WallachBeth Capital Starts Jazz Pharmaceuticals (JAZZ) at Buy; Unusually Strong Revenue and Earnings Growth
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Price: $244.96 -0.36%
Rating Summary:
33 Buy, 5 Hold, 0 Sell
Rating Trend:
Down
Today's Overall Ratings:
Up: 13 | Down: 14 | New: 11
Rating Summary:
33 Buy, 5 Hold, 0 Sell
Rating Trend:
Down
Today's Overall Ratings:
Up: 13 | Down: 14 | New: 11
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WallachBeth Capital initiates coverage on Jazz Pharmaceuticals (NASDAQ: JAZZ) with a Buy. PT $63.00.
Analyst, Peter McDonald, said, "JAZZ is a specialty pharmaceutical company with unusual strong revenue and earnings growth. Between 2010 and 2012, revenue more than tripled from $174MM to an estimated $612MM, while EPS improved from $0.83 to an estimated $2.41. We estimate sales may reach $1B in 2014, on the back of orphan drugs (or orphan drug like) Xyrem, Erwinaze and Prialt. Xyrem grew from $90MM in 2009 to an estimated $380MM this year, primarily driven by price increases. We believe there is more room for price increases as the relative price of this drug vs. other orphan drugs is still low. Patent protection around Xyrem’s REMS program appears strong and we expect the earliest a generic could come onto the scene is 2024. Erwinaze and Prialt are the latest additions to the portfolio, and we expect rapid growth under JAZZ’s experienced commercial management, growing from $96MM in 2012 to $180MM on combined basis in 2013."
For an analyst ratings summary and ratings history on Jazz Pharmaceuticals click here. For more ratings news on Jazz Pharmaceuticals click here.
Shares of Jazz Pharmaceuticals closed at $46.50 yesterday.
Analyst, Peter McDonald, said, "JAZZ is a specialty pharmaceutical company with unusual strong revenue and earnings growth. Between 2010 and 2012, revenue more than tripled from $174MM to an estimated $612MM, while EPS improved from $0.83 to an estimated $2.41. We estimate sales may reach $1B in 2014, on the back of orphan drugs (or orphan drug like) Xyrem, Erwinaze and Prialt. Xyrem grew from $90MM in 2009 to an estimated $380MM this year, primarily driven by price increases. We believe there is more room for price increases as the relative price of this drug vs. other orphan drugs is still low. Patent protection around Xyrem’s REMS program appears strong and we expect the earliest a generic could come onto the scene is 2024. Erwinaze and Prialt are the latest additions to the portfolio, and we expect rapid growth under JAZZ’s experienced commercial management, growing from $96MM in 2012 to $180MM on combined basis in 2013."
For an analyst ratings summary and ratings history on Jazz Pharmaceuticals click here. For more ratings news on Jazz Pharmaceuticals click here.
Shares of Jazz Pharmaceuticals closed at $46.50 yesterday.
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