Dj Dir Swisher Jr Sells 2200 Of Corcept Therapeutics Inc >Cort

For Immediate Release

Chicago, IL – November 11, 2024 – Today, Zacks Equity Research like Madrigal Pharmaceuticals MDGL, Corcept Therapeutics CORT, Catalyst Pharmaceuticals CPRX, Larimar Therapeutics LRMR and Theravance Biopharma TBPH.

Industry: Small Pharma

Link: https://www.zacks.com/commentary/2367138/5-small-drug-stocks-to-buy-as-trump-gets-re-elected?art_rec=quote-stock_overview-zacks_news-ID01-txt-2367138

The drug industry witnessed major policy changes during Joe Biden's four-year term as U.S. President, including the historic Inflation Reduction Act (“IRA”). With Donald Trump’s reelection, the biotech industry hopes to witness more innovation and mergers and acquisitions (M&A) activity. Efforts to repeal the IRA look likely.

However, it all depends on who is appointed to key roles at federal health agencies. Drug pricing reforms are expected to remain a key priority for the new government. Trump, in his previous term, had put stress on control of drug prices, though it was not highlighted in his election campaign this time around. Regular pipeline setbacks, slow ramp-up of newer drugs, Federal Trade Commission’s (FTC) scrutiny of M&A deals and broader macroeconomic uncertainty are some of the other headwinds for the sector.

Nonetheless, the Zacks Medical-Drugs industry is showing promising trends in 2024 amid increased M&A and positive pipeline news. Innovation is at its peak for the industry, with key spaces like diabetes/obesity, inflammation and neuroscience attracting attention. Investors are particularly interested in developments related to GLP-1 receptor agonists, radiopharmaceuticals and antibody-drug conjugates (ADCs).

These positive factors should keep driving stocks like Madrigal Pharmaceuticals, Corcept Therapeutics, Catalyst Pharmaceuticals, Larimar Therapeutics and Theravance Biopharma.

Industry Description

The Zacks Medical-Drugs industry comprises small and some medium-sized drug companies that make medicines for both human and veterinary use. We have a separate industry outlook discussion on big drugmakers. Small drugmakers have a limited portfolio of marketed drugs or no commercial-stage drugs at all. Some drugmakers are dependent on just one marketed drug or pipeline candidate. For such companies, upfront or milestone payments from collaboration partners — in most cases, their larger counterparts — are the main sources of revenues. These companies need ample free cash flow to fund their R&D activities.

Factors Shaping the Future of the Medical-Drugs Industry

Pipeline Success: The success or failure of key pipeline candidates in clinical studies can significantly drive the stock price of industry players. Successful innovation and product line extensions in important therapeutic areas and strong clinical study results may act as important catalysts for the stocks.

Strong Collaboration Partners: These companies regularly seek external partners and collaborators for complementary strengths. A partnership deal with a popular drugmaker is a good sign about the potential of small pharma companies, especially when an equity investment is included in the deal. M&A deals are in full swing in the sector, signaling growth.

Investment in Technology for Innovation: For these smaller companies, succeeding in a shifting global market and an evolving healthcare landscape requires adopting innovative business models, investing in new technologies and increasing investments in personalized medicines. Over the past few years, scientific and technological advancements have made it possible to develop personalized therapies.

Other than that, adoption and information exchange through the meaningful use of health IT, development of therapies that improve overall patient outcomes and investment in developing and emerging markets are some of the key priorities for drug companies. Artificial intelligence and machine learning techniques are being used for the rapid advancement of drug discovery and target identification processes.

Pipeline Setbacks: The smaller companies have their share of risk in the form of unstable cash flows. Also, the failure of key pipeline candidates in pivotal studies and regulatory and pipeline delays can be huge setbacks for these smaller companies and significantly hurt their share prices.

Zacks Industry Rank Indicates Bright Prospects

The group’s Zacks Industry Rank is basically the average of the Zacks Rank of all the member stocks.

The Zacks Medical-Drugs industry currently carries a Zacks Industry Rank #75, which places it in the top 30% of 250 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.

Before we present you with a few top-ranked stocks to capitalize on the thriving prospects of the small and medium-sized drugmakers’ space, let’s take a look at the industry’s recent stock-market performance and the valuation picture.

Industry Lags S&P 500 and Sector

The Zacks Medical-Drugs industry is a huge 171-stock group within the broader Medical sector. The industry has underperformed the S&P 500 as well as the Zacks Medical sector so far this year.

Stocks in this industry have collectively declined 3.4% year to date against the Zacks S&P 500 composite’s rise of 24.7% and the Zacks Medical sector’s increase of 2.1%.

Industry's Current Valuation

Based on the trailing 12 months price-to-sales ratio (P/S TTM), which is a commonly used multiple for valuing these small drugmakers, the industry is currently trading at 2.24, compared with the S&P 500’s 6.19 and the Zacks Medical sector's 3.44.

Over the last five years, the industry has traded as high as 4.21X, as low as 1.74X and at the median of 2.33X.

5 Drug Stocks to Bet On

Corcept Therapeutics: Redwood City, CA-based Corcept’s sole marketed drug, Korlym, which is approved for treating Cushing's syndrome, has been performing well. Corcept increased its annual revenue guidance for Korlym on the third-quarter conference call owing to strong demand. Corcept has discovered a large portfolio of proprietary compounds, including relacorilant, dazucorilant, exicorilant and miricorilant, which selectively modulate the effects of cortisol but not progesterone. A new drug application for its lead pipeline candidate, relacorilant, for Cushing’s syndrome is expected to be submitted in the fourth quarter of 2024.

The stock of Corcept Therapeutics has risen 67.2% so far this year. The consensus estimate for 2024 earnings has risen from $1.12 to $1.31 per share over the past 30 days. The company has a Zacks Rank #1 (Strong Buy). You can see the complete list of today’s Zacks #1 Rank stocks here. .

Madrigal Pharmaceuticals: Based in West Conshohocken, PA, Madrigal Pharmaceuticals’ drug Rezdiffra was approved in March and became the first and only therapy approved by the FDA for the treatment of adult patients with noncirrhotic NASH with moderate-to-advanced liver fibrosis. The drug’s commercial launch is off to a strong start, driven by early patient demand, growing adoption by prescribers and broader payer coverage. The drug has generated around $77 million in sales so far since launch in April, which is better than management’s expectations.

A regulatory application seeking the approval of Rezdiffra is also under review in the EU. A final decision is expected in mid-2025. Several late-stage studies are ongoing, evaluating the expanded use of Rezdiffra for NASH, including one for compensated NASH/MASH cirrhosis.

Madrigal’s stock is up 53.4% so far this year. Loss estimates for 2024 have improved from $29.49 per share to $24.08 per share over the past 30 days. The company has a Zacks Rank #2 (Buy).

Catalyst Pharmaceuticals: Coral Gables, FL-based Catalyst Pharmaceuticals’ lead drug is Firdapse, which is approved for treating Lambert-Eaton Myasthenic Syndrome (LEMS), an ultra-rare disease. The drug has been witnessing strong demand amid increasing prescription rates and new patient starts. In 2023, CPRX acquired the U.S. rights for Fycompa (perampanel) CIII from Eisai, which diversified the company’s portfolio by adding a commercial-stage epilepsy asset.

Agamree, its newest acquired muscle disorder drug, was launched in the U.S. market in the first quarter of 2024. With Agamree’s approval and launch, Catalyst has further diversified its commercial portfolio. On its third-quarter conference call this week, Catalyst raised its total revenue guidance.

The stock of Catalyst Pharmaceuticals has risen 38.3% so far this year. The consensus estimate for 2024 earnings is stable at $1.92 per share over the past 30 days. The company has a Zacks Rank #2.

Theravance Biopharma: Cayman Islands-based Theravance Biopharma generates revenues in the United States from its collaboration with Viatris related to the sales of Yupelri, a nebulized therapy for chronic obstructive pulmonary disease. The product has been witnessing a strong sales uptake owing to increased customer demand, resulting in increased collaboration revenues for Theravance.

The company’s ongoing restructuring initiatives are saving costs. Theravance is currently focusing on developing its pipeline candidate, ampreloxetine, a norepinephrine reuptake inhibitor for the treatment of symptomatic neurogenic orthostatic hypotension in patients with multiple system atrophy in the phase III CYPRESS study.

The stock of Theravance Biopharma has declined 22.1% so far this year. The consensus estimate for 2024 loss has remained stable at 45 cents share over the past 30 days. The company has a Zacks Rank #2.

Larimar Therapeutics: CA-based Larimar Therapeutics is a clinical-stage company making medicines for rare diseases. Its lead pipeline candidate is nomlabofusp (CTI-1601), being developed as a potential treatment for Friedreich's ataxia (FA). In May, the FDA removed the partial clinical hold on nomlabofusp program following a review of the phase II dose exploration study data.

The company will provide an update from the nomlabofusp development program in mid-December 2024 that will include available safety, pharmacokinetic and frataxin data from an ongoing open label extension study. This should be an important catalyst for the stock.

Larimar Therapeutics plans to file a biologics license application seeking approval of nomlabofusp for FA in the second half of 2025. The company believes that nomlabofusp has the potential to be the first frataxin protein replacement therapy for patients with FA.

The stock of Larimar Therapeutics has risen 100.5% in the past year. The consensus estimate for 2024 loss has narrowed from $1.39 per share to $1.16 per share over the past 30 days. The company has a Zacks Rank #2.

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Zacks Investment Research

The drug industry witnessed major policy changes during Joe Biden's four-year term as U.S. President, including the historic Inflation Reduction Act (“IRA”). With Donald Trump’s reelection, the biotech industry hopes to witness more innovation and mergers and acquisitions (M&A) activity. Efforts to repeal the IRA look likely. However, it all depends on who is appointed to key roles at federal health agencies. Drug pricing reforms are expected to remain a key priority for the new government. Trump, in his previous term, had put stress on control of drug prices, though it was not highlighted in his election campaign this time around. Regular pipeline setbacks, slow ramp-up of newer drugs, Federal Trade Commission’s (FTC) scrutiny of M&A deals and broader macroeconomic uncertainty are some of the other headwinds for the sector.

Nonetheless, the Zacks Medical-Drugs industry is showing promising trends in 2024 amid increased M&A and positive pipeline news. Innovation is at its peak for the industry, with key spaces like diabetes/obesity, inflammation and neuroscience attracting attention. Investors are particularly interested in developments related to GLP-1 receptor agonists, radiopharmaceuticals and antibody-drug conjugates (ADCs).

These positive factors should keep driving stocks like Madrigal Pharmaceuticals MDGL, Corcept Therapeutics CORT, Catalyst Pharmaceuticals CPRX, Larimar Therapeutics LRMR and Theravance Biopharma TBPH.

Industry Description

The Zacks Medical-Drugs industry comprises small and some medium-sized drug companies that make medicines for both human and veterinary use. We have a separate industry outlook discussion on big drugmakers. Small drugmakers have a limited portfolio of marketed drugs or no commercial-stage drugs at all. Some drugmakers are dependent on just one marketed drug or pipeline candidate. For such companies, upfront or milestone payments from collaboration partners — in most cases, their larger counterparts — are the main sources of revenues. These companies need ample free cash flow to fund their R&D activities.

Factors Shaping the Future of the Medical-Drugs Industry

Pipeline Success: The success or failure of key pipeline candidates in clinical studies can significantly drive the stock price of industry players. Successful innovation and product line extensions in important therapeutic areas and strong clinical study results may act as important catalysts for the stocks.

Strong Collaboration Partners: These companies regularly seek external partners and collaborators for complementary strengths. A partnership deal with a popular drugmaker is a good sign about the potential of small pharma companies, especially when an equity investment is included in the deal. M&A deals are in full swing in the sector, signaling growth.

Investment in Technology for Innovation: For these smaller companies, succeeding in a shifting global market and an evolving healthcare landscape requires adopting innovative business models, investing in new technologies and increasing investments in personalized medicines. Over the past few years, scientific and technological advancements have made it possible to develop personalized therapies. Other than that, adoption and information exchange through the meaningful use of health IT, development of therapies that improve overall patient outcomes and investment in developing and emerging markets are some of the key priorities for drug companies. Artificial intelligence and machine learning techniques are being used for the rapid advancement of drug discovery and target identification processes.

Pipeline Setbacks: The smaller companies have their share of risk in the form of unstable cash flows. Also, the failure of key pipeline candidates in pivotal studies and regulatory and pipeline delays can be huge setbacks for these smaller companies and significantly hurt their share prices.

Zacks Industry Rank Indicates Bright Prospects

The group’s Zacks Industry Rank is basically the average of the Zacks Rank of all the member stocks.

The Zacks Medical-Drugs industry currently carries a Zacks Industry Rank #75, which places it in the top 30% of 250 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.

Before we present you with a few top-ranked stocks to capitalize on the thriving prospects of the small and medium-sized drugmakers’ space, let’s take a look at the industry’s recent stock-market performance and the valuation picture.

Industry Lags S&P 500 and Sector

The Zacks Medical-Drugs industry is a huge 171-stock group within the broader Medical sector. The industry has underperformed the S&P 500 as well as the Zacks Medical sector so far this year.

Stocks in this industry have collectively declined 3.4% year to date against the Zacks S&P 500 composite’s rise of 24.7% and the Zacks Medical sector’s increase of 2.1%.

YTD Price Performance

U.S. stock markets started November, adding more steam to the ongoing rally. The primary reason was the anticipation of Donald Trump becoming the 47th president of the country. On Nov 5, Trump clinched a significant win in the Presidential election. On Nov 6, all three major stock indexes as well as small-cap benchmarks, jumped.

Consequently, several stocks have shown price strength. We have primarily targeted stocks that have recently been on a bull run. Such stocks have a high chance of carrying the momentum forward.

Five such stocks are — ChromaDex Corp. CDXC, Sezzle Inc. SEZL, Interface Inc. TILE, BGC Group Inc. BGC and Corcept Therapeutics Inc. CORT.

If a stock is continuously witnessing an uptrend, there must be a solid reason or it would have probably crashed. So, looking at stocks capable of beating the benchmark that they have set for themselves seems rational.

However, recent price strength alone cannot create magic. Therefore, other relevant parameters are needed to create a successful investment strategy.

Here’s how you should create the screen to shortlist the current as well as the potential winners.

Screening Parameters:

Percentage Change in Price (4 Weeks) greater than zero: This criterion shows that the stock has moved higher in the last four weeks.

Percentage Change Price (12 Weeks) greater than 10: This indicates that the stock has seen momentum over the last three months. This lowers the risk of choosing stocks that may have drawn attention due to the overwhelming performance of the overall market in a very short period.

Zacks Rank 1: No matter whether market conditions are good or bad, stocks with a Zacks Rank #1 (Strong Buy) have a proven history of outperformance. You can see the complete list of today’s Zacks #1 Rank stocks here.

Average Broker Rating 1: This indicates that brokers are also highly hopeful about the stock’s future performance.

Current Price greater than 5: The stocks must all be trading at a minimum of $5.

Current Price/ 52-Week High-Low Range more than 85%: This criterion filters stocks that are trading near their respective 52-week highs. It indicates that these are strong enough in terms of price.

Just these few criteria narrowed down the search from over 7,700 stocks to 18.

Let’s discuss five out of these 18 stocks:

ChromaDex Corp. supply phytochemical reference standards and reference materials, related contract services, and products for the dietary supplement, nutraceutical, food and beverage, functional food, pharmaceutical and cosmetic markets. CDXC’s core business strategy is to use the intellectual property harnessed by its expertise in the area of natural products and in the creation of reference materials to the industry as the basis for providing new and alternative, green, mass marketable products to its customers.

CDXC’s main priority is to create industry-accepted information and provide products and services to every layer of the functional food, pharmaceutical, personal care and dietary supplement markets. ChromaDex markets and sells its products in the United States and Canada. CDXC offers its products through distributors in Europe, South America, Korea, India, Japan, Australia, New Zealand, China, Indonesia, Malaysia, Singapore, Thailand, and Mexico.

The stock price of ChromaDex has soared 115.1% in the past four weeks. The company has expected earnings growth of more than 100% for the current year. The Zacks Consensus Estimate for the current year has improved 100% over the last seven days.

Sezzle Inc. operates as a technology-enabled payments company primarily in the United States and Canada. SEZL provides its proprietary payments solution in-store and at online retail stores that connect consumers with merchants.

SEZL also offers the Sezzle Platform, which provides a payments solution for consumers that extends credit at the point-of-sale, allowing consumers to purchase and receive the ordered merchandise at the time of sale while paying in installments over time.

The stock price of Sezzle has jumped 54.9% in the past four weeks. The company has expected earnings growth of more than 100% for the current year. The Zacks Consensus Estimate for the current year has improved 0.1% over the last 90 days.

Interface Inc. designs, produces, and sells modular carpet products primarily worldwide. TILE operates in two segments, Americas, and Europe, Africa, Asia and Australia. TILE offers modular carpets under the Interface and FLOR brand names, luxury vinyl tiles, carpet tiles under the CQuestGB name for use in commercial interiors, include offices, healthcare facilities, airports, educational and other institutions, hospitality spaces, and retail facilities, as well as residential interiors, and modular resilient flooring products.

TILE also provides carpet replacement, installation, and maintenance services; and rubber flooring under the norament and noraplan brand names, as well as produces and sells an adapted version of its carpet tile for the healthcare facilities market.

The stock price of Interface has climbed 33.2% in the past four weeks. It has an expected earnings growth rate of 37% for the current year. The Zacks Consensus Estimate for current-year earnings has improved 7% over the last seven days.

BGC Group Inc. operates as a financial brokerage and technology company in the United States and internationally. BGC offers various brokerage products, such as fixed income, such as government bonds, corporate bonds, and other debt instruments, as well as related interest rate derivatives and credit derivatives, equities, energy and commodities, shipping, insurance, and futures and options.

BGC also provides trade execution, connectivity solutions, brokerage services, clearing, trade compression and other post-trade services, information, and other back-office services to an assortment of financial and non-financial institutions. In addition, BGC offers electronic and hybrid brokerage, other financial technology solutions, market data and related information services.

The stock price of BGC Group has surged 18.3% in the past four weeks. The company has expected earnings growth of 20.7% for the current year. The Zacks Consensus Estimate for the current year has improved 6.5% over the last seven days.

Corcept Therapeutics Inc. is engaged in the discovery and development of drugs for the treatment of severe endocrinologic, oncologic, metabolic, and neurologic disorders in the United States. CORT offers Korlym tablets medication for the treatment of hyperglycemia secondary to hypercortisolism in adult patients with endogenous Cushing's syndrome, and for those who have type 2 diabetes mellitus or glucose intolerance and have failed surgery or are not candidates for surgery.

CORT is also developing relacorilant, which is in phase III clinical trial for the treatment of Cushing's syndrome, treatment for adrenal cancer and cortisol excess, which is in phase 1b clinical trial, treatment for prostate cancer which is in phase II clinical trial and nab-paclitaxel in combination with relacorilant, which is in phase III clinical trial to treat platinum-resistant ovarian tumors.

The stock price of Corcept Therapeutics has advanced 18.1% in the past four weeks. It has an expected earnings growth rate of 39.4% for the current year. The Zacks Consensus Estimate for current-year earnings improved 10.1% over the last seven days.

You can get the rest of the stocks on this list by signing up now for your 2-week free trial to the Research Wizard and start using this screen in your own trading. Further, you can also create your own strategies and test them first before taking the investment plunge.

The Research Wizard is a great place to begin. It's easy to use. Everything is in plain language. And it's very intuitive. Start your Research Wizard trial today. And the next time you read an economic report, open up the Research Wizard, plug your finds in, and see what gems come out.

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Disclosure: Officers, directors and/or employees of Zacks Investment Research may own or have sold short securities and/or hold long and/or short positions in options that are mentioned in this material. An affiliated investment advisory firm may own or have sold short securities and/or hold long and/or short positions in options that are mentioned in this material.

Disclosure: Performance information for Zacks’ portfolios and strategies are available at: https://www.zacks.com/performance.

Zacks Investment Research

Have you been paying attention to shares of Catalyst Pharmaceutical (CPRX)? Shares have been on the move with the stock up 13.7% over the past month. The stock hit a new 52-week high of $23.12 in the previous session. Catalyst Pharmaceutical has gained 35.1% since the start of the year compared to the 3.2% move for the Zacks Medical sector and the -2.8% return for the Zacks Medical - Drugs industry.

What's Driving the Outperformance?

The stock has a great record of positive earnings surprises, as it hasn't missed our earnings consensus estimate in any of the last four quarters. In its last earnings report on November 6, 2024, Catalyst reported EPS of $0.57 versus consensus estimate of $0.49 while it beat the consensus revenue estimate by 4.65%.

For the current fiscal year, Catalyst is expected to post earnings of $1.92 per share on $472.59 million in revenues. This represents a -2.04% change in EPS on a 18.68% change in revenues. For the next fiscal year, the company is expected to earn $2.27 per share on $558.33 million in revenues. This represents a year-over-year change of 18.54% and 18.14%, respectively.

Valuation Metrics

Catalyst may be at a 52-week high right now, but what might the future hold for the stock? A key aspect of this question is taking a look at valuation metrics in order to determine if the company has run ahead of itself.

On this front, we can look at the Zacks Style Scores, as these give investors a variety of ways to comb through stocks (beyond looking at the Zacks Rank of a security). These styles are represented by grades running from A to F in the categories of Value, Growth, and Momentum, while there is a combined VGM Score as well. The idea behind the style scores is to help investors pick the most appropriate Zacks Rank stocks based on their individual investment style.

Catalyst has a Value Score of B. The stock's Growth and Momentum Scores are A and D, respectively, giving the company a VGM Score of A.

In terms of its value breakdown, the stock currently trades at 11.8X current fiscal year EPS estimates, which is not in-line with the peer industry average of 17.1X. On a trailing cash flow basis, the stock currently trades at 11X versus its peer group's average of 9.2X. Additionally, the stock has a PEG ratio of 3.43. This isn't enough to put the company in the top echelon of all stocks we cover from a value perspective.

Zacks Rank

We also need to look at the Zacks Rank for the stock, as this supersedes any trend on the style score front. Fortunately, Catalyst currently has a Zacks Rank of #2 (Buy) thanks to favorable earnings estimate revisions from covering analysts.

Since we recommend that investors select stocks carrying Zacks Rank of 1 (Strong Buy) or 2 (Buy) and Style Scores of A or B, it looks as if Catalyst passes the test. Thus, it seems as though Catalyst shares could have potential in the weeks and months to come.

How Does CPRX Stack Up to the Competition?

Shares of CPRX have been soaring, and the company still appears to be a decent choice, but what about the rest of the industry? One industry peer that looks good is Corcept Therapeutics Incorporated (CORT). CORT has a Zacks Rank of # 1 (Strong Buy) and a Value Score of D, a Growth Score of B, and a Momentum Score of B.

Earnings were strong last quarter. Corcept Therapeutics Incorporated beat our consensus estimate by 51.85%, and for the current fiscal year, CORT is expected to post earnings of $1.83 per share on revenue of $683.78 million.

Shares of Corcept Therapeutics Incorporated have gained 18.1% over the past month, and currently trade at a forward P/E of 41.52X and a P/CF of 56.62X.

The Medical - Drugs industry is in the top 33% of all the industries we have in our universe, so it looks like there are some nice tailwinds for CPRX and CORT, even beyond their own solid fundamental situation.

Zacks Investment Research

Corcept Therapeutics Incorporated CORT has been having a fabulous 2024, with its share price increasing 60.5% year to date as of Nov. 5, 2024.

This company engages in the discovery and development of drugs for the treatment of severe endocrinologic, oncologic, metabolic and neurologic disorders in the United States. It has spent more than 25 years dedicated to advancing cortisol modulation, resulting in the discovery of more than 1,000 unique selective modulators. Remaining focused on innovation, Corcept is conducting advanced clinical trials.

The company’s flagship drug, Korlym, approved for treating Cushing's syndrome, has witnessed a massive spurt in demand and has been driving growth. Also, a new drug application for the lead candidate, relacorilant, to treat Cushing’s syndrome is expected to be filed in the fourth quarter of 2024.

Corcept is a Zacks Rank #2 (Buy) company and is part of the Zacks Medical – Drugs industry. Ionis Pharmaceuticals, Inc. IONS and Collegium Pharmaceutical, Inc. COLL are two of its peers from the same industry. While Ionis is ranked #3 (Hold), Collegium has a Rank #2 currently. Over the past 12 months, Corcept has grown 102.6% compared with a 68.4% rally of its Zacks Peer Group. You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.

Late last month, Corcept came out with quarterly earnings of 41 cents per share, beating the Zacks Consensus Estimate of 27 cents, pulling off a surprise of 51.9%. This compares favorably with earnings of 28 cents a year ago. In each of the last four quarters, the company surpassed the consensus estimate for earnings per share (EPS). Corcept posted revenues of $182.6 million for the prior quarter, beating the Zacks Consensus Estimate by 6.1%. This compares to year-ago revenues of $123.6 million. The company topped consensus revenue estimates three times over the last four quarters.

It will thus be prudent to bet on Corcept, which is currently undervalued at around $52. For the current fiscal year, Corcept is expected to post earnings of $1.25 per share and $683.8 million in revenues. This represents a 33% change in EPS and a 41.8% change in revenues. The Medical - Drugs industry itself is in the top 29% of all the industries in the Zacks universe, and that must also be considered while making an investment decision.

Zacks Investment Research