Valeant (VRX) Had 95 New Price Increases, Wells Fargo's Maris Notes

Wells Fargo analyst David Maris notes that on Friday, January 6th, Valeant Pharmaceuticals (NYSE: VRX) implemented 95 different price increases across more than 50 products.

"In our opinion, this is an example of Valeant's continued reliance on price as a means of growth and may also signal that Valeant's prescription volumes continue to remain challenged," Maris commented. "Recall that these price increases come on top of significant price increases--some of them more than 100%--taken on products in previous years and several taken in late 2016. According to data from Medi-Span PriceRx, Valeant had 76 price increases of 9% and its average price increase was approximately 8.4%. The price increases appear to span Valeant's dermatology, ophthalmology, and gastroenterology portfolios."

Maris notes Valeant lowered the list price of Nitropress by approximately 66. "Nitropress appears to be the only list price decrease Valeant has implemented since the initiation of its Patient Access and Pricing Committee," he commented.

The analyst maintained an Underperform rating and valuation range of $10-$13.

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

Shares of Valeant Pharmaceuticals closed at $15.29 yesterday.

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