Pharmaceutical company Amneal Pharmaceuticals (NASDAQ: AMRX) will be reporting results tomorrow before market hours. Here’s what investors should know.

Amneal beat analysts’ revenue expectations by 2.4% last quarter, reporting revenues of $702.5 million, up 13.3% year on year. It was a strong quarter for the company, with a solid beat of analysts’ EPS estimates and full-year EPS guidance in line with analysts’ estimates.

Is Amneal a buy or sell going into earnings? Read our full analysis here, it’s free.

This quarter, analysts are expecting Amneal’s revenue to grow 14.5% year on year to $706.6 million, improving from the 1.2% increase it recorded in the same quarter last year. Adjusted earnings are expected to come in at $0.15 per share.

Analysts covering the company have generally reconfirmed their estimates over the last 30 days, suggesting they anticipate the business to stay the course heading into earnings. Amneal has missed Wall Street’s revenue estimates three times over the last two years.

Looking at Amneal’s peers in the pharmaceuticals segment, some have already reported their Q4 results, giving us a hint as to what we can expect. Viatris’s revenues decreased 8.1% year on year, missing analysts’ expectations by 1.8%, and Supernus Pharmaceuticals reported revenues up 6%, topping estimates by 12.2%. Supernus Pharmaceuticals traded down 2.8% following the results.

Read our full analysis of Viatris’s results here and Supernus Pharmaceuticals’s results here.

Valuation multiples for many growth stocks have not yet reverted to their early 2021 highs, but the market has been optimistic as of late due to a soft landing. This is an economic situation where rate hikes successfully quelled inflation but did not send the economy into a recession. Furthermore, recent rate cuts and Donald Trump's triumph in the 2024 Presidential election have been tailwinds for the market, and while some of the pharmaceuticals stocks have shown solid performance, the group has generally underperformed, with share prices down 4.4% on average over the last month. Amneal is down 5.4% during the same time and is heading into earnings with an average analyst price target of $11.25 (compared to the current share price of $8.26).

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