Neurocrine Biosciences stock falls on revenue miss

Published 07/02/2025, 15:26
© Reuters.

Investing.com -- Shares of Neurocrine (NASDAQ:NBIX) Biosciences (NASDAQ: NBIX) tumbled 11% as the company reported revenues that fell short of estimates. Despite reporting a 26% growth in INGREZZA® (valbenazine) net product sales for the full year of 2024 compared to the previous year, the company’s guidance for 2025 disappointed investors.

Neurocrine Biosciences announced its financial results for the fourth quarter and full year ended December 31, 2024, emphasizing the launch of CRENESSITY™ (crinecerfont) and the progression of Phase 3 programs for osavampator in major depressive disorder and NBI-’568 in schizophrenia. The company’s CEO, Kyle W. Gano, Ph.D., highlighted the company’s advancements and the positioning for future growth.

However, the company’s net product sales of $615 million in the fourth quarter and $2.3 billion for the full year, representing YoY growth of 23% and 26%, respectively, did not meet analyst expectations. The company’s full-year 2025 net product sales guidance of $2.5 - $2.6 billion also fell below consensus estimates.

Wall Street analysts have adjusted their outlooks in response to the report. BofA Securities analyst Tazeen Ahmad revised the price target to $179.00 (from $184.00) while maintaining a Buy rating. Ahmad noted, "NBIX announced FY24 Ingrezza revenues of $2.31bn (+26% YoY, ours: $2.316bn, cons: $2.32bn). On FY25 outlook, the company guided to FY25 sales of $2.5-2.6bn (+10% YoY growth at the midpoint), which was below Street expectations (ours: $2.69bn, cons: $2.66bn)."

Canaccord Genuity analyst Sumant Kulkarni also lowered the price target to $163.00 (from $172.00) while maintaining a Buy rating. "We are lowering our Ingrezza sales in 2025E from $2.66bn to $2.57bn, which is in the new outlook range," Kulkarni commented.

Cantor Fitzgerald analyst Josh Schimmer reiterated an Overweight rating and a $170.00 price target on Neurocrine Biosciences. Schimmer’s comments included an expectation for the company to add derisked assets to its portfolio and adjustments to both Crennesity and Ingrezza estimates.

Investors are now looking ahead to the first quarter sales figures to gain further clarity on the company’s performance in 2025, as well as the impact of CRENESSITY’s launch and the expansion of the INGREZZA sales force.

This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.

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