Silicon Investor (SI) -- The First Internet Community

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.

Strategies & Market Trends : Charts for Quick CASH $$$ -- Ignore unavailable to you. Want to Upgrade?

To: Galirayo who wrote (8418)	7/16/1998 11:26:00 PM
From: John Metcalf	Read Replies (2) \| Respond to of 9262

{AKRN} Ray and Rick, Akorn will announce earnings next week (I think on Weds). The story is growth through acquiring products, and leveraging fixed costs and sales force. Last quarter, revs were up 36% year on year, and EPS were up 82%. In April, they licensed Biolon from BTGC and Sufenta and Alfenta from AZA. In May they launched Cromolyn Sodium and got FDA approval of their injectable Diltiazem (the first of four products they will make in a deal with Baxter). So - the June quarter should be great, with five new products launched in the quarter. Of course, problems are possible and may explain the down move. If there has been an analyst downgrade I haven't seen it. This week's news included license of three products from Allergan and acquisition of the Advanced Remedies division of Sidmak. They also announced execution of a new revolving credit facility to pay for acquisitions. It should be remembered that their acquisitions have been mostly products and not whole companies. Nevertheless, the market has not reacted well. I still see this as a great growth story. Market cap is about $125mm. Price to sales ratio is about 2.4. Price to earnings is about 29 at the March quarter earnings rate; lower going forward.