Shares of TG Therapeutics soared Monday after the company more than doubled Wall Street's first-quarter sales expectations. TGTX stock rocketed to a five-month high.
In the first three months of the year, multiple sclerosis treatment Briumvi generated $7.8 million in sales, crushing expectations for $3.4 million in sales, according to FactSet. There have been more than 400 Briumvi prescriptions since the drug launched in late January. Losses were also narrower than expected at 28 cents per share vs. calls for a loss of 36 cents a share.
The results exceeded TG's own expectations, says Chief Executive Michael Weiss.
"Overall, I believe our team is doing a fantastic job and I am pleased to share that in our first partial quarter, essentially two months of commercial availability, we generated approximately $8 million in net sales," he said in a written statement.
On today's stock market, TGTX stock surged 23.4% to close at 30.64. Shares hit their highest point since mid-November.
TGTX Stock: Already High Expectations
Briumvi treats relapsing forms of multiple sclerosis. It's given in a one-hour infusion, twice a year.
"It's gratifying to see that the pre-launch enthusiasm for Briumvi is translating into the commercial setting and the feedback we have heard from both health care providers and patients has been highly encouraging," Weiss said.
Investors already had bullish expectations heading into the report. Last month, Cantor Fitzgerald analyst Prakhar Agrawal said Briumvi had a "solid jump" in sales during March. In response, TGTX stock catapulted nearly 42% higher over two days.
Two months into the launch, half of insured people in the U.S. have access to Briumvi, the company said in its news release. Further, the Centers for Medicare and Medicaid Services will assign Briumvi a permanent code in July. That will help with medical claims from Medicare beneficiaries.
Highly Rated Biotech Stock
TGTX stock has a perfect Relative Strength Rating of 99. This means shares rank in the top 1% of all stocks when it comes to 12-month performance, according to IBD Digital.
Shares broke out of a consolidation with a buy point at 19.69 last month, MarketSmith.com shows. TGTX stock is now well above a profit-taking zone.
Follow Allison Gatlin on Twitter at @IBD_AGatlin.
