Oppenheimer Maintains an 'Outperform' on China Nuokang Bio-Pharmaceutical (NKBP); 3Q11 Review: Lukewarm Quarter But Bumpy Path Ahead
Tweet
Share
E-mailGet Alerts NKBP Hot Sheet
Price: $5.54 --0%
Rating Summary:
0 Buy, 0 Hold, 0 Sell
Rating Trend: = Flat
Today's Overall Ratings:
Up: 4 | Down: 8 | New: 8
Rating Summary:
0 Buy, 0 Hold, 0 Sell
Rating Trend: = Flat
Today's Overall Ratings:
Up: 4 | Down: 8 | New: 8
Join SI Premium – FREE
Oppenheimer maintains an 'Outperform' on China Nuokang Bio-Pharmaceutical (NASDAQ: NKBP) price target cut from $6.50 to $5.00.
Oppenheimer analyst said, "3Q11 revenue came in at RMB87.2M (+3.5% yoy), slightly above our estimate. Baquting grew 8.8% yoy although market share declined to 38%. Gross margin of 86.6% remains stable. Lower G&A contributed to higher than expected operating margin but a one-time non-cash tax accrual caused EPS to miss by a penny. We continue to believe Nuokang is attractive to strategic investors given its leading position in China's hematological and cardiovascular markets. However, we expect distractions to further pressure near-term performance as the company is seeking strategic alternatives to unlock shareholder value. On top of that, tender delays have been a roadblock for the Kaitong launch. Therefore, we're lowering our FY11/FY12 revenue and EPS estimates to $277.4M/$0.20 and $268.7M/$0.23."
For an analyst ratings summary and ratings history on China Nuokang Bio-Pharmaceutical click here. For more ratings news on China Nuokang Bio-Pharmaceutical click here.
Shares of China Nuokang Bio-Pharmaceutical closed at $3.25 yesterday.
Oppenheimer analyst said, "3Q11 revenue came in at RMB87.2M (+3.5% yoy), slightly above our estimate. Baquting grew 8.8% yoy although market share declined to 38%. Gross margin of 86.6% remains stable. Lower G&A contributed to higher than expected operating margin but a one-time non-cash tax accrual caused EPS to miss by a penny. We continue to believe Nuokang is attractive to strategic investors given its leading position in China's hematological and cardiovascular markets. However, we expect distractions to further pressure near-term performance as the company is seeking strategic alternatives to unlock shareholder value. On top of that, tender delays have been a roadblock for the Kaitong launch. Therefore, we're lowering our FY11/FY12 revenue and EPS estimates to $277.4M/$0.20 and $268.7M/$0.23."
For an analyst ratings summary and ratings history on China Nuokang Bio-Pharmaceutical click here. For more ratings news on China Nuokang Bio-Pharmaceutical click here.
Shares of China Nuokang Bio-Pharmaceutical closed at $3.25 yesterday.
Serious News for Serious Traders! Try StreetInsider.com Premium Free!
You May Also Be Interested In
- Truist Securities Assumes Corcept Therapeutics (CORT) at Buy
- BMO Capital Starts Cadillac Mines Corp (CADY:CN) at Outperform
- Morgan Stanley Upgrades Audinate Group Ltd (AD8:AU) to Overweight
Create E-mail Alert Related Categories
Analyst CommentsSign up for StreetInsider Free!
Receive full access to all new and archived articles, unlimited portfolio tracking, e-mail alerts, custom newswires and RSS feeds - and more!
