Canaccord Genuity Maintains a 'Buy' on Spectrum Pharmaceuticals (SPPI); Mixed Q4 Results
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Price: $1.03 --0%
Rating Summary:
3 Buy, 6 Hold, 1 Sell
Rating Trend: = Flat
Today's Overall Ratings:
Up: 10 | Down: 12 | New: 20
Rating Summary:
3 Buy, 6 Hold, 1 Sell
Rating Trend: = Flat
Today's Overall Ratings:
Up: 10 | Down: 12 | New: 20
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Auriga maintains a 'Buy' on Spectrum Pharmaceuticals (NASDAQ: SPPI) price target of $18.00.
Auriga analyst said, "Q4 results were mixed. Revenue was in line while EPS missed consensus due to higher expenses. The leucovorin generic shortage is likely to persist with Q3/2012 likely the earliest for potential resolution. Meanwhile, we expect Fusilev to benefit with strong Q1/Q2 revenue as well as better retention of shares in post shortage era. Additional upside includes potential positive read-out on the phase III trial on Apaziquone. Q4 results mixed. Revenue was in line at $53 million vs. consensus of $52.7 million. However, GAAP EPS missed consensus at $0.13 vs. consensus of $0.28, due to higher than expected SG&A expenses as well as increased COGS. The increased SG&A was due to a combination of several things: $6.6 million in stock based compensation, roughly $2 million higher than the level for past few quarters; $4 million for one time Zevalin repositioning campaign related charges; and seasonality of the marketing expenses (e.g., promotional event at ASH meeting). The company also commented that the increase in COGS is mostly one time charges and is expecting it to return to normal level in 2012."
For an analyst ratings summary and ratings history on Spectrum Pharmaceuticals click here. For more ratings news on Spectrum Pharmaceuticals click here.
Shares of Spectrum Pharmaceuticals closed at $13.93 yesterday.
Auriga analyst said, "Q4 results were mixed. Revenue was in line while EPS missed consensus due to higher expenses. The leucovorin generic shortage is likely to persist with Q3/2012 likely the earliest for potential resolution. Meanwhile, we expect Fusilev to benefit with strong Q1/Q2 revenue as well as better retention of shares in post shortage era. Additional upside includes potential positive read-out on the phase III trial on Apaziquone. Q4 results mixed. Revenue was in line at $53 million vs. consensus of $52.7 million. However, GAAP EPS missed consensus at $0.13 vs. consensus of $0.28, due to higher than expected SG&A expenses as well as increased COGS. The increased SG&A was due to a combination of several things: $6.6 million in stock based compensation, roughly $2 million higher than the level for past few quarters; $4 million for one time Zevalin repositioning campaign related charges; and seasonality of the marketing expenses (e.g., promotional event at ASH meeting). The company also commented that the increase in COGS is mostly one time charges and is expecting it to return to normal level in 2012."
For an analyst ratings summary and ratings history on Spectrum Pharmaceuticals click here. For more ratings news on Spectrum Pharmaceuticals click here.
Shares of Spectrum Pharmaceuticals closed at $13.93 yesterday.
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