analysts and calls -- ML Message Board

STOCKTALK

We've detected that you're using an ad content blocking browser plug-in or feature. Ads provide a critical source of revenue to the continued operation of Silicon Investor. We ask that you disable ad blocking while on Silicon Investor in the best interests of our community. If you are not using an ad blocker but are still receiving this message, make sure your browser's tracking protection is set to the 'standard' level.

Biotech / Medical : analysts and calls -- ML

Public Reply Prvt Reply Mark as Last Read File

Previous 10 Next 10 Previous Next

From: tom pope	3/24/2006 10:21:32 AM
	of 238

BVF Biovail Corporation (BVF, $26.63, C-2-7) Downgrade to Neutral. Risk to Guidance from Early Generic Launches. Upside Not Compelling Given Risks. BVF reported strong Q4/05, and provided stronger-than-expected guidance for F2006. But we believe the outlook may be at risk in the event of negative outcomes in pending patent lawsuits relating to Wellbutrin XL. We are not equipped to predict outcomes of patent litigation. However, accelerating entry of generics for Wellbutrin XL to mid-2006 vs. mid-2007 negatively affects projected EPS by $0.47 prior to expense reduction. Valuation does not justify a BUY, particularly given the risks. We would revisit our rating based on the outcomes of legal proceedings, potential settlements with generic companies, and in-licensings/ acquisitions.

Report TOU Violation

Share This Post

Public Reply Prvt Reply Mark as Last Read File

Previous 10 Next 10 Previous Next