Axsome Therapeutics (NASDAQ:AXSM) Releases Earnings Results, Misses Estimates By $0.41 EPS

Axsome Therapeutics (NASDAQ:AXSM) released its quarterly earnings results on Monday. The company reported ($1.26) earnings per share for the quarter, missing analysts’ consensus estimates of ($0.85) by ($0.41), FiscalAI reports. The business had revenue of $191.20 million for the quarter, compared to the consensus estimate of $191.10 million. Axsome Therapeutics had a negative net margin of 28.69% and a negative return on equity of 232.61%. The business’s quarterly revenue was up 57.4% on a year-over-year basis.

Here are the key takeaways from Axsome Therapeutics’ conference call:

• FDA approved Auvelity for agitation associated with Alzheimer’s disease (first?in?class) and Axsome raised the Auvelity franchise peak sales outlook to at least $8 billion, roughly split between MDD and ADA.
• Axsome reported Q1 revenue of $191.2 million (up 57% YoY) with Auvelity net product revenue of $153.2 million, and ended the quarter with about $305 million in cash, which management says funds operations into cash?flow positivity under the current plan.
• Management substantially expanded commercial reach — Auvelity sales force to ~630 reps and Symbravo to ~150 reps, with improved payer coverage (Auvelity ~86% of lives) to support the June launch for Alzheimer’s agitation and broader uptake.
• Pipeline advancement — NDA submitted for AXS?12 (cataplexy/narcolepsy), multiple Phase III initiations imminent (AXS?05 smoking cessation, solriamfetol programs, AXS?14 fibromyalgia), and acquisition of AXS?20 (PDE10A) for schizophrenia and Tourette syndrome.
• Near?term margin pressure — SG&A rose to $185 million (driven by pre?launch and sales expansion), R&D increased to $52.7 million, net loss widened to $64.5 million, and gross?to?net discounts remain elevated (Auvelity/Sunosi low?mid 50s; Symbravo high 70s), which could weigh on near?term profitability.

Axsome Therapeutics Stock Performance

NASDAQ AXSM opened at $224.03 on Tuesday. The company has a debt-to-equity ratio of 1.38, a current ratio of 1.55 and a quick ratio of 1.48. The firm has a market capitalization of $11.52 billion, a price-to-earnings ratio of -60.71 and a beta of 0.59. The company’s fifty day moving average is $170.95 and its two-hundred day moving average is $162.68. Axsome Therapeutics has a 52-week low of $96.09 and a 52-week high of $234.29.

Insiders Place Their Bets

In other Axsome Therapeutics news, Director Mark Coleman sold 25,000 shares of the firm’s stock in a transaction on Thursday, February 26th. The shares were sold at an average price of $161.11, for a total value of $4,027,750.00. Following the sale, the director directly owned 47,140 shares in the company, valued at $7,594,725.40. This trade represents a 34.65% decrease in their position. The transaction was disclosed in a document filed with the SEC, which is available at the SEC website. Also, COO Mark L. Jacobson sold 35,378 shares of the firm’s stock in a transaction on Thursday, February 26th. The stock was sold at an average price of $161.88, for a total transaction of $5,726,990.64. The disclosure for this sale is available in the SEC filing. Insiders have sold 67,878 shares of company stock worth $11,122,891 in the last ninety days. Insiders own 22.30% of the company’s stock.

Institutional Trading of Axsome Therapeutics

Several hedge funds and other institutional investors have recently bought and sold shares of the stock. Birchview Capital LP grew its position in Axsome Therapeutics by 1.0% in the 4th quarter. Birchview Capital LP now owns 6,061 shares of the company’s stock worth $1,107,000 after purchasing an additional 61 shares during the last quarter. Xponance LLC boosted its position in shares of Axsome Therapeutics by 2.4% during the 4th quarter. Xponance LLC now owns 3,265 shares of the company’s stock valued at $596,000 after acquiring an additional 76 shares in the last quarter. Vanguard Personalized Indexing Management LLC boosted its position in shares of Axsome Therapeutics by 4.2% during the 4th quarter. Vanguard Personalized Indexing Management LLC now owns 2,190 shares of the company’s stock valued at $400,000 after acquiring an additional 89 shares in the last quarter. Great Lakes Advisors LLC boosted its position in shares of Axsome Therapeutics by 1.3% during the 4th quarter. Great Lakes Advisors LLC now owns 6,765 shares of the company’s stock valued at $1,236,000 after acquiring an additional 89 shares in the last quarter. Finally, Kemnay Advisory Services Inc. acquired a new stake in shares of Axsome Therapeutics during the 4th quarter valued at about $31,000. 81.49% of the stock is currently owned by institutional investors and hedge funds.

More Axsome Therapeutics News

Here are the key news stories impacting Axsome Therapeutics this week:

• Positive Sentiment: Q1 revenue beat and strong year-over-year growth: Net product revenue was $191.2M (vs. $191.1M consensus) and up ~57% year-over-year, driven by Auvelity ($153.2M) and Sunosi ($33.9M). This supports continued commercial momentum across core products. Read More.
• Positive Sentiment: Regulatory and pipeline progress: Auvelity received an approval for agitation associated with dementia due to Alzheimer’s disease, and Axsome submitted an NDA for AXS?12 (cataplexy). The company also added AXS?20 (PDE10A inhibitor) to the pipeline—these expand addressable markets and future revenue potential. Read More.
• Positive Sentiment: Analyst/broker tone and investor engagement: Broker consensus is a “Moderate Buy,” and management will be participating in multiple investor conferences in May (BofA, fireside chat, etc.), which can boost visibility and help reprice expectations. Read More. Read More.
• Neutral Sentiment: Company events and disclosures: Management hosted a conference call and published a slide deck and transcript; analysts will parse details on unit trends and cost trajectory during conference appearances. Read More.
• Negative Sentiment: EPS miss and continued losses: Reported EPS was a loss of $1.26 vs. consensus -$0.85 (miss), and the company remains unprofitable with negative margins and ROE metrics—this leaves valuation sensitive to execution. Read More.
• Negative Sentiment: Mixed product trends flagged by analysts: Despite strong YoY growth, some analysts note sequential declines in Auvelity and Sunosi sales and call management’s peak revenue targets ambitious, which could limit upside if sustained. Read More.

Wall Street Analyst Weigh In

AXSM has been the topic of a number of research analyst reports. Leerink Partners raised their target price on shares of Axsome Therapeutics from $150.00 to $205.00 and gave the company an “outperform” rating in a research note on Wednesday, January 28th. Robert W. Baird set a $209.00 target price on shares of Axsome Therapeutics in a research note on Tuesday, January 13th. Piper Sandler reiterated an “overweight” rating and issued a $258.00 target price on shares of Axsome Therapeutics in a research note on Monday. Mizuho set a $230.00 target price on shares of Axsome Therapeutics in a research note on Thursday, February 19th. Finally, UBS Group raised their target price on shares of Axsome Therapeutics from $251.00 to $259.00 and gave the company a “buy” rating in a research note on Friday, April 10th. One equities research analyst has rated the stock with a Strong Buy rating, eighteen have issued a Buy rating and two have issued a Sell rating to the company. According to data from MarketBeat.com, Axsome Therapeutics presently has a consensus rating of “Moderate Buy” and a consensus price target of $235.79.

Axsome Therapeutics Company Profile

Axsome Therapeutics, Inc is a clinical-stage biopharmaceutical company dedicated to developing novel therapies for central nervous system (CNS) disorders. The company focuses on small-molecule drugs designed to address unmet medical needs in areas such as depression, migraine, narcolepsy and fibromyalgia. Axsome employs a precision medicine approach, leveraging pharmacologic innovation to target underlying mechanisms of disease and improve patient outcomes.

Axsome’s pipeline includes several late-stage and approved product candidates.