Alnylam Pharmaceuticals Inc (NASDAQ:ALNY) Stock Dips Despite Blowout Q3 2025 Earnings

Alnylam Pharmaceuticals Inc (NASDAQ:ALNY) reported financial results for the third quarter of 2025 that significantly exceeded analyst expectations, driven by the explosive growth of its flagship product, AMVUTTRA. Despite the strong performance, the stock experienced downward pressure in pre-market trading following the earnings release.

Earnings and Revenue Performance Versus Estimates

The company delivered a substantial beat on both the top and bottom lines for the quarter. Total revenue reached $1.25 billion, a 149% increase compared to the same period last year and comfortably surpassing the analyst consensus estimate of approximately $997.3 million.

The outperformance was even more pronounced on profitability. Alnylam reported non-GAAP earnings per share (EPS) of $2.90, which dramatically exceeded the analyst estimate of $0.76. This represents a significant swing from the non-GAAP net loss per share of $0.50 reported in the third quarter of 2024.

Key financial highlights from the quarter include:

• Total Revenue: $1.25 billion (Actual) vs. ~$997.3 million (Estimate)
• Non-GAAP EPS: $2.90 (Actual) vs. $0.76 (Estimate)
• Total Net Product Revenues: $851.1 million, representing 103% year-over-year growth
• TTR Franchise Revenues: $724 million, representing 135% year-over-year growth, led by AMVUTTRA

Market Reaction and Price Action

Despite the robust earnings beat, Alnylam's stock was down approximately 6% in pre-market trading. This negative price action suggests a "sell-the-news" event, where the stellar results may have already been priced into the stock following a strong run-up. The stock has doubled in value during 2025 leading into the report, and investors may be taking profits despite the positive fundamentals. The reaction could also reflect concerns about the sustainability of such high growth rates or the market digesting the company's updated financial guidance.

Updated Financial Guidance and Pipeline Progress

Bolstered by the successful launch of AMVUTTRA for ATTR-CM, Alnylam raised its full-year 2025 financial guidance. The company now expects total net product revenues to be between $2.95 billion and $3.05 billion, a significant increase from its prior guidance range of $2.65 billion to $2.8 billion. This updated outlook implies a year-over-year growth of 79% to 85%, which appears ambitious but is supported by the current launch trajectory.

The company also highlighted several key pipeline advancements:

• Initiation of the TRITON-PN Phase 3 trial for nucresiran in hATTR-PN.
• Commencement of the ZENITH Phase 3 cardiovascular outcomes trial for zilebesiran in hypertension, in partnership with Roche.
• Progress in earlier-stage programs, including the initiation of Phase 2 and Phase 1 trials for ALN-6400 and ALN-5288, targeting bleeding disorders and Alzheimer's disease, respectively.

Conclusion

Alnylam's third-quarter performance was exceptionally strong, with revenue and profit vastly exceeding expectations. The company's raised guidance underscores confidence in the continued uptake of AMVUTTRA. While the immediate market reaction was negative, likely due to profit-taking after a significant rally, the fundamental picture for Alnylam remains robust, characterized by rapid commercial execution and a advancing clinical pipeline.

For a detailed look at Alnylam's historical earnings and future analyst estimates, you can visit the earnings estimates page for ALNY.

Disclaimer: This article is for informational purposes only and does not constitute investment advice, nor does it recommend buying or selling any securities. Investors should conduct their own research and consult with a financial advisor before making any investment decisions.