have lost 12.1% year to date. NVAX’s earnings beat estimates in two of the trailing four quarters and missed in the other two, delivering an average negative surprise of 0.48%.
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