JMP Securities Sees Material Bottom-Line 'Beat' for Medivation (MDVN)

JMP Securities analyst Michael King offered positive comments on Medivation (NASDAQ: MDVN) ahead of earnings after the close of trading on May 7th. The firm reiterated a Market Outperform rating and price target of $143, saying they expect a material beat on the bottom-line.

King sees fully diluted non-GAAP EPS of $0.59, higher than consensus $0.39. They expect total revenues to MDVN of $147.8MM, in line with consensus at $146.9MM, but lower than 4Q14 revenues of $274.7MM due to significant milestones related to sales and expanded marketing authorizations of Xtandi in the EU and JPN,

They anticipate non-GAAP operational expenses to be lower than consensus estimates of $100.5MM, as compared to the JMP estimate of $90.9MM and 4Q14 result of $109.3MM. JMP estimates of U.S. Xtandi sales to be $260.1MM, higher than consensus of $241MM, as compared to 4Q14 sales of $230MM.

The firm anticipate that sales of Xtandi will likely beat the Street in light of strong script trends, arising principally from the expanded product label in September 2014 to include the pre-chemo setting.

King said the treatment of prostate cancer has entered a new era, with Xtandi representing a significant improvement upon the current treatment standards.

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

Shares of Medivation closed at $124.93 yesterday.

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