Compass Pathways (NASDAQ:CMPS) Posts Earnings Results, Misses Expectations By $1.49 EPS

Compass Pathways (NASDAQ:CMPS) announced its quarterly earnings results on Wednesday. The company reported ($1.88) EPS for the quarter, missing analysts’ consensus estimates of ($0.39) by ($1.49), FiscalAI reports.

Here are the key takeaways from Compass Pathways’ conference call:

• COMP360 delivered statistically significant positive Phase III results in treatment-resistant depression, with rapid symptom reduction and durability demonstrated through six months; management says the clinical and regulatory profile is now substantially de-risked.
• COMPASS expects to complete its rolling NDA submission to the FDA in the fourth quarter of 2026, with some modules already under review, and believes the recently finalized psychedelic guidance will not materially affect its ongoing approval process.
• The company anticipates a launch in the first half of 2027, but timing remains fluid because federal DEA and state rescheduling must follow potential FDA approval; management expects DEA rescheduling could occur within 90 days, though the exact timing is uncertain.
• COMPASS reported $433 million in cash as of June 30, which management believes funds operations through launch and into 2028, while commercial preparations include sales-force recruiting, payer engagement, site training, and plans to address roughly 8,000 interventional psychiatry centers.
• The company is continuing to collect 52-week safety data for both Phase III studies and expects to provide the full data set to the FDA during review; it is also restarting investigator-initiated studies in areas such as OCD while prioritizing the TRD approval and launch.

Compass Pathways Stock Performance

Compass Pathways stock traded down $0.15 during trading on Friday, reaching $13.40. The company had a trading volume of 1,430,812 shares, compared to its average volume of 3,733,234. The firm has a market capitalization of $1.81 billion, a price-to-earnings ratio of -2.90 and a beta of 2.50. The company has a current ratio of 3.32, a quick ratio of 3.32 and a debt-to-equity ratio of 0.15. The firm’s 50-day simple moving average is $12.58 and its 200 day simple moving average is $9.31. Compass Pathways has a 52 week low of $3.97 and a 52 week high of $15.40.

Wall Street Analysts Forecast Growth

CMPS has been the subject of a number of research analyst reports. Wells Fargo & Company began coverage on shares of Compass Pathways in a research report on Monday, July 27th. They issued an “equal weight” rating and a $13.00 target price for the company. Oppenheimer reissued an “outperform” rating on shares of Compass Pathways in a report on Wednesday. Stifel Nicolaus lifted their price objective on Compass Pathways from $14.00 to $21.00 and gave the stock a “buy” rating in a report on Tuesday, July 7th. Morgan Stanley upped their price objective on Compass Pathways from $17.00 to $18.00 and gave the company an “overweight” rating in a research report on Thursday. Finally, Evercore raised Compass Pathways from an “in-line” rating to an “outperform” rating and set a $21.00 target price on the stock in a report on Wednesday, July 8th. One research analyst has rated the stock with a Strong Buy rating, fourteen have issued a Buy rating, one has given a Hold rating and one has issued a Sell rating to the company’s stock. According to data from MarketBeat, the company presently has an average rating of “Moderate Buy” and a consensus target price of $23.36.

Institutional Trading of Compass Pathways

Hedge funds and other institutional investors have recently bought and sold shares of the stock. Persistent Asset Partners Ltd bought a new position in shares of Compass Pathways in the fourth quarter worth approximately $38,000. Advisory Services Network LLC bought a new stake in shares of Compass Pathways during the 3rd quarter valued at $41,000. Northeast Financial Consultants Inc purchased a new position in shares of Compass Pathways during the 2nd quarter valued at $59,000. MML Investors Services LLC bought a new position in Compass Pathways in the 4th quarter worth $69,000. Finally, Raymond James Financial Inc. increased its stake in Compass Pathways by 82.7% in the 3rd quarter. Raymond James Financial Inc. now owns 13,763 shares of the company’s stock worth $79,000 after buying an additional 6,228 shares in the last quarter. Hedge funds and other institutional investors own 46.19% of the company’s stock.

Compass Pathways Company Profile

Compass Pathways (NASDAQ: CMPS) is a clinical-stage biotechnology company focused on the development and commercialization of psilocybin therapy for mental health disorders. Founded in 2016 and headquartered in London with additional offices in the United States, Compass Pathways is pioneering the use of synthetic psilocybin combined with psychotherapy to address treatment-resistant depression. The company’s flagship program is a Phase IIb clinical trial evaluating COMP360, its proprietary psilocybin formulation, which has received Breakthrough Therapy designation from the U.S.