Alkermes (NASDAQ:ALKS) Shares Down 6.7% on Disappointing Earnings

Alkermes plc (NASDAQ:ALKS)’s share price was down 6.7% during mid-day trading on Wednesday following a dissappointing earnings announcement. The stock traded as low as $30.54 and last traded at $31.1550. Approximately 670,308 shares were traded during mid-day trading, a decline of 65% from the average daily volume of 1,940,193 shares. The stock had previously closed at $33.39.

The company reported $0.29 earnings per share (EPS) for the quarter, missing the consensus estimate of $0.43 by ($0.14). Alkermes had a return on equity of 21.81% and a net margin of 22.27%.The firm had revenue of $384.55 million during the quarter, compared to the consensus estimate of $380.44 million. During the same period last year, the firm posted $1.05 earnings per share. The company’s revenue for the quarter was down 10.6% compared to the same quarter last year. Alkermes has set its FY 2026 guidance at -0.798–0.680 EPS.

Trending Headlines about Alkermes

Here are the key news stories impacting Alkermes this week:

• Positive Sentiment: Wolfe Research initiated coverage with an “outperform” rating and $45 price target — provides a bullish analyst catalyst and a sizable upside to current levels. Wolfe Research initiation
• Positive Sentiment: Board announced an orderly CEO succession: Richard Pops will retire July 31, 2026, and COO Blair Jackson will become CEO Aug. 1, 2026 — reduces leadership uncertainty and signals continuity. CEO Succession Press Release
• Neutral Sentiment: Alkermes to present at the TD Cowen Health Care Conference — visibility event for investors but not an immediate earnings driver. Conference presentation
• Neutral Sentiment: Media noted the company recently closed the Avadel acquisition ahead of these results — strategic context for revenue/growth but impact depends on integration and margins. Avadel acquisition coverage
• Neutral Sentiment: Reported short-interest data in the feed is noisy/zeroed out and not informative for near‑term squeezes (no clear signal).
• Negative Sentiment: Q4 EPS missed: Alkermes reported $0.29 EPS vs. consensus $0.43, and revenue $384.6M (slightly above estimates) with revenue down ~10.6% y/y — suggests margin pressure and weaker profitability versus expectations. Earnings press release / slides Conference call
• Negative Sentiment: Crucial FY‑2026 guidance missed expectations: Alkermes updated EPS guidance to -0.798 to -0.680 vs. consensus ~1.63 — a materially weaker profitability outlook that explains the negative market reaction despite revenue guidance near street. FY2026 guidance press release

Analyst Upgrades and Downgrades

A number of research firms recently weighed in on ALKS. Weiss Ratings reissued a “hold (c+)” rating on shares of Alkermes in a report on Monday, December 29th. Wall Street Zen cut shares of Alkermes from a “strong-buy” rating to a “buy” rating in a research note on Sunday, November 9th. Needham & Company LLC boosted their target price on shares of Alkermes from $43.00 to $44.00 and gave the stock a “buy” rating in a report on Wednesday, October 29th. Bank of America increased their price target on shares of Alkermes from $33.00 to $34.00 and gave the company a “neutral” rating in a report on Friday, February 20th. Finally, Wolfe Research started coverage on Alkermes in a research report on Monday. They issued an “outperform” rating and a $45.00 price target for the company. One equities research analyst has rated the stock with a Strong Buy rating, twelve have issued a Buy rating and five have issued a Hold rating to the stock. Based on data from MarketBeat, Alkermes has a consensus rating of “Moderate Buy” and an average price target of $44.00.

Insider Activity

In related news, Director Shane Cooke sold 61,200 shares of the stock in a transaction dated Monday, February 2nd. The shares were sold at an average price of $34.57, for a total value of $2,115,684.00. Following the sale, the director directly owned 103,744 shares of the company’s stock, valued at $3,586,430.08. This represents a 37.10% decrease in their position. The transaction was disclosed in a document filed with the SEC, which is available through this hyperlink. Also, EVP Craig C. Hopkinson sold 9,000 shares of the firm’s stock in a transaction dated Monday, February 2nd. The stock was sold at an average price of $33.93, for a total transaction of $305,370.00. Following the completion of the sale, the executive vice president directly owned 57,740 shares of the company’s stock, valued at approximately $1,959,118.20. The trade was a 13.49% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. Insiders have sold a total of 148,148 shares of company stock worth $5,028,378 over the last quarter. 4.40% of the stock is currently owned by insiders.

Institutional Trading of Alkermes

A number of hedge funds and other institutional investors have recently bought and sold shares of the business. Baker BROS. Advisors LP lifted its position in shares of Alkermes by 23.7% during the fourth quarter. Baker BROS. Advisors LP now owns 10,012,267 shares of the company’s stock worth $280,143,000 after purchasing an additional 1,920,916 shares during the last quarter. State Street Corp increased its stake in Alkermes by 10.9% in the 4th quarter. State Street Corp now owns 9,472,858 shares of the company’s stock worth $265,051,000 after buying an additional 932,507 shares during the period. Renaissance Technologies LLC boosted its position in Alkermes by 6.0% in the 4th quarter. Renaissance Technologies LLC now owns 6,668,028 shares of the company’s stock valued at $186,571,000 after buying an additional 375,500 shares during the period. JPMorgan Chase & Co. grew its stake in Alkermes by 32.0% in the 4th quarter. JPMorgan Chase & Co. now owns 5,184,547 shares of the company’s stock worth $145,064,000 after acquiring an additional 1,256,377 shares in the last quarter. Finally, Dimensional Fund Advisors LP increased its position in shares of Alkermes by 19.3% during the fourth quarter. Dimensional Fund Advisors LP now owns 4,412,783 shares of the company’s stock worth $123,467,000 after acquiring an additional 714,787 shares during the period. Hedge funds and other institutional investors own 95.21% of the company’s stock.

Alkermes Stock Down 5.4%

The stock has a market cap of $5.22 billion, a P/E ratio of 15.53 and a beta of 0.49. The company’s 50 day moving average price is $31.38 and its two-hundred day moving average price is $30.17.

About Alkermes

Alkermes plc is a biopharmaceutical company focused on developing innovative medicines to address unmet needs in the central nervous system (CNS). The company applies its proprietary drug delivery technologies and therapeutic expertise to advance treatments for addiction, schizophrenia, bipolar I disorder and depression. Alkermes’ portfolio includes both commercial products and a pipeline of investigational therapies designed to improve patient outcomes and support long-term disease management.

Alkermes’ commercial franchise features several approved products.