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    Exelixis (EXEL) Is Down 5.2% After Raising Q2 Profitability And Trimming 2026 Revenue Outlook – Has The Bull Case Changed?

    Simply Wall St·08/15/2026 23:25:38
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    • In early August 2026, Exelixis reported past second-quarter results showing revenue of US$628.69 million and net income of US$212.05 million, while slightly trimming its full-year 2026 revenue outlook to US$2.50 billion–US$2.55 billion and filing a US$112 million employee stock plan-related shelf registration.
    • Alongside these financial updates, Exelixis highlighted continued progress of its oncology pipeline, including zanzalintinib as a potential second franchise, reinforcing its effort to diversify beyond cabozantinib.
    • We’ll now examine how Exelixis’ raised profitability in Q2 2026 and modestly lower revenue guidance reshape the company’s broader investment narrative.

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    Exelixis Investment Narrative Recap

    To own Exelixis, you need to believe that cash flows from cabozantinib can bridge the company to a more diversified oncology portfolio anchored by zanzalintinib. The latest Q2 2026 results, with higher profitability but slightly lower full year revenue guidance, do not materially change that core bet. Near term, the key catalyst remains the December 2026 PDUFA decision for zanzalintinib in colorectal cancer, while dependence on cabozantinib remains the central risk.

    Among the recent updates, the modest trim to 2026 revenue guidance to US$2.50 billion to US$2.55 billion is most relevant here. It subtly tightens the gap between consensus expectations and the more bullish scenarios that assume faster growth from cabozantinib and future contributions from zanzalintinib. How investors interpret this guidance shift in light of upcoming trial readouts and the PDUFA decision will likely shape how much confidence they place in Exelixis’ transition beyond a single flagship drug.

    Yet beneath the solid Q2 numbers, one key concern investors should be aware of is cabozantinib’s heavy revenue concentration and potential exposure to...

    Read the full narrative on Exelixis (it's free!)

    Exelixis' narrative projects $3.3 billion revenue and $1.2 billion earnings by 2029.

    Uncover how Exelixis' forecasts yield a $49.65 fair value, a 3% downside to its current price.

    Exploring Other Perspectives

    EXEL 1-Year Stock Price Chart
    EXEL 1-Year Stock Price Chart

    Some of the most optimistic analysts were assuming Exelixis could reach about US$3.8 billion in revenue and US$1.5 billion in earnings by 2029, which is far more bullish than consensus and makes the recent guidance cut and ongoing cabozantinib dependence a useful test of how realistic those forecasts really are.

    Explore 6 other fair value estimates on Exelixis - why the stock might be worth just $49.07!

    Reach Your Own Conclusion

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    This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.