ALNY Stock Tanks 28% as Q2 Earnings Miss Estimates, '26 Sales View Cut

ALNY stock declined 28.3% on Thursday as investors were likely disappointed by the dismal second-quarter performance and the downward revision of total product sales guidance. Net product revenues increased 74% on a reported basis and at CER to $1.17 billion, driven by strong growth in patient demand for Amvuttra and its other marketed drugs, Givlaari (givosiran) and Oxlumo (lumasiran).

ALNY's Q2 Results in Detail

Amvuttra is approved in the United States and EU to treat adult patients with polyneuropathy of hATTR amyloidosis (hATTR-PN). A label expansion for the drug has also been approved in the United States and the EU for treating cardiomyopathy of wild-type or hereditary transthyretin-mediated amyloidosis (ATTR-CM) in adults to reduce cardiovascular mortality, cardiovascular hospitalizations and urgent heart failure visits.

Amvuttra generated sales of $1.01 billion, up 106% year over year, driven by increased patient demand, mainly among ATTR-CM patients in the United States. This marked the first time Amvuttra revenues exceeded $1 billion in a quarter. Amvuttra sales, however, missed the Zacks Consensus Estimate of $1.05 billion.

Onpattro sales declined 65% year over year to $18.5 million as patients continued transitioning to Amvuttra. Onpattro sales missed the Zacks Consensus Estimate of $24.2 million.

Givlaari, approved for the treatment of acute hepatic porphyria, sales increased 11% year over year on a reported basis to $89.8 million, supported by growth in the number of patients receiving treatment. Givlaari sales beat the Zacks Consensus Estimate of $82.6 million. Oxlumo revenues also rose 11% on a reported basis to $52.1 million. Oxlumo sales missed the Zacks Consensus Estimate of $53.7 million.

Alnylam's Other Revenues Show Mixed Trends

Collaboration revenues declined 23% year over year to $47.2 million. Lower revenues recognized under the Regeneron REGN collaboration more than offset increased revenues from Roche RHHBY.

The increase in Roche revenues reflected higher reimbursable development activities related to the phase III ZENITH study of zilebesiran, which will evaluate zilebesiran to treat patients with hypertension at high cardiovascular risk. ALNY entered a strategic collaboration with RHHBY to co-develop and co-commercialize zilebesiran for the treatment of hypertension in 2023.

Year to date, Alnylam shares have plunged 48.3% against the industry’s 2.8% growth.

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Alnylam, in collaboration with Regeneron, is advancing cemdisiran as a monotherapy and in combination studies for the treatment of complement-mediated diseases. Per Regeneron, regulatory filings in the United States and the EU for cemdisiran in AChR antibody-positive generalized myasthenia gravis are currently under review. An FDA decision is expected in November 2026, while an EU decision is anticipated in the second half of 2027. Per the 2019 agreement, ALNY and REGN are also currently advancing multiple other programs.

Royalty revenues jumped 79% to $71.7 million, driven by increased volumes and royalty rates on global Leqvio sales by Novartis NVS.

Alnylam has granted Novartis exclusive global rights to manufacture and commercialize RNAi therapeutics targeting PCSK9, including Leqvio, for the treatment of hypercholesterolemia and other diseases. The FDA has approved Leqvio for several heart disease indications, alongside diet and statins. As of June 2026, Leqvio is approved in more than 109 countries.

ALNY's Operating Expenses Increase

Adjusted research and development (R&D) expenses increased 38% year over year to $377.2 million. The rise primarily reflected increased clinical study costs associated with the ZENITH phase III cardiovascular outcomes study in partnership with Roche. Increased expenses associated with the phase III TRITON-CM and TRITON-PN studies, evaluating nucresiran in patients with ATTR-CM and hATTR-PN, respectively, also contributed to higher R&D costs.

The company also increased spending on programs targeting bleeding disorders, Huntington's disease and cerebral amyloid angiopathy. Adjusted selling, general and administrative (SG&A) expenses rose 14% to $297.2 million, mainly due to investments supporting the global Amvuttra launch in ATTR-CM.

Despite higher expenses, adjusted operating income increased to $318.1 million from $95.5 million in the year-ago quarter. Product gross margin was 75%, down four percentage points year over year due primarily to higher royalties payable on Amvuttra sales.

Alnylam Maintains a Strong Cash Position

Cash, cash equivalents and marketable securities totaled $3.3 billion as of June 30, 2026, compared with $3 billion as of March 31, 2026. The increase was primarily driven by net cash inflows from operating activities.

Management said Amvuttra access remained broad, while patient adherence continued to exceed 90%. First-line patients now represent about 80% of new treatment initiations in the ATTR-CM market.

Alnylam is increasing customer-facing investments to broaden the drug's prescriber base. Management estimated that only about one-third of the growing pool of transthyretin prescribers has used Amvuttra, indicating room to expand physician adoption.

ALNY Cuts Its 2026 Product Sales Outlook

Alnylam lowered its 2026 net product revenue guidance to $4.7-$5.1 billion from $4.9-$5.3 billion. The revised range implies year-over-year growth of 57-71% at CER.

The company reduced its combined Amvuttra and Onpattro revenue forecast to $4.2-$4.5 billion from $4.4-$4.7 billion. Management attributed the cut to normalized second-line Amvuttra demand after early launch volumes benefited from pent-up demand among patients progressing on stabilizer therapy.

Alnylam reiterated its Givlaari and Oxlumo revenue forecast of $500-$600 million and adjusted R&D and SG&A expense guidance of $2.7-$2.8 billion.

The company raised its collaboration and royalty revenue outlook to $575-$625 million from $400-$500 million. The upward revision reflects stronger Leqvio royalties and higher Roche reimbursements tied to enrollment progress in the ZENITH study.

Our Take on ALNY's Q2 Performance

Alnylam's second-quarter results disappointed, with both earnings and revenues missing expectations, triggering a sharp selloff in the stock. Although total revenues surged year over year, fueled by blockbuster Amvuttra sales that exceeded $1 billion for the first time, the drug still fell short of consensus estimates. Higher R&D spending on late-stage pipeline programs and increased commercialization investments further weighed on the quarter, overshadowing continued strength in Givlaari, Oxlumo and Leqvio royalty revenues.

Investor sentiment was further dented by management's decision to lower its 2026 product sales guidance, reflecting a normalization in Amvuttra demand following the initial surge from previously untreated ATTR-CM patients. While Alnylam continues to highlight broad market access, strong patient adherence and significant room for physician adoption, the guidance cut suggests that near-term growth could be slower than previously anticipated. We believe the company's long-term growth story remains intact, but the reduced outlook is likely to weigh on the stock until Amvuttra's commercial momentum reaccelerates.

ALNY’s Zacks Rank and Stock to Consider

Alnylam currently carries a Zacks Rank #3 (Hold). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.

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