VIVUS (NASDAQ: VVUS) received a number of price target changes and ratings updates during the last week:
- VIVUS had its price target lowered by analysts at JMP Securities from $33.00 to $30.00. They now have an “outperform” rating on the stock.
- VIVUS had its price target lowered by analysts at Lazard Capital Markets from $27.00 to $23.00. They now have a “buy” rating on the stock.
- VIVUS had its “buy” rating reaffirmed by analysts at Bank of America. They now have a $26.00 price target on the stock, down previously from $30.00. They wrote, “VVUS has announced that the EU regulatory agency (CHMP) confirmed its October 2012 decision to decline approval for the company’s weight loss drug Qsiva (Qsymia in the US) without a pre-approval cardiovascular outcomes trial (CVOT) to establish long-term safety. VVUS management does not plan to pursue further action on this ruling but may pursue other ex-US opportunities and could re-visit EU approval with interim data from its US-required post approval CVOT. We had assumed a low probability of approval in the EU, given continued caution in that region on prescription weight loss medications. Removing our ex-US royalty estimates lowered our NPV by ~$3/share. While our DCF-derived PO is now $26 ($30 previously), our favorable outlook for VVUS is unchanged.”
- VIVUS had its price target lowered by analysts at JPMorgan Chase to $22.00. They wrote, “We are maintaining our OW rating on VVUS following yesterday’s 4Q report. Updated launch metrics for the obesity drug Qsymia were generally inline with our expectations, and the bottom line is that nothing really changed our overall view. At this stage VVUS is a waiting game. Our prevailing stance is that accessibility (modifying the REMS and improving the reimbursement landscape) and patient/physician experience (through Feb 15, Qsymia had been prescribed to >27K unique pts and the prescriber base is now up to almost 12K providers) will be key to building this market. While we’re still optimistic this can and will all come together, we anticipate the jury could remain out until more clear cut evidence is available.”
- VIVUS had its price target lowered by analysts at Jefferies Group to $5.00. They wrote, “The company remains bullish on two key factors that will drive Rx acceleration: the expansion of Qsymia distribution from mail order to retail, which could be approved by April and rolled out in 2H13, and additional formulary wins. We remain cautious on the likelihood of seeing sufficient acceleration in Rx trends to justify the current valuation on a DCF basis, especially as the base of expenses to support the launch is higher than we had previously expected.”
- VIVUS had its price target lowered by analysts at Bank of America to $24.00. They wrote, “VVUS reported 4Q Qsymia sales of $2mn vs. our $2.5mn est. and reported higher than expected SG&A, driven by Qsymia launch costs. We expect this expense level could continue, given education requirements and potential for expansion to DTC advertising later in 2013. We raised our SG&A expense est. for 2013 to $190mn (from $150mn). We also trimmed our 2013 US Qsymia sales est. to $60mn (from $70mn) as we expect impact from a positive FDA decision on retail access to now be more weighted in 2H13.”
- VIVUS had its “sell” rating reaffirmed by analysts at Brean Murray. They now have a $7.00 price target on the stock.
- VIVUS had its “buy” rating reaffirmed by analysts at Needham & Company. They now have a $20.00 price target on the stock.
VIVUS opened at 10.89 on Wednesday. VIVUS has a 1-year low of $9.86 and a 1-year high of $31.21. The stock’s 50-day moving average is currently $13.20. The company’s market cap is $1.095 billion.
VIVUS, Inc. is a biopharmaceutical company. The Company is engaged in the development and commercialization of therapeutic drugs for underserved markets, including obesity and related morbidities, such as sleep apnea and diabetes, and men’s sexual health.
