Regeneron Earnings on Deck: Can REGN Break Through $600 Resistance After a Tough Year?

Regeneron Pharmaceuticals, Inc. (NASDAQ:REGN) is set to report earnings this morning, after a difficult year in the markets. Regeneron's stock is currently trading at $585 in the pre-market, down 18.16% YTD, back below the recent $600 resistance level that has proven difficult to breach.

After a year of two halves for REGN, a significant decline in the first half followed by a solid (part) recovery, markets are keenly watching to see if Regeneron can deliver positive news and sustain its upward momentum.

Analysts are estimating earnings per share (EPS) of $9.61 for the quarter ending September 2025. While seemingly positive, this figure represents a significant 22.9% decrease compared to the same quarter last year. This projected decline raises concerns about Regeneron's profitability and its ability to maintain its growth trajectory.

The stock's recent performance reflects this uncertainty. After plummeting more than 32% into June's low, REGN has since rallied, climbing over 20% from that point.

The upcoming earnings announcement comes against a backdrop of significant headwinds, most notably the unexpected failure of itepekimab, its COPD treatment with Sanofi, in a late stage clinical trial. This led to the sharp pullback in the stock in May.

However, it's not all gloom and doom for Regeneron. The company reported an 11% increase in total revenues for the third quarter, reaching $3.72 billion, driven largely by global sales of Dupixent. This strong performance in Dupixent sales underscores the potential of Regeneron's diversified product portfolio.

The company also continues to invest heavily in research and development, with approximately 40 clinical programs currently underway, including a Phase II lung cancer study and pivotal data for itepekimab in COPD expected by 2025. These ongoing research efforts highlight Regeneron's commitment to innovation and its potential to develop new blockbuster drugs in the future.

Whether Regeneron can break through the $600 resistance level and sustain its upward momentum remains to be seen. For now, technical indicators are mixed, with the stock trading below the 200day MA, yet above the 50day MA.