Incyte (INCY) Down 4.2% Since Last Earnings Report: Can It Rebound?

A month has gone by since the last earnings report for Incyte (INCY). Shares have lost about 4.2% in that time frame, underperforming the S&P 500.Will the recent negative trend continue leading up to its next earnings release, or is Incyte due for a breakout? Well, first let's take a quick look at the most recent earnings report in order to get a better handle on the recent drivers for Incyte Corporation before we dive into how investors and analysts have reacted as of late.INCY Q4 Earnings Miss Estimates, Revenues Beat on Higher Product SalesIncyte Corporation reported fourth-quarter 2025 adjusted earnings of $1.80 per share, which missed the Zacks Consensus Estimate of $1.94, primarily due to higher operating expenses. The company had reported adjusted earnings of $1.43 per share in the year-ago quarter.Total revenues in the fourth quarter were $1.51 billion, which grew 28% year over year, driven primarily by the sustained performance of its lead drug, Jakafi (ruxolitinib), and increased sales of Opzelura (ruxolitinib) cream on strong launch and demand. The top line beat the Zacks Consensus Estimate of $1.35 billion.INCY's Q4 Results in DetailRevenues from the sale of Jakafi, a first-in-class JAK1/JAK2 inhibitor approved for polycythemia vera, myelofibrosis and refractory acute graft-versus-host disease (GVHD), came in at $828.2 million, up 7% from the year-ago quarter’s level, owing to an 11% increase in paid demand. Jakafi's sales beat the Zacks Consensus Estimate of $800 million.Opzelura (ruxolitinib) cream, approved for atopic dermatitis and vitiligo, generated $207.3 million in sales, which rose 28% year over year, and beat the Zacks Consensus Estimate of $195.9 million. The year-over-year rise in sales was driven by increased patient demand and refills in the United States for both its approved indications.The newly approved medicine Zynyz (retifanlimab-dlwr) generated sales of $31.7 million, which significantly increased from the year-ago quarter and beat the Zacks Consensus Estimate of $21.7 million. The company obtained accelerated approval for Zynyz to treat metastatic or recurrent locally advanced Merkel cell carcinoma. Net product revenues of Iclusig were $34.2 million, up 25% year over year. The figure beat the Zacks Consensus Estimate of $30.7 million. Pemazyre generated $23.4 million in sales, reflecting a year-over-year increase of 1%. The figure also surpassed the Zacks Consensus Estimate of $22.9 million.Minjuvi's revenues totaled $41.9 million, up 28% year over year. The figure marginally beat the Zacks Consensus Estimate of $41.2 million. Incyte gained worldwide exclusive global rights for tafasitamab from MorphoSys AG, which is marketed as Monjuvi in the United States and as Minjuvi in the ex-U.S. markets in 2024.Incyte and partner Syndax Pharmaceuticals obtained FDA approval for axatilimab-csfr, an anti-CSF-1R antibody, for the treatment of GVHD after the failure of at least two prior lines of systemic therapy in adult and pediatric patients weighing at least 40 kg. The candidate was approved under the brand name Niktimvo. The drug is Incyte’s second approved treatment for chronic GVHD (third-line) and was launched in the United States during the first quarter of 2025. The drug recorded $56 million in sales in the fourth quarter of 2025, up 22% sequentially, driven by strong uptake.Jakafi is marketed by Incyte in the United States and by Novartis as Jakavi in ex-U.S. markets. Jakavi royalty revenues from Novartis for commercialization in ex-U.S. markets rose 14% to $130.2 million. Jakavi royalties beat the Zacks Consensus Estimate of $123.7 million.Incyte also receives royalties from the sales of Tabrecta (capmatinib) for the treatment of adult patients with metastatic non-small-cell lung cancer. Its partner, Novartis, has exclusive worldwide development and commercialization rights for Tabrecta. Royalty revenues from the drug’s sales amounted to $7.1 million, up 14% year over year. However, the reported figure missed the Zacks Consensus Estimate of $8.6 million.Olumiant’s (baricitinib) product royalty revenues from Eli Lilly totaled $43.2 million, up 12% year over year. The figure beat the Zacks Consensus Estimate of $40.1 million. Incyte has a collaboration agreement with Eli Lilly for Olumiant. The drug is a once-daily oral JAK inhibitor discovered by Incyte and licensed to LLY. It is approved for several types of autoimmune diseases.Adjusted research and development (R&D) expenses totaled $575.2 million, up 37% year over year. This increase was primarily due to continued investment in late-stage development assets.Adjusted selling, general and administrative (SG&A) expenses were $365.3 million, up 22% from the prior-year quarter’s number, primarily due to costs associated with the U.S. oncology product launches in 2025 and timing of certain other expenses.INCY’s cash, cash equivalents and marketable securities amounted to $3.6 billion as of Dec. 31, 2025, compared with the $2.9 billion recorded as of Sept. 30, 2025.INCY's Full-Year ResultsFor 2025, Incyte generated revenues of $5.14 billion, reflecting around 21% growth year over year. The figure beat the Zacks Consensus Estimate of $4.97 billion.For the same period, the company reported adjusted earnings of $6.80 per share, which marginally missed the Zacks Consensus Estimate of $6.87.How Have Estimates Been Moving Since Then?It turns out, fresh estimates have trended downward during the past month.The consensus estimate has shifted -8.74% due to these changes.VGM ScoresAt this time, Incyte has a strong Growth Score of A, though it is lagging a lot on the Momentum Score front with an F. However, the stock was allocated a grade of A on the value side, putting it in the top 20% for value investors.Overall, the stock has an aggregate VGM Score of A. If you aren't focused on one strategy, this score is the one you should be interested in.OutlookEstimates have been broadly trending downward for the stock, and the magnitude of these revisions indicates a downward shift. Notably, Incyte has a Zacks Rank #3 (Hold). We expect an in-line return from the stock in the next few months.Performance of an Industry PlayerIncyte belongs to the Zacks Medical - Biomedical and Genetics industry. Another stock from the same industry, Bristol Myers Squibb (BMY), has gained 0.1% over the past month. More than a month has passed since the company reported results for the quarter ended December 2025.Bristol Myers reported revenues of $12.5 billion in the last reported quarter, representing a year-over-year change of +1.3%. EPS of $1.26 for the same period compares with $1.67 a year ago.Bristol Myers is expected to post earnings of $1.46 per share for the current quarter, representing a year-over-year change of -18.9%. Over the last 30 days, the Zacks Consensus Estimate has changed -1.2%.The overall direction and magnitude of estimate revisions translate into a Zacks Rank #3 (Hold) for Bristol Myers. Also, the stock has a VGM Score of A.Zacks Names #1 Semiconductor StockThis under-the-radar company specializes in semiconductor products that titans like NVIDIA don't build. It's uniquely positioned to take advantage of the next growth stage of this market. And it's just beginning to enter the spotlight, which is exactly where you want to be.With strong earnings growth and an expanding customer base, it's positioned to feed the rampant demand for Artificial Intelligence, Machine Learning, and Internet of Things. Global semiconductor manufacturing is projected to explode from $452 billion in 2021 to $971 billion by 2028.See This Stock Now for Free >>Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report Incyte Corporation (INCY): Free Stock Analysis Report Bristol Myers Squibb Company (BMY): Free Stock Analysis ReportThis article originally published on Zacks Investment Research (zacks.com).Zacks Investment ResearchWeiter zum vollständigen Artikel bei Zacks Weiter zum vollständigen Artikel bei Zacks