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This Pharma Stock With Earnings Seen Soaring 1,854% Forms Bullish Base

MICHAEL LARKIN
02:01 PM ET 02/06/2026

Many of the stock market’s big winners, such as the so-called Magnificent Seven, have been having challenging times of late. But pharma stock Aurinia Pharmaceuticals (AUPH) is currently forming a bullish chart pattern despite the carnage on the broader stock market.

The Canadian company is known for its Lupkynis medicine, which dominates the treatment space for Lupus Nephritis. This is a condition in which the immune system attacks healthy kidney tissue. It occurs in one in three people diagnosed with lupus.↑XNOW PLAYINGPrepare Your Portfolio For The Future By Finding Past Market Analogies

The firm has teamed up with Otsuka Pharmaceutical to commercialize the product in Europe, Japan and the U.K.

However, Aurinia is also working on a new product. It’s developing Aritinercept, also known as AUR200, an inhibitor that limits B-cell overproduction. The treatment is focused on autoimmune and kidney-related diseases.

While these white blood cells are key in fighting viruses and bacteria, overproduction can cause them to attack healthy tissues. Importantly, it is a dual-inhibitor. That means it limits the production of new B cells and shortens the life of mature antibody factories, which can harm the body due to overproduction.

The company reported encouraging Phase 1 test results in June, and more testing is ongoing.

Aurinia Pharmaceuticals Is Strong All-Around

The pharma stock boasts both fundamental and technical strength, which is reflected in its IBD Composite Rating at 97 out of a best-possible 99. It ranks among the top 10% of equities in terms of price performance over the past 12 months

At the moment, earnings performance is its Achilles’ heel. This is underscored by its Earnings Per Share Rating of 79.

The company has swung from loss to profit in four out of the past six quarters. Year-over-year earnings grew in each of the other two most recent quarters, though, with EPS surging 130% in the most recent period.

Wall Street expects Aurinia’s per-share earnings to rocket by a remarkable 1,854% in 2025. Analysts also project a 19% increase in profit in 2026.

The company has yet to announce the date of its latest quarterly report. However, it is currently expected to publish its results on March 4, according to FactSet.

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Pharma Stock Analysis

The pharma stock has formed a flat base with an ideal buy point of 16.54, MarketSurge analysis shows. It is currently a selection to consider adding to a watchlist.

This is a third-stage pattern. IBD research shows the success rate for breakouts from third-stage bases is around 67%.

At the moment, the stock has met resistance at its 50-day moving average as it crafts its latest pattern. But a move above this key technical benchmark could serve as an early alternative entry point for aggressive investors.

Institutions have been net buyers of equity lately, as reflected in the stock’s Accumulation/Distribution Rating of B+. However, the overall level of sponsorship remains relatively low, with 31% of shares currently being held by the fund.

Experts are currently bullish on Aurinia’s prospects. The consensus rating on the stock is buy among Wall Street analysts, with the average price target sitting at 18.50, according to TipRanks.

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