10 Healthcare Stocks Making Moves After Earnings

Published August 8, 2022 at 9:03 am EDT Updated August 19, 2026 at 8:09 am EDT

In this article, we will take a look at the 10 healthcare stocks making moves after earnings.

The Healthcare sector is usually considered defensive. That’s because pharmaceutical companies, hospitals, medical device makers and other associated businesses continue to benefit from stable consumer demand despite broader macroeconomic headwinds.

Recently, notable healthcare stocks, including Eli Lilly and Company (NYSE:LLY), Cigna Corporation (NYSE:CI) and Zoetis Inc. (NYSE:ZTS), released financial results for the second quarter.

Looking at their price actions, shares of Eli Lilly and Company and Zoetis Inc. fell after missing earnings expectations. On the other hand, Cigna Corporation hit a new 52-week high after delivering solid Q2 results.

Many other healthcare stocks, including Vertex Pharmaceuticals Incorporated (NASDAQ:VRTX) and Becton, Dickinson and Company (NYSE:BDX), were also seen making moves after their recent earnings. We will discuss the financial performance and share price movement of these companies in the remaining article.

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10. BeiGene, Ltd. (NASDAQ:BGNE)

Number of Hedge Fund Holders: 15

Shares of BeiGene, Ltd. (NASDAQ:BGNE) jumped nearly 13 percent on Thursday, August 4, 2022, after its second-quarter revenue rose sharply over last year. The Chinese biotechnology company generated revenue of $341.6 million in the quarter, which more than doubled from $150 million in the comparable period of 2021. Analysts were looking for revenue of $318 million.

Product sales increased to $304.5 million, from $138.6 million in the year-ago period. BeiGene, Ltd. attributed the surge to solid global sales of its anticancer medicine BRUKINSA.

On the downside, BeiGene, Ltd. posted a loss of $5.56 per ADS, wider than a loss of $5.23 per ADS in the comparable period of 2021. Analysts, on average, estimated a loss of $3.97 per ADS.

9. Twist Bioscience Corporation (NASDAQ:TWST)

Number of Hedge Fund Holders: 16

Twist Bioscience Corporation (NASDAQ:TWST) posted a narrower-than-expected loss for its fiscal third quarter and raised its sales outlook for the full year. As a result, its shares jumped more than 12 percent on Friday, August 5, 2022.

The San Francisco-based biotechnology company reported a loss of $1.08 per share, while analysts were looking for a loss of $1.31 per share. In addition, Twist Bioscience Corporation posted revenue of $56.1 million, up 60 percent over the year-ago period and above the consensus of $51.45 million.

Among other updates, Twist Bioscience Corporation reported that it received $59.7 million in orders during the quarter versus $39.1 million in the comparable period of 2021.

Twist Bioscience Corporation now expects to generate revenue of $203 million in its fiscal 2022, up from its previous outlook between $191- $199 million. The updated guidance is better than the consensus of $196.91 million.

8. Organon & Co. (NYSE:OGN)

Number of Hedge Fund Holders: 27

Shares of Organon & Co. slipped nearly three percent on Friday, August 5, 2022, a day after reporting a drop in its Q2 profit and sales. The New Jersey-based company earned $1.25 per share on an adjusted basis, compared to $1.72 per share in the year-ago period.

Revenue inched down one percent on a year-over-year basis to $1.59 billion. Analysts were expecting Organon & Co. to post earnings of $1.25 per share on revenue of $1.54 billion.

Organon & Co. also released its sales outlook for the full year. It projected revenue in the range of $6.1 – $6.3 billion for fiscal 2022, in line with analysts’ average estimate of $6.18 billion.

Meanwhile, BofA downgraded Organon & Co. on Friday, August 5, following its latest quarterly results. BofA analyst Jason Gerberry lowered his ratings for Organon from “Buy” to “Neutral” with a price target of $37 per share for the stock.

Like Organon & Co., Eli Lilly and Company, Cigna Corporation and Zoetis Inc. were also spotted making notable moves after their recent earnings.

7. Doximity, Inc. (NYSE:DOCS)

Number of Hedge Fund Holders: 28

Doximity, Inc. (NYSE:DOCS) surpassed profit and sales expectations for its fiscal first quarter. However, investors seemed disappointed with its revised sales outlook for the full year, sending its shares down more than 7 percent on Friday, August 5, 2022.

The online healthcare interactive platform reported adjusted earnings of 14 cents per share, topping the estimates of 10 cents per share. Revenue came in at $90.6 million, while analysts expected Doximity, Inc. to post revenue of $89.3 million.

Looking forward, Doximity, Inc. now expects revenue of $424 – $432 million for its fiscal 2023, down from its previous projection of $454 – $458 million. The revised guidance is below the consensus of $455.23 million.

Separately, investment management firm ClearBridge Investments also mentioned Doximity, Inc. in its first-quarter 2022 investor letter published earlier this year. Here’s what the firm said:

“Doximity, another new purchase, operates the largest professional social network for physicians. We believe Doximity is poised to gain share within its core addressable market for medical professional marketing, hiring and telehealth solutions. We also see significant opportunity for growth beyond this initial target market, driven by the potential for the company to add new member types, broaden its customer base, expand internationally and offer direct-to-consumer applications. Doximity has a profitable financial model, though we see room for further margin expansion ahead, particularly as growth matures.”

6. Insulet Corporation (NASDAQ:PODD)

Number of Hedge Fund Holders: 40

Shares of Insulet Corporation (NASDAQ:PODD) rose to a nearly four-month high on Friday, August 5, 2022, after beating sales expectations for the second quarter. The medical device company’s revenue increased 13.8 percent on a year-over-year basis to $299.4 million, topping the expectations of $291.45 million.

Revenue from its flagship automated insulin delivery device Omnipod climbed 18.1 percent to $285.8 million in the quarter. On the downside, Insulet Corporation posted a loss of 50 cents per share, contrary to analysts’ average estimate for earnings of 22 cents per share.

Looking forward, Insulet Corporation now expects its sales to grow in the range of 14 – 17 percent in fiscal 2022, compared to its earlier expectations for 12 – 16 percent growth.

A number of research firms improved their price target for Insulet Corporation following its Q2 results. Baird lifted its price target from $245 to $300, while Raymond James increased its price target from $262 to $280.

5. Becton, Dickinson and Company (NYSE:BDX)

Number of Hedge Fund Holders: 49

Shares of Becton, Dickinson and Company rose to a nearly two-month high on Thursday, August 4, 2022. The surge came after the medical technology company beat financial expectations for its fiscal third quarter and lifted its outlook for the full year.

Becton, Dickinson and Company reported adjusted earnings of $2.66 per share, up from $2.28 per share in the year-ago period. Revenue inched up 0.7 percent versus last year to $4.6 billion. The results easily exceeded the consensus of $2.50 per share for earnings and $4.47 billion for revenue.

Becton, Dickinson and Company also released its segment-wise sales results. Revenue from its medical segment rose 4.7 percent to $2.19 billion, while international revenue increased 5.5 percent to $1.14 billion in the quarter. In comparison, revenue from the life science segment fell 8.7 percent to $1.31 billion.

For fiscal 2022, Becton, Dickinson and Company lifted its adjusted profit outlook to a range of $11.28 – $11.35 per share, from its previous guidance between $11.15 – $11.30 per share.

4. Vertex Pharmaceuticals Incorporated (NASDAQ:VRTX)

Number of Hedge Fund Holders: 49

Vertex Pharmaceuticals Incorporated surpassed financial expectations for the second quarter, driven by solid sales of its cystic fibrosis treatment Trikafta. The Boston-based biopharmaceutical company earned $3.60 per share on an adjusted basis, well above 17 cents per share in the year-ago period.

Revenue for the quarter jumped 22 percent on a year-over-year basis to $2.20 billion. Analysts were expecting Vertex Pharmaceuticals Incorporated to post earnings of $3.52 per share on revenue of $2.13 billion.

Looking forward, Vertex Pharmaceuticals Incorporated now expects revenue of $8.6 – $8.8 billion for the full year, up from its previous guidance of $8.4 – $8.6 billion.

Speaking on the results, CEO Reshma Kewalramani said:

“With sustained and growing leadership in CF, programs in five disease areas now entering or progressing through late-stage clinical development and the next wave of innovation beginning to enter the clinic later this year, Vertex has reached a new inflection point. As we reach more CF patients, we are poised to deliver significant, durable financial returns for years to come.”

3. Eli Lilly and Company (NYSE:LLY)

Number of Hedge Fund Holders: 53

Shares of Eli Lilly and Company fell for two consecutive trading sessions after missing financial expectations for the second quarter on Thursday, August 4, 2022. The Indiana-based pharmaceutical giant reported adjusted earnings of $1.25 per share, well below $1.85 per share in the year-ago period.

Revenue for the quarter also fell 4 percent versus last year to $6.49 billion. Analysts were expecting Eli Lilly and Company to earn $1.69 per share on revenue of $6.84 billion.

Eli Lilly and Company also disclosed its region-wise sales performance. Its U.S. revenue rose 6 percent to $3.93 billion, while revenue outside the U.S. plummeted 16 percent to $2.55 billion in the quarter.

Looking forward, Eli Lilly and Company lowered its full-year adjusted earnings outlook to a range of $7.90 – $8.05 per share. Previously, it was looking for adjusted earnings between $8.15 – $8.30 per share.

2. Cigna Corporation (NYSE:CI)

Number of Hedge Fund Holders: 53

Shares of Cigna Corporation hit a new 52-week high of $284.46 on Thursday, August 4, 2022, after delivering solid results for the second quarter. The Connecticut-based healthcare giant reported adjusted earnings of $6.22 per share, up from $5.24 per share in the same period last year.

In addition, Cigna Corporation posted revenue of $45.480 billion, compared to $43.131 billion in the year-ago period. The results easily surpassed the consensus of $5.48 per share for earnings and $44.41 billion for revenue.

Moving forward, Cigna Corporation now anticipates an adjusted profit of at least $22.90 per share for the full year, compared to its previous projection of at least $22.60 per share.

Discussing the results, CEO of Cigna Corporation, David M. Cordani, said:

“Our focus on our customers, patients and clients continues to resonate in the market as our strong results and positive momentum reinforce the value we are delivering. Evernorth and Cigna Healthcare continue driving our strong performance, and our focus on ongoing innovation positions us for sustained, differentiated growth.”

1. Zoetis Inc. (NYSE:ZTS)

Number of Hedge Fund Holders: 67

Zoetis Inc. missed profit expectations for the second quarter and lowered its outlook for the full year. As a result, its shares slipped over three percent on Wednesday, August 4, 2022.

The animal health company reported adjusted earnings of $1.20 per share, below the consensus of $1.22 per share. On the bright side, Zoetis Inc. posted revenue of $2.05 billion, slightly above the expectations of $2.04 billion.

For fiscal 2022, Zoetis Inc. now anticipates adjusted earnings of $4.97 – $5.05 per share and revenue between $8.23 – $8.33 billion. That’s below its previous outlook of $4.99 – $5.09 per share for earnings and $8.23 – $8.38 billion for revenue.

Earlier this year, Zoetis Inc. appeared in the first-quarter 2022 investor letter of investment management firm Baron Funds. Here’s what the firm said:

“Shares of Zoetis Inc., the global leader in the discovery, development, and manufacturing of companion and farm animal health medicine and vaccines, fell along with shares of other high-multiple 2021 standout performers. We retain conviction as Zoetis recently reported a top and bottom line beat with more than 21% growth driven by dermatology, parasiticides, and recently launched monoclonal osteoarthritic treatments. The company’s 2022 guidance was in line with Street expectations, calling for 9% to 11% operational revenue growth and modest margin expansion despite heavy investment in core growth drivers.”

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