Stoke Therapeutics (NASDAQ:STOK) Releases Earnings Results, Misses Estimates By $0.15 EPS

Stoke Therapeutics (NASDAQ:STOK) issued its quarterly earnings results on Thursday. The company reported ($1.08) earnings per share for the quarter, missing analysts’ consensus estimates of ($0.93) by ($0.15), FiscalAI reports. The business had revenue of $11.26 million for the quarter, compared to analyst estimates of $8.21 million. Stoke Therapeutics had a negative return on equity of 59.36% and a negative net margin of 753.60%.

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

• EMPEROR Phase III remains on track: Approximately 110 of 162 patients have reached the week 28 primary endpoint visit, about 20 have completed the 52-week treatment period, and no patients have discontinued treatment. Stoke continues to expect topline data in Q3 2027.
• The FDA agreed that Stoke may use a multicomponent Vineland-3 assessment covering four cognitive and behavioral subdomains for the planned U.S. NDA. Management believes this approach better reflects Dravet syndrome’s variability and improves statistical power; the company does not currently anticipate an advisory committee meeting.
• Stoke is advancing its potential commercial launch of zorevunersen, estimating approximately 6,000 immediately addressable U.S. pediatric patients and increasing awareness among treatment centers, payers, and neurologists. The company is preparing patient services, market access, and treatment-site infrastructure for a potential launch in early 2028.
• The STK-002 program for autosomal dominant optic atrophy is progressing, with dosing underway in the third OSPREY cohort and a fourth cohort expected to begin in early 2027. Initial safety and efficacy data from higher-dose cohorts are anticipated in the first half of 2027.
• Stoke ended the quarter with $358.8 million in cash, cash equivalents, and marketable securities, while reporting a quarterly net loss of $73.6 million. Including expected Biogen reimbursements and a potential development milestone, management expects its cash position to fund operations into early 2028.

Stoke Therapeutics Price Performance

Stoke Therapeutics stock traded down $0.08 during trading hours on Friday, reaching $26.27. The company had a trading volume of 406,931 shares, compared to its average volume of 822,492. Stoke Therapeutics has a 12-month low of $20.32 and a 12-month high of $40.22. The company has a 50-day moving average price of $27.53 and a 200 day moving average price of $30.90. The firm has a market cap of $1.70 billion, a price-to-earnings ratio of -7.88 and a beta of 1.26.

Analyst Upgrades and Downgrades

A number of research firms have issued reports on STOK. Wedbush increased their target price on shares of Stoke Therapeutics from $38.00 to $40.00 and gave the stock an “outperform” rating in a research report on Tuesday, August 4th. JPMorgan Chase & Co. initiated coverage on Stoke Therapeutics in a research note on Friday, August 21st. They issued an “overweight” rating and a $40.00 target price for the company. Chardan Capital restated a “buy” rating and set a $35.00 price target on shares of Stoke Therapeutics in a research report on Tuesday, August 4th. Guggenheim reaffirmed a “buy” rating and set a $60.00 price objective on shares of Stoke Therapeutics in a report on Tuesday, August 4th. Finally, The Goldman Sachs Group reissued a “buy” rating and issued a $43.00 target price on shares of Stoke Therapeutics in a research note on Friday. Ten research analysts have rated the stock with a Buy rating and one has issued a Sell rating to the stock. According to data from MarketBeat, the company currently has a consensus rating of “Moderate Buy” and a consensus price target of $44.17.

Insider Buying and Selling

In other news, General Counsel Jonathan Allan sold 2,861 shares of Stoke Therapeutics stock in a transaction that occurred on Tuesday, August 18th. The stock was sold at an average price of $32.03, for a total value of $91,637.83. Following the completion of the transaction, the general counsel owned 21,225 shares in the company, valued at approximately $679,836.75. The trade was a 11.88% decrease in their position. The sale was disclosed in a document filed with the Securities & Exchange Commission, which can be accessed through the SEC website. The sale was made to cover tax withholding obligations related to the vesting of equity awards. Also, Director Edward M. Md Kaye sold 12,567 shares of the stock in a transaction on Tuesday, August 18th. The stock was sold at an average price of $32.03, for a total value of $402,521.01. Following the transaction, the director directly owned 124,557 shares in the company, valued at $3,989,560.71. The trade was a 9.16% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. The sale was made to cover tax withholding obligations related to the vesting of equity awards. Insiders sold a total of 34,594 shares of company stock worth $1,069,305 in the last three months. Insiders own 9.60% of the company’s stock.

About Stoke Therapeutics

Stoke Therapeutics, Inc is a clinical-stage biotechnology company focused on developing genetic medicines for severe diseases caused by insufficient protein production. The company uses its proprietary TANGO (Targeted Augmentation of Nuclear Gene Output) platform to design antisense oligonucleotides that can increase the expression of specific genes and potentially address the underlying causes of genetic disorders.

Stoke’s leading product candidate is STK-001, an investigational antisense oligonucleotide being developed for the treatment of Dravet syndrome, a severe genetic epilepsy most commonly associated with mutations in the SCN1A gene.