Needham & Company Maintains a 'Buy' on Akorn (AKRX); Strong Tailwinds Drive 4Q11 Top-Line Upside; Pipeline Looks Good
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Price: $0.09 --0%
Rating Summary:
6 Buy, 9 Hold, 2 Sell
Rating Trend: = Flat
Today's Overall Ratings:
Up: 16 | Down: 11 | New: 13
Rating Summary:
6 Buy, 9 Hold, 2 Sell
Rating Trend: = Flat
Today's Overall Ratings:
Up: 16 | Down: 11 | New: 13
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Needham & Company maintains a 'Buy' on Akorn (NASDAQ: AKRX) price target raised $1 to $14.
Analyst, Elliot Wilbur, said, "AKRX exited 2011 with significant top- and bottom-line momentum, evidenced by 4Q11 numbers that sailed over Street consensus demonstrating impressive 50% y/y and 18% sequential top line growth. It appears 2012 is gearing up to be another year of significant outperformance potential as AKRX continues to ride a wave of top-line momentum fueled by recent acquisitions of AVR (~$20.0MM annualized run rate) and three branded agents obtained from Lundbeck at year-end ($30.0MM-$35.0MM in sales). More impressive than the acquisition-packed combined rate of expected top-line growth (guidance projects 70% y/y), in our view, is the continued robust rate of underlying organic growth, projected at north of 30% and fueled mainly by derisked base generic growth and selective product reintroductions."
Wilbur feels AKRX is one of the best positioned for growth in the sector, and it's probably a mistake to cut and run at this point.
FY12/13 EPS estimates are raised by $0.02 each, to $0.52/0.72, respectively.
For an analyst ratings summary and ratings history on Akorn click here. For more ratings news on Akorn click here.
Shares of Akorn closed at $11.26 yesterday.
Analyst, Elliot Wilbur, said, "AKRX exited 2011 with significant top- and bottom-line momentum, evidenced by 4Q11 numbers that sailed over Street consensus demonstrating impressive 50% y/y and 18% sequential top line growth. It appears 2012 is gearing up to be another year of significant outperformance potential as AKRX continues to ride a wave of top-line momentum fueled by recent acquisitions of AVR (~$20.0MM annualized run rate) and three branded agents obtained from Lundbeck at year-end ($30.0MM-$35.0MM in sales). More impressive than the acquisition-packed combined rate of expected top-line growth (guidance projects 70% y/y), in our view, is the continued robust rate of underlying organic growth, projected at north of 30% and fueled mainly by derisked base generic growth and selective product reintroductions."
Wilbur feels AKRX is one of the best positioned for growth in the sector, and it's probably a mistake to cut and run at this point.
FY12/13 EPS estimates are raised by $0.02 each, to $0.52/0.72, respectively.
For an analyst ratings summary and ratings history on Akorn click here. For more ratings news on Akorn click here.
Shares of Akorn closed at $11.26 yesterday.
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