2018 was a strong year for pharmaceutical stocks, more specifically small-cap pharma stocks. Neos Therapeutics, Inc. (NASDAQ:NEOS), however, was not among that group and performed extremely poorly in 2018.
Today, NEOS stock is making quite the comeback, up +20%. Will today’s company news keep the stock green for a while? Let’s find out!
Neos Therapeutics Reports Q4 and Full 2018 Earnings
Neos Therapeutics released its Q4 and full 2018 earnings today and investors seem thrilled with the company’s turnaround. The pharmaceutical company’s three commercial ADHD products showed continued growth for the year. Its Cotempla XR-ODT saw a 412% increase year-over-year.
In Q4, Neos saw an 8.4% increase in its ADHD prescriber base, growing greater than 11,000 patients. The company’s average number of prescriptions written per portfolio prescriber was 9.7 TRx, an 18.3% increase compared to the 8.2 TRx in Q4 2017. Neos stock is among the top performing pharmaceutical stocks on the Russell 2000 today.
In Q4, Neos brought in a gross profit of $7.6 million. The total product revenue for the company during this period was $15.4 million, compared to the $9.2 million from Q4 2017. For the full year, Neos brought in $50 million, compared to the $27.1 million from 2017.
In November of 2018, Neos unveiled a new commercial strategy for its company. This new strategy includes a territory realignment, new optimized salesforce structure, and expanded distribution network. Neos is focusing specifically on its sales in its three ADHD medicine—something it believes will drive continued growth for the company.
Jerry McLaughlin, Chief Executive Officer of Neos Therapeutics, said:
“We look forward to continuing to execute on this new strategy as we help more patients living with ADHD and advance toward becoming cash self-sufficient while also exploring opportunities within and beyond our current core focus in ADHD.”
Pharmaceutical Stocks: NEOS Stock Movement
Today, NEOS is trading up over +20%. At the time of writing, the pharmaceutical stock is trading at $2.75 a share, up +$0.53 (+23.87%).
In the last 12 months, NEOS stock has dropped -72%, but its recent earnings show some promise for the company’s ADHD medicines. While it may not rebound that quickly, its earnings should bring back some investor confidence in the stock.
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