Mizuho Securities Says R&D Spend and Product Sales Responsible for Sucampo Pharma's (SCMP) 3Q Miss; Reiterates Neutral

Mizuho Securities reiterated a Neutral rating on Sucampo Pharmaceuticals (NASDAQ: SCMP), and cut the price target to $19.00 (from $22.00), following the company's 3Q earnings report. Revenues of $33.4M missed consensus of $36.2M and EPS of $0.16 missed consensus by $0.04. Mizuho attributed the miss to higher R&D spend and lower product sales to Mylan. Management also updated FY16 guidance to $0.97-$1.07 in diluted EPS and revenue of $195.0M-$205.0M.

Analyst Irina Koffler commented, "We reiterate our NEUTRAL thesis on SCMP and lower our PT from $22 to $19. We continue to worry about 2016 competitive pressure for Amitiza and limited M&A options ahead of 2021."

For an analyst ratings summary and ratings history on Sucampo Pharmaceuticals click here. For more ratings news on Sucampo Pharmaceuticals click here.

Shares of Sucampo Pharmaceuticals closed at $17.66 yesterday.

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