What happened
Shares of CRISPR Therapeutics (CRSP 0.34%) were jumping 9.1% as of 11:31 a.m. ET on Tuesday after rising as much as 13% earlier in the day. The nice gain came after the company provided its second-quarter update on Monday following the market close.
CRISPR Therapeutics reported second-quarter revenue of $70 million. It posted a net loss of $77.7 million, or $0.98 per share. Both results topped consensus estimates.
Two analysts also issued positive updates after the results were announced. Needham reiterated coverage of the stock with a buy recommendation. Credit Suisse's Richard Law reiterated a neutral rating for the gene-editing stock but increased his price target from $62 to $63.
So what
CRISPR's second-quarter results really don't matter all that much. The company's revenue stemmed entirely from its collaboration with Vertex Pharmaceuticals (VRTX -0.06%). Analysts expect losses at this point.
What does matter for the company, though, is its pipeline progress. The big story on that front is exa-cel, which is being developed with Vertex. And CRISPR Therapeutics also has several other promising programs that are in clinical testing.
Another thing that does matter is the company's financial position. Including cash, cash equivalents, and marketable securities, its cash position totaled nearly $1.8 billion as of June 30.
Now what
All eyes are now on the Food and Drug Administration (FDA). The agency is scheduled to make an approval decision on exa-cel in treating sickle cell disease by Dec. 8. And the FDA set a PDUFA date for the gene-editing therapy in treating transfusion-dependent beta-thalassemia for March 30, 2024.
