Exelixis Plummets 16.7% to $36.96

Exelixis (EXEL) stock has fallen by 16.7% to $36.96.

Exelixis, Inc. (Nasdaq: EXEL) has seen its stock price fall by 16.7% to $36.96, following the release of its second quarter 2025 financial results. The company reported total revenues of $568.3 million, a decrease from $637.2 million in the same period last year. Net product revenues, which were $520.0 million, also showed a decline from $437.6 million in the previous year. This drop in revenues can be attributed to a decrease in collaboration revenues, primarily due to a $150.0 million commercial milestone recognized during the second quarter of 2024.

Despite the decline in revenues, Exelixis maintained its financial guidance for fiscal year 2025, expecting total revenues to range between $2.25 billion and $2.35 billion. The company also reported GAAP diluted EPS of $0.65 and non-GAAP diluted EPS of $0.75. The decrease in GAAP diluted EPS was primarily due to lower weighted-average common shares outstanding, which was impacted by stock repurchase programs.

Michael M. Morrissey, Ph.D., President and Chief Executive Officer of Exelixis, highlighted the company's progress in achieving key corporate objectives. He noted the successful launch of CABOMETYX® in advanced neuroendocrine tumors (NET), capturing a leading share of new patient starts among oral therapies. The company also announced positive topline results from the STELLAR-303 pivotal study in colorectal cancer, which demonstrated a statistically significant improvement in overall survival (OS) versus regorafenib.

However, Exelixis decided not to proceed with the phase 3 portion of the STELLAR-305 study in advanced squamous cell carcinoma of the head and neck due to emerging competition and assessment of other potentially larger commercial opportunities. The company initiated the STELLAR-311 pivotal study in advanced NET during the quarter and plans to announce additional pivotal trials in the coming months.

Exelixis' stock price drop can be attributed to the company's lower-than-expected revenues and the decision to pause the phase 3 portion of the STELLAR-305 study. Investors are closely watching Exelixis' pipeline development and commercial milestones to assess the company's long-term prospects.

References:
[1] Exelixis Announces Second Quarter 2025 Financial Results and [2] https://ir.exelixis.com/news-releases/news-release-details/exelixis-announces-second-quarter-2025-financial-results-and