Stoke Therapeutics (NASDAQ:STOK) Posts Earnings Results, Misses Expectations By $0.13 EPS

Stoke Therapeutics (NASDAQ:STOK) released its earnings results on Monday. The company reported ($0.93) EPS for the quarter, missing the consensus estimate of ($0.80) by ($0.13), FiscalAI reports. The business had revenue of $9.32 million for the quarter, compared to analyst estimates of $4.89 million. Stoke Therapeutics had a negative net margin of 529.20% and a negative return on equity of 48.84%.

Here are the key takeaways from Stoke Therapeutics’ conference call:

• EMPEROR enrollment is complete with 162 patients enrolled in 10 months, no treatment discontinuations to date, and the phase III readout remains expected in the third quarter of 2027.
• Stoke reported supportive long-term open-label data for zorevunersen, including durable seizure reductions, statistically significant annual improvements in Vineland-3 cognition and behavior scores through four years, and no new safety findings after more than 930 doses.
• The company plans a rolling U.S. NDA beginning in the first quarter of 2027, supported by a pre-NDA FDA meeting later this year, and is advancing commercial preparations for a potential early-2028 launch. Stoke estimates approximately 16,000 U.S. Dravet patients, with about 6,000 patients under age 25 viewed as immediately addressable.
• Stoke ended the quarter with $354.3 million in cash and marketable securities and raised $65.7 million net through its ATM program, bringing pro forma cash to approximately $420 million and extending its expected runway through a potential U.S. launch.
• The pipeline is expanding, with STK-002 for ADOA moving into a higher-dose cohort and early safety and efficacy data expected in the first half of 2027; the company is also evaluating five preclinical SYNGAP1 candidates and hopes to select a development candidate in 2027.

Stoke Therapeutics Stock Performance

STOK stock opened at $29.56 on Tuesday. The stock has a market cap of $1.84 billion, a P/E ratio of -10.52 and a beta of 1.20. The firm has a 50 day simple moving average of $30.39 and a 200 day simple moving average of $32.00. Stoke Therapeutics has a 52 week low of $12.71 and a 52 week high of $40.22.

Insider Buying and Selling

In other Stoke Therapeutics news, insider Barry Ticho sold 1,795 shares of the company’s stock in a transaction that occurred on Monday, June 1st. The shares were sold at an average price of $30.58, for a total value of $54,891.10. Following the transaction, the insider owned 34,826 shares in the company, valued at approximately $1,064,979.08. This represents a 4.90% decrease in their position. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is available through the SEC website. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, General Counsel Jonathan Allan sold 1,457 shares of Stoke Therapeutics stock in a transaction on Tuesday, June 16th. The shares were sold at an average price of $29.95, for a total transaction of $43,637.15. Following the sale, the general counsel directly owned 18,086 shares of the company’s stock, valued at $541,675.70. This trade represents a 7.46% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Insiders own 9.60% of the company’s stock.

Institutional Trading of Stoke Therapeutics

Several hedge funds and other institutional investors have recently modified their holdings of the company. RTW Investments LP boosted its position in Stoke Therapeutics by 8.3% during the fourth quarter. RTW Investments LP now owns 5,546,856 shares of the company’s stock valued at $176,057,000 after purchasing an additional 423,331 shares during the last quarter. Morgan Stanley increased its position in Stoke Therapeutics by 0.3% in the 4th quarter. Morgan Stanley now owns 3,546,158 shares of the company’s stock worth $112,555,000 after purchasing an additional 9,108 shares during the last quarter. State Street Corp increased its position in Stoke Therapeutics by 75.2% in the 4th quarter. State Street Corp now owns 2,498,049 shares of the company’s stock worth $79,288,000 after purchasing an additional 1,072,176 shares during the last quarter. Goldman Sachs Group Inc. raised its stake in shares of Stoke Therapeutics by 21.4% during the 1st quarter. Goldman Sachs Group Inc. now owns 1,662,039 shares of the company’s stock worth $11,053,000 after purchasing an additional 293,072 shares in the last quarter. Finally, Janus Henderson Group PLC raised its stake in shares of Stoke Therapeutics by 333.8% during the 4th quarter. Janus Henderson Group PLC now owns 1,450,933 shares of the company’s stock worth $46,031,000 after purchasing an additional 1,116,452 shares in the last quarter.

Wall Street Analysts Forecast Growth

STOK has been the topic of several research reports. Weiss Ratings cut Stoke Therapeutics from a “hold (c)” rating to a “sell (d)” rating in a report on Monday, May 11th. BTIG Research restated a “buy” rating and issued a $39.00 target price on shares of Stoke Therapeutics in a report on Monday, May 11th. Finally, The Goldman Sachs Group assumed coverage on Stoke Therapeutics in a report on Monday, July 13th. They set a “buy” rating and a $44.00 target price for the company. Nine research analysts have rated the stock with a Buy rating, one has given a Hold rating and one has issued a Sell rating to the stock. According to MarketBeat, Stoke Therapeutics currently has a consensus rating of “Moderate Buy” and an average price target of $43.00.

About Stoke Therapeutics

Stoke Therapeutics, headquartered in Bedford, Massachusetts, is a clinical-stage biopharmaceutical company focused on developing genetic medicines to upregulate protein production for the treatment of rare neuromuscular and neurological disorders. Founded in 2014, the company applies its proprietary Targeted Augmentation of Nuclear Gene Output (TANGO™) platform to design antisense oligonucleotides that selectively modulate RNA splicing and enhance expression of functional proteins.

The company’s lead program, STK-001, is an antisense oligonucleotide therapy designed to increase production of the sodium channel protein SCN1A and is currently in clinical development for Dravet syndrome, a severe childhood-onset epilepsy.