NEW YORK (TheStreet) -- Shares of Celgene (CELG) - Get Report were surging 6.06% to $104.37 on heavy trading volume mid-Thursday morning after the company posted higher-than-anticipated results for the 2016 third quarter and increased its forecast for the full year.
Before today's market open, the Summit, NJ-based biopharmaceutical company reported adjusted earnings of $1.58 per share, topping analysts' estimates of $1.48 per share.
Revenue grew 28% over last year to $2.98 billion and beat Wall Street's projections of $2.83 billion.
The better-than-expected results were partly due to growing demand for Celgene's multiple myeloma cancer drug Revlimid. Sales of the drug rose 30% to $1.89 billion year-over-year.
For 2016, Celgene now expects adjusted earnings per share of $5.88 to $5.92 on revenue of about $11.2 billion. Previously, the company had projected adjusted earnings per share of $5.70 to $5.75 on revenue of roughly $11.0 billion.
Analysts are modeling earnings of $5.77 per share on revenue of $11.1 billion for the full year.
For fiscal 2017, Celgene sees adjusted earnings per share between $6.75 and $7.00 on revenue in the high end of the range of $12.7 billion to $13.0 billion. Wall Street is looking for earnings of $7.02 per share on revenue of $13.1 billion for 2017.
More than 3.84 million of Celgene shares had traded by mid-morning today vs. the 30-day average of 3.67 million.
Separately, TheStreet Ratings objectively rated this stock according to its "risk-adjusted" total return prospect over a 12-month investment horizon. Not based on the news in any given day, the rating may differ from Jim Cramer's view or that of this articles's author.
TheStreet Ratings rated this stock as a "buy" with a ratings score of B.
The company's strengths can be seen in multiple areas, such as its robust revenue growth, increase in net income, good cash flow from operations, expanding profit margins and growth in earnings per share. We feel its strengths outweigh the fact that the company has had lackluster performance in the stock itself.
You can view the full analysis from the report here: CELG