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Biotech / Medical : Kos Pharmaceuticals, Inc (KOSP)

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From: tom pope5/5/2005 9:46:35 AM
   of 118
 
Merrill:

Price Objective Changes
Kos Pharmaceuticals Inc (KOSP, $54.29, C-1-9)
Reiterate Buy. Q1 Conf Call: Raising PT from $60 to $66. Raising 05E
from $2.55 to $2.65 and 06E from $3.06 to $3.15. KOSP believes that the
newly acquired hypertension products Cardizem LA, Teveten, and Teveten
HCT will have synergistic effects on its sales force productivity. Filed an
sNDA for its modified formulation of Niaspan in May, & sees a 6 mo
review. Expects 2Q rev to be about $170M, & EPS to be just below Q1
EPS of $0.58. Despite the big run that KOSP has had, we believe that
growth of the Niaspan franchise & EPS accretion from the deal should
drive KOSP higher over the next year.
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