Sanofi stock jumped Friday after the pharma titan crushed third-quarter vaccine sales expectations and smashed profit expectations.
According to FactSet, the company posted profit of $1.54 per share on $14.51 billion in sales. Those numbers came in ahead of expectations for $1.35 a share and $14.19 billion in sales. Sales grew 15.7% in constant currency, Sanofi said in a news release.
Revenue from vaccines surged 25.5%, helped by flu sales and Beyfortus. The company noted it had extra manufacturing capacity for Beyfortus, an antibody drug to help prevent respiratory syncytial virus in infants. Also called RSV, the virus causes coldlike symptoms in most people. But it can be serious or deadly in people with compromised or nonexistent immune systems.
CFRA analyst Wan Nurhayati kept a buy rating on Sanofi stock.
"Sanofi expects to record similar Beyfortus sales in the fourth quarter but continues to expect a low single-digit decline in flu vaccine sales for the full year due to soft vaccination rates," Nurhayati said in a report.
Sanofi stock jumped 4.4% to 54.34. Shares are forming a flat base with a buy point at 58.97, according to MarketSurge. But Sanofi shares have fallen below a ceiling at their 50-day moving average.
Sanofi Stock: Raised Earnings Outlook
Dupixent sales also beat expectations at roughly $3.82 billion, Piper Sandler analyst Christopher Raymond said in a report. This is important for partner Regeneron Pharmaceuticals. Dupixent sales advanced nearly 24% year over year.
He rates Regeneron stock as overweight, but doesn't have a rating on Sanofi stock.
Sanofi raised its earnings outlook for the year. The company now expects profit to climb by at least a low single-digit percentage, excluding the impact of exchange rates. Exchange rates are still expected to have a 5.5% to 6.5% negative impact on earnings.
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