Harmony Biosciences Holdings, Inc. (NASDAQ: HRMY) had a good day on Tuesday. Shares closed up about 8% after the company announced record revenue for the second quarter of 2026. If you're a fan of numbers, here's the headline: earnings of $1.28 per share, beating the consensus of 94 cents. Sales hit $261.30 million, also topping the expected $248.41 million. Not bad for a Tuesday.
The company, which focuses on neurological diseases, is seeing its main product WAKIX continue to grow. Net revenue for WAKIX rose 30% year-over-year to $261.3 million, with an estimated average of 8,950 patients using the product. The company also reiterated its full-year guidance for WAKIX net revenue, projecting between $1.0 billion and $1.04 billion, compared to the consensus of $1.02 billion. So, they're staying the course.
But it's not just about the money. Harmony also shared some early data from its pipeline. The company announced single ascending dose (SAD) data from its Phase 1 study of BP-205, which showed favorable pharmacokinetic (PK) and safety/tolerability profiles. This supports Harmony's robust orexin development strategy, including plans to initiate Phase 2 studies beginning in mid-2027 to evaluate multiple CNS indications. In plain English: they're making progress on new treatments that could be big deals down the road.
Now, let's talk about the stock's technical picture. Harmony is currently trading at $39.07, which is 9.1% above its 20-day simple moving average (SMA) of $35.77 and 13% above its 50-day SMA of $34.56. The moving average convergence divergence (MACD) is above its signal line, indicating that downside pressure is easing and momentum is improving. The stock is approaching key resistance at $41.00, so traders should watch for potential breakout opportunities. Over the past 12 months, the stock has gained about 9.88%, suggesting a positive longer-term trend.
What do analysts think? The stock carries a Hold rating with an average price forecast of $39.86. But recent moves suggest some are getting more optimistic. Needham raised its price forecast to $50 (Buy) on Aug 4. Mizuho raised its forecast to $51.00 (Outperform) on July 31. HC Wainwright & Co. maintained its forecast at $55.00 (Buy) on July 16. Deutsche Bank raised its forecast to $36.00 (Hold) on June 30. So, there's a mix, but the bulls are getting louder.
If you like scorecards, here's a quick look at Harmony's value, quality, and momentum compared to the broader market. Value: 82.66, indicating a strong value opportunity relative to peers. Quality: 78.62, suggesting a healthy balance sheet and operational efficiency. Momentum: 35.33, reflecting weaker momentum compared to the broader market. So, it's a value and quality play, but momentum has been lagging.
In premarket trading on Wednesday, Harmony shares were up 0.26% at $38.88, according to market data. So, the stock is holding its gains. All in all, it's a good time for Harmony Biosciences, with strong sales, a promising pipeline, and analysts starting to take notice.
