Lineage Cell Therapeutics (NYSEAMERICAN:LCTX) Posts Quarterly Earnings Results, Hits Expectations

Lineage Cell Therapeutics (NYSEAMERICAN:LCTX) released its earnings results on Thursday. The company reported ($0.03) earnings per share for the quarter, hitting analysts’ consensus estimates of ($0.03), FiscalAI reports. The business had revenue of $1.07 million for the quarter, compared to the consensus estimate of $1.84 million. Lineage Cell Therapeutics had a negative return on equity of 89.36% and a negative net margin of 434.44%.

Here are the key takeaways from Lineage Cell Therapeutics’ conference call:

• Cash runway extended into Q3 2028: Lineage reported $50.8 million in cash, cash equivalents, and marketable securities, aided by a $4.6 million ATM raise. The company also cited potential additional funding from warrant exercises, Roche milestones, and future partnerships.
• OpRegen remains dependent on Roche/Genentech optimization work, particularly surgical delivery for the GAlette study, before a potential multicenter controlled trial. Lineage pointed to expanded study sites, EMA IRIS registration, and Roche’s conference activity as encouraging signals, but acknowledged these steps do not commit Roche to a European study or advancement.
• Lineage highlighted rapid expansion of its internally owned “Lineage 3.0” pipeline using the AlloSCOPE manufacturing platform. COR1 corneal endothelial cells are entering in vivo testing with initial data targeted by year-end, while the ILT1 diabetes program is focused on solving the large-scale islet manufacturing challenge.
• ReSonance, the auditory neuronal cell therapy partnered with Demant, has completed three engineering runs and its first GMP run, with release testing underway. Demant may fund up to $12 million of preclinical work intended to support an IND and/or CTA filing.
• Second-quarter revenue declined to $1.1 million from $2.8 million a year earlier, while R&D spending increased to $4.8 million as Lineage invested in preclinical programs. Reported net income of $1.5 million was primarily driven by a non-cash gain from warrant remeasurement rather than operating performance.

Lineage Cell Therapeutics Trading Down 0.9%

LCTX stock traded down $0.01 during trading on Thursday, hitting $1.13. The company had a trading volume of 711,637 shares, compared to its average volume of 999,886. Lineage Cell Therapeutics has a one year low of $0.95 and a one year high of $2.09. The business has a 50-day moving average of $1.21 and a 200-day moving average of $1.45. The stock has a market cap of $281.71 million, a PE ratio of -3.90 and a beta of 1.53.

Institutional Investors Weigh In On Lineage Cell Therapeutics

A number of hedge funds have recently added to or reduced their stakes in the company. Kestra Advisory Services LLC increased its position in shares of Lineage Cell Therapeutics by 174.7% during the fourth quarter. Kestra Advisory Services LLC now owns 27,747 shares of the company’s stock valued at $46,000 after buying an additional 17,647 shares during the period. Rhumbline Advisers increased its holdings in Lineage Cell Therapeutics by 9.9% during the 1st quarter. Rhumbline Advisers now owns 201,447 shares of the company’s stock worth $91,000 after acquiring an additional 18,092 shares during the period. DLD Asset Management LP purchased a new stake in Lineage Cell Therapeutics in the 4th quarter worth approximately $33,000. Raymond James Financial Inc. grew its position in shares of Lineage Cell Therapeutics by 30.3% during the 3rd quarter. Raymond James Financial Inc. now owns 90,381 shares of the company’s stock valued at $153,000 after purchasing an additional 21,001 shares in the last quarter. Finally, Jain Global LLC increased its holdings in shares of Lineage Cell Therapeutics by 202.3% in the fourth quarter. Jain Global LLC now owns 38,851 shares of the company’s stock worth $65,000 after purchasing an additional 26,000 shares during the period. Institutional investors and hedge funds own 62.47% of the company’s stock.

Wall Street Analyst Weigh In

A number of brokerages have recently commented on LCTX. D. Boral Capital reaffirmed a “buy” rating and issued a $3.00 price target on shares of Lineage Cell Therapeutics in a research note on Monday, May 4th. HC Wainwright reissued a “buy” rating on shares of Lineage Cell Therapeutics in a research report on Tuesday, July 14th. Finally, Canaccord Genuity Group began coverage on shares of Lineage Cell Therapeutics in a research note on Tuesday, April 28th. They issued a “buy” rating and a $9.00 price target on the stock. Four research analysts have rated the stock with a Buy rating, According to data from MarketBeat, Lineage Cell Therapeutics presently has a consensus rating of “Buy” and an average target price of $6.25.

Lineage Cell Therapeutics Company Profile

Lineage Cell Therapeutics is a clinical-stage biotechnology company developing novel, allogeneic cell therapies built on pluripotent stem cell platforms. The company focuses on three primary therapeutic areas—retinal disease, neural repair and immune-effector cell oncology—leveraging its proprietary manufacturing processes to create off-the-shelf cell therapy candidates designed for broad patient populations.

Its lead candidate, OpRegen, comprises retinal pigment epithelium cells intended to slow or reverse vision loss in patients with geographic atrophy secondary to age-related macular degeneration.