Axsome (AXSM) Down 3.7% Since Last Earnings Report: Can It Rebound?

It has been about a month since the last earnings report for Axsome Therapeutics (AXSM). Shares have lost about 3.7% in that time frame, underperforming the S&P 500.

Will the recent negative trend continue leading up to its next earnings release, or is Axsome due for a breakout? Well, first let's take a quick look at the most recent earnings report in order to get a better handle on the recent drivers for Axsome Therapeutics, Inc. before we dive into how investors and analysts have reacted as of late.

Axsome's Q2 Earnings Meet Estimates, Auvelity Drives Y/Y Revenues

Axsome incurred a loss of 99 cents per share in the second quarter of 2026, which was in line with the Zacks Consensus Estimate. The company had reported a loss of 97 cents per share in the year-ago quarter.

Axsome’s total revenues surged 46% year over year to $218.4 million in the second quarter. The increase in revenues was primarily driven by strong sales of lead drug Auvelity as well as other marketed drugs. The top line, however, missed the Zacks Consensus Estimate of $225 million.

Quarter in Detail

Total revenues in the second quarter consisted of product revenues from Auvelity, Sunosi and the newest drug, Symbravo, as well as royalty and milestone revenues.

Net product revenues were $216.4 million in the quarter, reflecting an increase of 45.2% year over year. Royalty and milestone revenues totaled $2 million in the quarter, reflecting royalties on Sunosi’s sales in out-licensed territories.

Auvelity recorded sales of $180.3 million, up 51% from the year-ago quarter’s level. Sales of the drug beat the Zacks Consensus Estimate of $175 million.

Per Axsome, around 266,000 total prescriptions were recorded for Auvelity in the second quarter, reflecting a year-over-year increase of 34%.

Sunosi’s net product sales were $35.8 million in the quarter, up 20% from the year-ago quarter’s level. Total prescriptions for Sunosi in the United States grew 14% year over year to 61,000. Sunosi sales beat the Zacks Consensus Estimate of $33.4 million.

Axsome’s newest drug, Symbravo, was launched in June 2025 in the United States. Sales of the drug came in at $2.3 million in the second quarter, down from $4.1 million recorded in the prior quarter. Symbravo’s sales missed the Zacks Consensus Estimate of $7.2 million. 

However, total prescriptions for Symbravo grew 30% sequentially to 23,500 in the second quarter of 2026.

Research and development expenses (including stock-based compensation) were $46.2 million, down 6.7% from the year-ago quarter’s level, primarily due to lower costs related to Auvelity and AXS-14.

Selling, general and administrative expenses (including stock-based compensation) totaled $208.1 million, up 59.7% year over year. The increase was due to higher commercial activities for Auvelity, including the ongoing pre-launch activities for the Alzheimer’s disease agitation indication and Symbravo.

As of June 30, 2026, Axsome had cash and cash equivalents worth $319.9 million compared with $305.1 million as of March 31, 2026.

How Have Estimates Been Moving Since Then?

Since the earnings release, investors have witnessed a downward trend in fresh estimates.

VGM Scores

Currently, Axsome has a nice Growth Score of B, though it is lagging a lot on the Momentum Score front with an F. Charting a somewhat similar path, the stock was allocated a grade of D on the value side, putting it in the bottom 40% for value investors.

Overall, the stock has an aggregate VGM Score of D. If you aren't focused on one strategy, this score is the one you should be interested in.

Outlook

Estimates have been broadly trending downward for the stock, and the magnitude of these revisions indicates a downward shift. Interestingly, Axsome has a Zacks Rank #3 (Hold). We expect an in-line return from the stock in the next few months.

Performance of an Industry Player

Axsome belongs to the Zacks Medical - Biomedical and Genetics industry. Another stock from the same industry, Puma Biotech (PBYI), has gained 7.1% over the past month. More than a month has passed since the company reported results for the quarter ended June 2026.

Puma Biotech reported revenues of $56.5 million in the last reported quarter, representing a year-over-year change of +7.8%. EPS of $0.19 for the same period compares with $0.15 a year ago.

For the current quarter, Puma Biotech is expected to post earnings of $0.11 per share, indicating a change of -47.6% from the year-ago quarter. The Zacks Consensus Estimate has changed -45.5% over the last 30 days.

The overall direction and magnitude of estimate revisions translate into a Zacks Rank #3 (Hold) for Puma Biotech. Also, the stock has a VGM Score of A.

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This article originally published on Zacks Investment Research (zacks.com).

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