The end of the earnings season is always a good time to take a step back and see who shined (and who not so much). Let’s take a look at how branded pharmaceuticals stocks fared in Q3, starting with Royalty Pharma (NASDAQ: RPRX).
Looking ahead, the branded pharmaceutical industry is positioned for tailwinds from advancements in precision medicine, increasing adoption of AI to enhance drug development efficiency, and growing global demand for treatments addressing chronic and rare diseases. However, headwinds include heightened regulatory scrutiny, pricing pressures from governments and insurers, and the looming patent cliffs for key blockbuster drugs. Patent cliffs bring about competition from generics, forcing branded pharmaceutical companies back to the drawing board to find the next big thing.
The 10 branded pharmaceuticals stocks we track reported a satisfactory Q3. As a group, revenues beat analysts’ consensus estimates by 2.5%.
Thankfully, share prices of the companies have been resilient as they are up 8.5% on average since the latest earnings results.
Royalty Pharma (NASDAQ: RPRX)
Pioneering a unique business model in the pharmaceutical industry since 1996, Royalty Pharma (NASDAQ: RPRX) acquires rights to receive portions of sales from successful biopharmaceutical products, providing funding to drug developers without conducting research itself.
Royalty Pharma reported revenues of $609.3 million, up 7.9% year on year. This print fell short of analysts’ expectations by 2.6%. Overall, it was a slower quarter for the company with a significant miss of analysts’ revenue estimates.
“We delivered strong third quarter 2025 results, raised our full year guidance and are on track to deliver another year of double-digit top-line growth,” said Pablo Legorreta, Royalty Pharma’s founder and Chief Executive Officer.
Interestingly, the stock is up 6.9% since reporting and currently trades at $40.45.
Read our full report on Royalty Pharma here, it’s free for active Edge members.
Best Q3: Eli Lilly (NYSE: LLY)
Founded in 1876 by a Civil War veteran and pharmacist frustrated with the poor quality of medicines, Eli Lilly (NYSE: LLY) discovers, develops, and manufactures pharmaceutical products for conditions including diabetes, obesity, cancer, immunological disorders, and neurological diseases.
Eli Lilly reported revenues of $17.6 billion, up 53.9% year on year, outperforming analysts’ expectations by 9.7%. The business had a stunning quarter with an impressive beat of analysts’ revenue estimates and full-year revenue guidance exceeding analysts’ expectations.
Eli Lilly delivered the fastest revenue growth among its peers. The market seems happy with the results as the stock is up 36.5% since reporting. It currently trades at $1,108.
Is now the time to buy Eli Lilly? Access our full analysis of the earnings results here, it’s free for active Edge members.
Corcept (NASDAQ: CORT)
Focusing on the powerful stress hormone that affects everything from metabolism to immune function, Corcept Therapeutics (NASDAQ: CORT) develops and markets medications that modulate cortisol to treat endocrine disorders, cancer, and neurological diseases.
Corcept reported revenues of $207.6 million, up 13.7% year on year, falling short of analysts’ expectations by 4%. It was a softer quarter as it posted full-year revenue guidance missing analysts’ expectations significantly and a significant miss of analysts’ revenue estimates.
Corcept delivered the highest full-year guidance raise but had the weakest performance against analyst estimates in the group. As expected, the stock is down 48.2% since the results and currently trades at $36.82.
Read our full analysis of Corcept’s results here.
Collegium Pharmaceutical (NASDAQ: COLL)
Pioneering abuse-deterrent technology in a field plagued by addiction concerns, Collegium Pharmaceutical (NASDAQ: COLL) develops and markets specialty medications for treating moderate to severe pain, including abuse-deterrent opioid formulations.
Collegium Pharmaceutical reported revenues of $209.4 million, up 31.4% year on year. This number topped analysts’ expectations by 10.7%. Overall, it was a stunning quarter as it also logged a solid beat of analysts’ revenue estimates and full-year revenue guidance exceeding analysts’ expectations.
Collegium Pharmaceutical delivered the biggest analyst estimates beat among its peers. The stock is up 31.6% since reporting and currently trades at $47.17.
Bristol-Myers Squibb (NYSE: BMY)
With roots dating back to 1887 and a transformative merger in 1989 that gave the company its current name, Bristol-Myers Squibb (NYSE: BMY) discovers, develops, and markets prescription medications for serious diseases including cancer, blood disorders, immunological conditions, and cardiovascular diseases.
Bristol-Myers Squibb reported revenues of $12.22 billion, up 2.9% year on year. This result beat analysts’ expectations by 3.7%. It was a very strong quarter as it also produced an impressive beat of analysts’ revenue estimates and a solid beat of analysts’ full-year EPS guidance estimates.
The stock is up 32.9% since reporting and currently trades at $56.60.
Read our full, actionable report on Bristol-Myers Squibb here, it’s free for active Edge members.
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