Wednesday, November 04, 2020 8:10:32 PM
This quarterly report represents an earnings surprise of 20%. A quarter ago, it was expected that this diagnostics company would post a loss of $0.18 per share when it actually produced a loss of $0.09, delivering a surprise of 50%.
Over the last four quarters, the company has surpassed consensus EPS estimates three times.
T2 Biosystems, which belongs to the Zacks Medical - Instruments industry, posted revenues of $5.25 million for the quarter ended September 2020, surpassing the Zacks Consensus Estimate by 32.45%. This compares to year-ago revenues of $1.68 million. The company has topped consensus revenue estimates two times over the last four quarters.
The sustainability of the stock's immediate price movement based on the recently-released numbers and future earnings expectations will mostly depend on management's commentary on the earnings call.
T2 Biosystems shares have added about 15.4% since the beginning of the year versus the S&P 500's gain of 4.3%.
What's Next for T2 Biosystems?
While T2 Biosystems has outperformed the market so far this year, the question that comes to investors' minds is: what's next for the stock?
There are no easy answers to this key question, but one reliable measure that can help investors address this is the company's earnings outlook. Not only does this include current consensus earnings expectations for the coming quarter(s), but also how these expectations have changed lately.
Empirical research shows a strong correlation between near-term stock movements and trends in earnings estimate revisions. Investors can track such revisions by themselves or rely on a tried-and-tested rating tool like the Zacks Rank, which has an impressive track record of harnessing the power of earnings estimate revisions.
Ahead of this earnings release, the estimate revisions trend for T2 Biosystems was mixed. While the magnitude and direction of estimate revisions could change following the company's just-released earnings report, the current status translates into a Zacks Rank #3 (Hold) for the stock. So, the shares are expected to perform in line with the market in the near future. You can see the complete list of today's Zacks #1 Rank (Strong Buy) stocks here.
It will be interesting to see how estimates for the coming quarters and current fiscal year change in the days ahead. The current consensus EPS estimate is -$0.09 on $10.15 million in revenues for the coming quarter and -$0.45 on $19.21 million in revenues for the current fiscal year.
Investors should be mindful of the fact that the outlook for the industry can have a material impact on the performance of the stock as well. In terms of the Zacks Industry Rank, Medical - Instruments is currently in the bottom 30% of the 250 plus Zacks industries. Our research shows that the top 50% of the Zacks-ranked industries outperform the bottom 50% by a factor of more than 2 to 1.
https://www.zacks.com/stock/news/1096760/t2-biosystems-ttoo-reports-q3-loss-tops-revenue-estimates?art_rec=quote-stock_overview-zacks_news-ID01-txt-1096760
Recent TTOO News
- T2 Biosystems Announces Commercial Expansion Through Hong Kong and Macau Distributor • GlobeNewswire Inc. • 06/25/2024 01:00:00 PM
- Form EFFECT - Notice of Effectiveness • Edgar (US Regulatory) • 06/05/2024 04:15:05 AM
- Form S-3 - Registration statement under Securities Act of 1933 • Edgar (US Regulatory) • 05/25/2024 01:04:14 AM
- Form 8-K - Current report • Edgar (US Regulatory) • 05/22/2024 08:49:54 PM
- T2 Biosystems Regains Compliance with Nasdaq Continued Listing Requirements • GlobeNewswire Inc. • 05/22/2024 01:00:00 PM
- Form 8-K - Current report • Edgar (US Regulatory) • 05/20/2024 11:00:55 AM
- T2 Biosystems Announces Closing of $8 Million Private Placement Priced At-The-Market Under Nasdaq Rules • GlobeNewswire Inc. • 05/17/2024 08:05:00 PM
- T2 Biosystems Announces $8 Million Private Placement Priced At-The-Market Under Nasdaq Rules • GlobeNewswire Inc. • 05/15/2024 11:00:00 AM
- T2 Biosystems Announces CRG’s Conversion from Preferred Stock to Common Stock • GlobeNewswire Inc. • 05/14/2024 09:00:00 PM
- Form RW - Registration Withdrawal Request • Edgar (US Regulatory) • 05/14/2024 08:55:31 PM
- Form 8-K - Current report • Edgar (US Regulatory) • 05/14/2024 08:43:56 PM
- Form SC 13D/A - General statement of acquisition of beneficial ownership: [Amend] • Edgar (US Regulatory) • 05/13/2024 11:21:56 PM
- Form 4 - Statement of changes in beneficial ownership of securities • Edgar (US Regulatory) • 05/13/2024 10:19:50 PM
- Form SC 13D/A - General statement of acquisition of beneficial ownership: [Amend] • Edgar (US Regulatory) • 05/07/2024 11:46:58 PM
- Form 4 - Statement of changes in beneficial ownership of securities • Edgar (US Regulatory) • 05/07/2024 08:57:09 PM
- Form 8-K - Current report • Edgar (US Regulatory) • 05/07/2024 08:48:00 PM
- T2 Biosystems Announces Letter of Intent to Enter Strategic Partnership for Lyme Disease • GlobeNewswire Inc. • 05/07/2024 01:00:00 PM
- Form S-1/A - General form for registration of securities under the Securities Act of 1933: [Amend] • Edgar (US Regulatory) • 05/06/2024 09:27:39 PM
- Form 8-K - Current report • Edgar (US Regulatory) • 05/06/2024 09:24:01 PM
- Form 10-Q - Quarterly report [Sections 13 or 15(d)] • Edgar (US Regulatory) • 05/06/2024 09:19:02 PM
- T2 Biosystems Announces First Quarter 2024 Financial Results • GlobeNewswire Inc. • 05/06/2024 08:34:38 PM
- T2 Biosystems Announces Commercial Expansion Through Middle East Distributor • GlobeNewswire Inc. • 05/06/2024 08:34:16 PM
- T2 Biosystems Announces the Conversion of an Additional $15 Million of CRG Term Loan into Equity • GlobeNewswire Inc. • 05/06/2024 08:29:41 PM
- Form S-1/A - General form for registration of securities under the Securities Act of 1933: [Amend] • Edgar (US Regulatory) • 05/06/2024 11:48:38 AM
- T2 Biosystems to Report First Quarter 2024 Financial Results and Business Updates on May 6, 2024 • GlobeNewswire Inc. • 04/24/2024 01:00:00 PM
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