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	6/29/2007 10:23:08 AM
	of 238

ML on pharma: Industry/Sector Updates US Major Pharmaceuticals: Quarterly upside likely…again Based on healthy US pricing, positive FX tailwind & cost efficiency initiatives, we expect five of the six US Major Pharma companies to beat consensus. On FX, we anticipate +2% top-line impact similar to 1Q:07. BMY: Raised 2QE to $0.36 from $0.34 to reflect cost containment & bumped ‘07E/‘08E to $1.51/$1.88 from $1.49/$1.85. LLY: ML estimate $0.82 versus consensus $0.82. MRK: Project $0.75 versus cons’ $0.71. PFE: MLe $0.51 versus consensus $0.50. SGP: MLe is $0.36 versus consensus $0.34; Akzo to report 2Q results for Organon on July 24th.WYE: MLe is $0.90 versus consensus $0.86. U.S. Major Pharmaceuticals: 2% FX benefit in 2QE We estimate that FX continued to be favorable for drug companies in 2Q:07E. We include three calculations: EURO, Yen and ROW. The US Dollar weakened 7% YOY in 2Q vs. the EURO, strengthened against the Yen 5% and weakened 4% vs. rest of world (ROW). We estimate the net FX impact to the top line of U.S. Major Pharma to be +2% in 2Q:07E, vs. +2% in 1Q:07. The FX impact to international sales of these cos. ranges from +4% to +5% in 2Q:07E. The bottom line impact should be mitigated somewhat by natural and active hedging. Dollar weakening should benefit full-year ’07 by +2%. 2008 outlook suggests 0% FX impact. For US-based companies, a strengthening US Dollar would mean an FX hit; conversely, a weakening US Dollar would mean an FX benefit.

Report TOU Violation

Share This Post

Public Reply Prvt Reply Mark as Last Read File

Previous 10 Next 10 Previous Next