Stock Market News & Stocks to Watch from StraightStocks » Pharmaceutical

Sanofi Expands REGN Agreement – Analyst Blog

Zacks Market Commentaries — Wed, 25 Nov 2009 19:14:00 +0000

Sanofi-Aventis (SNY) recently extended and expanded its antibody collaboration with biopharmaceutical company, Regeneron Pharmaceuticals, Inc. (REGN). The companies had initially entered into a collaboration agreement in 2007, which was scheduled to expire in 2012.

Under the extended agreement, Sanofi will increase its annual funding commitment by $60 million to $160 million from 2010. Moreover, the agreement will now extend through 2017 with Sanofi having the option to extend the program for an additional three years.

The companies are looking to move four-five antibodies into clinical development every year. In addition to using its VelocImmune technology, Regeneron will also utilize its next generation technologies related to antibody generation for the development of antibodies under the collaboration.

Under the existing collaboration, four VelocImmune human antibodies are in clinical development, and the companies have filed for permission to move a fifth antibody into clinical development.

The extension of the agreement is in-line with Sanofi’s goal of focusing on new approaches to strengthen its R&D portfolio. Sanofi has been looking at several options to grow revenues given the high exposure of many of its leading franchises to generic risk. The generic risk to Lovenox is the most concerning and, if it were to materialize, would cause significant problems for Sanofi. Meanwhile, Plavix continues to face generic erosion in some parts of Europe.

Sanofi is looking to grow revenues through partnering deals and acquisitions in order to help plug revenue holes left by patent expirations. The recently concluded third quarter saw the company entering into licensing and collaboration agreements with Merrimack and Wellstat Therapeutics. Sanofi also signed an agreement to acquire French pharmaceutical company, Fovea.

Sanofi has also been focusing on the highest growth and most promising development programs. We expect Sanofi to continue look to contain operating costs in order to grow earnings in the face of weakening sales of some of its biggest products.
Read the full analyst report on "SNY"
Read the full analyst report on "REGN"
Zacks Investment Research

Stock Guru Featured Company: DecisionPoint Systems, Inc. (DNPI.OB)

QualityStocks — Wed, 25 Nov 2009 16:01:01 +0000

DecisionPoint is focused on developing enterprise wireless and mobile computing solutions for customers’ needs. In short, they bring the field workers into office in real time. Crucial information and transactions are immediately transmitted, improving accuracy and efficiency for the client. The enterprise mobile computing industry has standardized several key technologies over the past several years [...]

Small Cap Voice Featured Company: DecisionPoint Systems, Inc. (DNPI.OB)

QualityStocks — Tue, 24 Nov 2009 17:41:08 +0000

DrStockPick.com Stock Report! 11/24/09, PSFT, IVFH, HTDS, CW, HUM, RPC

Dr. Stock Pick — Tue, 24 Nov 2009 17:23:39 +0000

Dr Stock Pick HOT News & Alerts! _______________________________________ FREE Daily Stock Alerts From DrStockPick.com _______________________________________ Tuesday Nov 24, 2009 DrStockPick.com Stock Report! ************************************************************** PowerSafe Technology Corporation (Other OTC: PSFT.PK), announced today that two Small Business Innovation Research (SBIR) projects submitted by its wholly owned subsidiary Amplification Technologies Inc. (www.ampti.net) (ATI) have been competitively selected by NASA. Phase I [...]

Wider Loss for Alnylam – Analyst Blog

Zacks Market Commentaries — Thu, 12 Nov 2009 21:02:56 +0000

Alnylam Pharmaceuticals Inc. (ALNY) reported a third-quarter loss of 22 cents per share, below the Zacks Consensus Estimate of 24 cents but wider than the year-ago loss of 7 cents. The higher loss in the quarter is attributable to higher stock based compensation and legal expenses.

Revenues for the quarter came in at $24.2 million as against $25.7 million in the year-ago quarter, down 5.8%. Research and development costs increased 5% to $23.2 million primarily because of increased costs for clinical and pre-clinical programs coupled with increased R&D headcount to support Alnylam’s alliances and development programs.

General and administrative expenses increased 56% to $10.7 million. The increase in general and administrative spend was primarily driven by higher professional service fees in association with business activities, primarily legal activities, coupled with increased stock based compensation expenses.

Alnylam exited the quarter with $453.5 million in cash, cash equivalents and marketable securities and no debt compared to $512.7 million at the end of 2008. We are comfortable with the company’s current cash position, which allays our concern about its cash burn rate. Alnylam expects to end the year with cash, cash equivalents, and marketable securities balance in excess of $430 million.

Alnylam Pharmaceuticals, headquartered in Cambridge, Massachusetts, focuses on developing novel therapeutics based on a biological breakthrough known as RNA (Ribo Nucleic Acid) interference (RNAi). The company has entered into collaborations or deals with big pharmaceutical players like Novartis (NVS), Biogen Idec (BIIB), Roche and Takeda to further develop and utilize its core technology. The partnerships with major players further validate the potential and viability of the RNAi approach. We believe the company will continue to form new alliances with leading pharmaceutical and biotech companies in future.

Currently, we are Neutral on Alnylam.

Read the full analyst report on "ALNY"
Read the full analyst report on "BIIB"
Read the full analyst report on "NVS"
Zacks Investment Research

Zacks Analyst Blog Highlights: Enzon, Merck, OSI Pharmaceuticals, Pfizer and Bank of America Corporation – Press Releases

Zacks Market Commentaries — Wed, 11 Nov 2009 12:55:57 +0000

For Immediate Release

Chicago, IL – November 11, 2009 – Zacks.com announces the list of stocks featured in the Analyst Blog. Every day the Zacks Equity Research analysts discuss the latest news and events impacting stocks and the financial markets. Stocks recently featured in the blog include: Enzon (ENZN), Merck (MRK), OSI Pharmaceuticals (OSIP), Pfizer (PFE) and Bank of America Corporation (BAC).

Get the most recent insight from Zacks Equity Research with the free Profit from the Pros newsletter: http://at.zacks.com/?id=5513

Here are highlights from Tuesday’s Analyst Blog:

Enzon Beats, Announces Sell-off

Enzon records revenues from three sources -- products, royalties and contract manufacturing. The three segments recorded a decline of 1%, 6% and 56%, respectively, compared to the year-ago period.

Enzon has four marketed products -- Oncaspar for the treatment of acute lymphoblastic leukemia (ALL); DepoCyt for lymphomatous meningitis; Abelcet for antifungal infection related to cancer and Adagen used to treat severe combined immunodeficiency disease (SCID), commonly known as the "bubble boy" disease. Apart from Oncaspar, whose sales remained unchanged from the year-ago period, the other three recorded a decline of 4%, 15% and 10%, respectively.

Enzon earns royalties from several products, which have been manufactured using its proprietary PEGylation technology -- Pegintron, marketed by Merck (MRK); Macugen, marketed by OSI Pharmaceuticals (OSIP) and Pfizer (PFE); Pegasys, marketed by Hoffmann-La Roche; and Cimzia, marketed by UCB Pharma. The company earns a majority of royalty revenue from sales of Pegintron, which is approved for the treatment of hepatitis C. Unfavorable movement of the foreign exchange brought down royalty revenues during the quarter.

Additionally, cancelled shipments and discontinuation of customer schedules were responsible for lower contract manufacturing revenues. We expect contract manufacturing revenues to suffer going forward since many of the current contracts are to expire in the next two years.

R&D expenses during the quarter were $15.8 million, unchanged from the year-ago period. The company has several pipeline candidates: PEG-SN38, the HIF-1 alpha antagonist, Survivin (antagonist) and other LNA- and PEGylation- based programs.

The company’s financial position continues to worry us. At the end of the reported quarter, total cash reserves including investments were $201.3 million, down compared to $206.9 million at the end of December 2008, primarily due to the repurchase of $20.4 million of notes in 2009 offset by the cash provided by operating activities.

Shortly after announcing its third quarter results, Enzon announced that it has decided to sell its specialty pharmaceutical business to the Sigma-Tau group of Italy for $300 million. In addition, the company is eligible to receive another $27 million based on success milestones and royalties of 5% - 10% on incremental net sales above a 2009 baseline amount from its four marketed products through 2014.

BofA Extends $184B in Credit

In its latest quarterly Lending & Investing Initiative report, Bank of America Corporation (BAC) said on Monday that it has extended about $184 billion in credit during the third quarter of 2009 to support households and communities.

The report makes obvious how BofA is utilizing the bailout money to support the U.S. economy. According to the report, since the fourth quarter of 2008 when the Troubled Asset Relief Program (TARP) was initiated, BofA had extended $759 billion in new credit. This represents almost $17 for every dollar of the $45 billion it received under the TARP. BofA also continues to provide a significant return on investment to the U.S. taxpayers. The bank is expected to pay more than $2.5 billion in dividend to the U.S. Treasury through Nov 16, 2009.

The extension of home loans continues to be among BofA’s priorities. The company extended $96 billion alone in first mortgages during the reported quarter. The loans helped nearly 450,000 people purchase a home or refinance an existing mortgage.

BofA is also extending credit to the municipalities and non-profits and has already provided $7 billion to help meet local needs and serve communities across the country.

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Zacks Investment Research

PWRM, TEVA, DrStockPick.com Stock Report! Power 3 Medical Products Inc. and Teva Pharmaceutical Industries Ltd.

Dr. Stock Pick — Tue, 10 Nov 2009 21:02:31 +0000

Dr Stock Pick HOT News & Alerts! _________________________________________ FREE Daily Stock Alerts From DrStockPick.com _________________________________________ Tuesday November 10, 2009 DrStockPick.com Stock Report! PWRM, TEVA ************************************************************** PWRM, Power 3 Medical Products Inc, PWRM.OB Power3 Medical Products, Inc. is a leading bio-medical company engaged in the commercialization of neurodegenerative disease and cancer biomarkers, pathways, and mechanisms of diseases through the development of diagnostic tests and drug [...]

Enzon Beats, Announces Sell-off – Analyst Blog

Zacks Market Commentaries — Tue, 10 Nov 2009 20:53:40 +0000

Enzon (ENZN) achieved break-even earnings during the third quarter of 2009, better than the Zacks Consensus Estimate of loss of 7 cents but below the year-ago earnings of 1 cent. The company reported revenues of $44.6 million, a decline of 9% compared to $48.8 million reported in the third quarter of 2008.

Enzon records revenues from three sources -- products, royalties and contract manufacturing. The three segments recorded a decline of 1%, 6% and 56%, respectively, compared to the year-ago period.

Enzon has four marketed products -- Oncaspar for the treatment of acute lymphoblastic leukemia (ALL); DepoCyt for lymphomatous meningitis; Abelcet for antifungal infection related to cancer and Adagen used to treat severe combined immunodeficiency disease (SCID), commonly known as the "bubble boy" disease. Apart from Oncaspar, whose sales remained unchanged from the year-ago period, the other three recorded a decline of 4%, 15% and 10%, respectively.

Enzon earns royalties from several products, which have been manufactured using its proprietary PEGylation technology -- Pegintron, marketed by Merck (MRK); Macugen, marketed by OSI Pharmaceuticals (OSIP) and Pfizer (PFE); Pegasys, marketed by Hoffmann-La Roche; and Cimzia, marketed by UCB Pharma. The company earns a majority of royalty revenue from sales of Pegintron, which is approved for the treatment of hepatitis C. Unfavorable movement of the foreign exchange brought down royalty revenues during the quarter.

Additionally, cancelled shipments and discontinuation of customer schedules were responsible for lower contract manufacturing revenues. We expect contract manufacturing revenues to suffer going forward since many of the current contracts are to expire in the next two years.

R&D expenses during the quarter were $15.8 million, unchanged from the year-ago period. The company has several pipeline candidates: PEG-SN38, the HIF-1 alpha antagonist, Survivin (antagonist) and other LNA- and PEGylation- based programs.

The company’s financial position continues to worry us. At the end of the reported quarter, total cash reserves including investments were $201.3 million, down compared to $206.9 million at the end of December 2008, primarily due to the repurchase of $20.4 million of notes in 2009 offset by the cash provided by operating activities.

Shortly after announcing its third quarter results, Enzon announced that it has decided to sell its specialty pharmaceutical business to the Sigma-Tau group of Italy for $300 million. In addition, the company is eligible to receive another $27 million based on success milestones and royalties of 5% - 10% on incremental net sales above a 2009 baseline amount from its four marketed products through 2014.

The specialty pharmaceutical business includes the company’s four marketed products as well as the manufacturing facility in Indianapolis, Indiana which will be purchased by a US subsidiary of Sigma-Tau Pharmaceuticals, Inc. (Maryland). Sigma-Tau Pharmaceuticals will distribute the products in the US market.

Following the deal, Enzon’s business will consist of its royalties and its pipeline. We believe declining sales of the products in the recent past forced the company to take such decision. Currently, company’s aim will be to focus on its developmental candidates.
Read the full analyst report on "ENZN"
Read the full analyst report on "MRK"
Read the full analyst report on "OSIP"
Read the full analyst report on "PFE"
Zacks Investment Research

HealthSport, Inc. (HSPO.OB) Announces Agreement for $10 Million Investment by SMI Manufacturing

QualityStocks — Tue, 10 Nov 2009 18:00:19 +0000

HealthSport Inc. is the preeminent formulator and developer of edible, multi-layer film strips that deliver over-the-counter drug, nutritional and dietary supplement actives through buccal (between the cheek and gum) and sublingual absorption as well as oral ingestion. The company’s proprietary edible film strip technology has five patents pending and is believed to be superior to [...]

Big Pharma and Biotech – Industry Outlook

Zacks Market Commentaries — Mon, 09 Nov 2009 21:47:40 +0000

The pharmaceutical industry has witnessed major changes in 2009. Performance has been affected by factors like sluggish prescription trends, intensifying generic competition and limited phase III catalysts. The next five years are expected to reflect a significant imbalance between new product introductions and patent losses.

According to IMS Health (RX), this is the main reason why global pharmaceutical market growth will be restricted to the mid-single digits through 2013. Over the next five years, products that currently generate about $137 billion in sales are expected to face generic competition, including Lipitor, Plavix and Seretide. At the same time, new products are not expected to generate the same level of sales as the products losing patent protection have.

With most of the big pharma companies already facing patent challenges for their blockbuster products or likely to face them going forward, the companies have been looking toward mergers and acquisitions (M&A) and in-licensing deals to make up for the loss of revenues.

We saw huge M&A activity in the first half of 2009. Major deals include Abbott Laboratories’ (ABT) acquisition of Advanced Medical Optics, Johnson & Johnson’s (JNJ) acquisition of Mentor Corp., Pfizer’s (PFE) acquisition of Wyeth and the merger between Merck (MRK) and Schering-Plough (SGP).

While these deals took place between large-cap pharma companies, others have been looking toward biotech companies to build their product portfolios. Prime examples include Johnson & Johnson’s acquisition of Cougar Biotechnology, Roche’s acquisition of Genentech, Bristol-Myer Squibbs’ (BMY) acquisition of Medarex, and Sanofi-Aventis’ (SNY) acquisition of Fovea Pharmaceuticals, SA.

We expect this trend to continue. Small biotech companies are also game for such deals. Given the current economic situation, most small biotech companies are finding it difficult to raise cash, thereby making it difficult for them to survive and continue with the development of promising pipeline candidates. As such, it makes sense for these companies to seek deals with pharma companies that are sitting on huge piles of cash. We would recommend investors to put their money in biotech stocks that have attractive pipeline candidates or technology that can be used for the development of novel therapeutics.

Another recent trend seen in the pharmaceutical sector is a focus on emerging markets. Companies like Mylan Inc (MYL), GlaxoSmithKline (GSK) and Sanofi-Aventis are all looking to expand their presence in India, China, Brazil and other emerging markets.

Until recently, most of the commercialization efforts were focused on the U.S. (the largest pharmaceutical market), Europe and Japan. However, emerging markets are slowly and steadily gaining more importance and several companies are now shifting their focus to these areas. According to IMS Health, China’s pharmaceutical market is expected to continue to grow more than 20% annually, and contribute 21% of overall global growth through 2013. Growth in emerging markets could help stabilize the base business during the industry’s 2010-15 patent cliff.

In addition to patent challenges, pharma companies have been facing headwinds in the form of foreign exchange fluctuations. Increased generic competition and foreign exchange headwinds will continue impacting revenues of major pharmaceutical companies. Johnson & Johnson recently reported that third quarter revenues were down due to the impact of generics and foreign exchange headwinds. With revenue growth stalling or slowing down, companies have been resorting to cost-cutting and share buybacks to drive bottom-line growth.

Valuations, however, are attractive, with several of the largest players trading at PEs below 10x, including: Pfizer (8.3x), Eli Lilly (LLY) (7.7x), Sanofi-Aventis ( 7.7x), and AstraZeneca (AZN) (7.2x) based on fiscal 2009 estimates. Attractive valuations, along with big dividend yields and diversified revenues bases, should protect investors from significant downside risk even if the economy continues to languish in the coming quarters.

OPPORTUNITIES

In the pharma space, we are positive on stocks like Alcon (ACL) and Novartis (NVS). We believe these companies will continue witnessing revenue growth based on continued international penetration, new product launches and market share expansion. Pipeline expansion through in-licensing deals and acquisitions should also add to growth.

Novartis should see strong vaccine sales this flu season. The company has received approval from the U.S. Food and Drug Administration for its swine flu vaccine, which should drive revenues.

Although we have Neutral ratings on names like Johnson & Johnson and Abbott Labs, we maintain a positive outlook on these stocks given their diversified revenue base, strong business segments, contributions from recent acquisitions and impressive late-stage pipelines. We also have a positive outlook on Bristol-Myers, which has a strong presence in attractive areas like biologics, cancer and cardiovascular drugs.

In the biotech space, we are positive on names like Gilead Sciences (GILD) and Biogen Idec (BIIB) even though we have Neutral recommendations on these stocks. Gilead’s HIV franchise has been helping the company post better-than-expected earnings over the past few quarters and we expect this trend to continue.

Biotech companies that could be acquisition targets provide opportunities for significant returns. Here, we would like to mention two companies that could be potential take-out targets -- Biogen Idec and Acorda Therapeutics (ACOR). In addition to holding a leading position in the multiple sclerosis market, we believe Biogen has the best pipeline in all of biotech and could be an attractive takeover candidate for pharma companies interested in biologics.

Meanwhile, Acorda is one of the more interesting biotechnology companies under our coverage. We have an Outperform rating on the stock. Acorda recently received a favorable recommendation from an FDA advisory panel on its key pipeline drug, Fampridine-SR, which could have blockbuster potential worldwide.

WEAKNESSES

We recommend avoiding names that offer little growth or opportunity for a take-out. These include companies which are developing drugs that are likely to face regulatory hurdles. The FDA has been exercising more caution before granting approval to new products and several candidates have been facing delays in receiving final approval.

We would also avoid companies like Eli Lilly & Co. (LLY) which are facing patent expirations on key products and do not have a solid pipeline to make up for the loss of revenues that will take place once generics enter the market.

Meanwhile, we continue to believe Pfizer’s (PFE) acquisition of Wyeth (WYE) will create an even bigger struggling company. Both companies have significant patent expirations in the years to come, and both have been severely lacking in their R&D productivity over the past few years. We recommend avoiding both names.

In the biotech sector, we have an Underperform rating on Genzyme Corporation (GENZ), which is facing issues like lower revenues, contracting gross margins, supply constraints, manufacturing hiccups and delays in new product launches.

We would also recommend avoiding biotech companies that are struggling to survive and are unable to strike partnership deals for their pipeline candidates. One name that comes to mind is MannKind Corp. (MNKD) which has been looking for a partner for its key candidate, Afresa. The company’s stock declined significantly on the news that it will not be able to enter into a partnership deal by year end, contrary to earlier expectations.

Another name to avoid would be Alkermes, Inc. (ALKS) which is awaiting FDA approval for its type-II diabetes candidate, exenatide once-weekly. Although the efficacy data on exenatide once-weekly is impressive, we are concerned that the approval of the product could be pushed back beyond the first quarter of 2010, given the current regulatory environment and concerns regarding the safety of the candidate.Zacks Investment Research

Global Health Ventures Receives the First Shipment of Its Commercially Manufactured Male Enhancement Drug “X-Excite”

Stuart T. Smith — Mon, 09 Nov 2009 14:55:25 +0000

VANCOUVER, BRITISH COLUMBIA — (Marketwire) — 11/09/09 — Global Health Ventures Inc. (OTCBB: GHLV), or the “Company” a Specialty Pharma is pleased to announce today that it has completed the prototype manufacturing of the drug “X-Excite” Global’s male enhancement drug. The manufacturing of the product was carried out under contract with Vida Pharma of Montreal, [...]

Zacks Bull and Bear of the Day Highlights: Inspire Pharmaceuticals, Inc., Sears Holdings, Moody’s Corp., CBS Corporation and Forest Oil Corporation – Press Releases

Zacks Market Commentaries — Mon, 09 Nov 2009 13:00:47 +0000

For Immediate Release

Chicago, IL – November 9, 2009 – Zacks Equity Research highlights Inspire Pharmaceuticals, Inc. (ISPH) as the Bull of the Day and Sears Holdings (SHLD) the Bear of the Day. In addition, Zacks Equity Research provides analysis on Moody's Corp.(MCO), CBS Corporation (CBS) and Forest Oil Corporation (FST).

Full analysis of all these stocks is available at http://at.zacks.com/?id=5506

Here is a synopsis of all five stocks:

Bull of the Day:

Inspire Pharmaceuticals, Inc. (ISPH) is a specialty pharmaceutical company focused on the development and commercialization of treatments for respiratory and ophthalmologic disorders.

Currently, the company has three products on the market and a robust pipeline. We see strong top line growth from 2009 and beyond. Inspire just reported positive phase III data of Denufosol for CF. The company has a strong collaborative alliance with Allergan Pharmaceuticals for key products that treat dry eyes and allergic conjunctivitis.

Current price is attractive. We maintain our Outperform rating on shares of Inspire with a price target of $7.00.

Bear of the Day:

Sears Holdings' (SHLD) vulnerability to the continued economic downturn is adversely affecting its top-line growth. The company recorded an 8.6% decline in same-store sales and closed 28 non-performing stores during the fiscal 2009 second quarter amid a slump in housing and sluggish apparel sales.

Moreover, intense competition from giant discounters, mass merchants and regional stores, coupled with the seasonality of business and exposure to foreign currency fluctuations, severely undermine the company's future growth prospects and sustainability.

Consequently, we have changed the recommendation for the company from Neutral to Underperform as we anticipate it to perform well below the broader market.

China Medicine Corp. (CHME.OB) to Acquire Pharmaceutical Manufacturer in Guangzhou

QualityStocks — Fri, 30 Oct 2009 15:09:39 +0000

China Medicine Corp. is a developer and leading distributor of prescription and over-the-counter drugs, traditional Chinese medicine products, nutritional and dietary supplements, and medical devices and formulations in China. The company announced today that through its wholly-owned subsidiary in China, Konzern Pharmaceuticals, it has signed an equity transfer agreement to acquire 100% of equity interests in [...]

Depomed Q3 Financial Results (NASDAQ:DEPO)

Jay Garcilazo — Fri, 30 Oct 2009 14:33:04 +0000

Depomed, Inc (NASDAQ:DEPO) today reported financial results for the third quarter that ended on September 30, 2009. The revenue for the three months ended September 30, 2009 was US$23 million compared to US$14.1 million for ...

CytRx’s Seeking Destruction Of Cancer Cells (NASDAQ:CYTR)

Jay Garcilazo — Thu, 29 Oct 2009 16:38:40 +0000

CytRx Corporation (NASDAQ:CYTR) has announced that a paper published in Gerontology journal concluded that molecular chaperone amplification may represent a significant strategy in the designing of anti-aging pharmaceuticals in the near future. CytRx Corporation is ...

CytRx’s Selective Destruction Of Cancer Cells (NASDAQ:CYTR)

Jay Garcilazo — Thu, 29 Oct 2009 13:45:40 +0000

Sanofi drags Hospira and Apotex (NYSE:SNY)

Jyotsna Ramani — Tue, 27 Oct 2009 16:54:31 +0000

Sanofi-Aventis SA (ADR) (NYSE:SNY), France’s biggest pharmaceutical group has accused Hospira Inc and Canada’s Apotex Inc of infringing patents for the cancer drug Taxotere. Sanofi-Aventis has said that both the companies have tried to copy ...

PSFT, VZ, PWRM, CSRH, HD, CVAT, MRK, AQNM, SGP, DrStockPick.com Stock Report!

Dr. Stock Pick — Fri, 23 Oct 2009 17:19:47 +0000

Dr Stock Pick HOT News & Alerts! _________________________________________ FREE Daily Stock Alerts From DrStockPick.com _________________________________________ Friday October 23, 2009 DrStockPick.com Stock Report! PSFT, VZ, PWRM, CSRH, HD, CVAT, MRK, AQNM, SGP ************************************************************** VZ, Verizon Communications Inc. VZ provides communication services in the United States and internationally. It operates in two segments, Wireline and Domestic Wireless. Verizon Wireless, the nation’s largest wireless service provider, today announced [...]

Encorium Group Inc. (ENCO) is “One to Watch”

QualityStocks — Thu, 22 Oct 2009 18:38:20 +0000

Encorium Group Inc. is a full-service multinational contract research organization (CRO). They provide design, development, and management capabilities for clinical trials and patient registries. They do this for many of the world’s leading pharmaceutical companies. Trading on the NASDAQ Capital Market, Encorium Group Inc. has offices in 10 countries, managing clinical trials with their [...]

Mountain West Business Solutions, Inc. (MWBN.OB) Announces Acquisition of Sunshine Biopharma

QualityStocks — Wed, 21 Oct 2009 14:22:35 +0000

Mountain West Business Solutions, Inc. recently announced that the company has acquired Sunshine Biopharma, Inc. Based in Colorado, Sunshine Biopharma is a leading pharmaceutical company focused on the research, development and commercialization of drugs for the treatment of various forms of cancer. Mountain West Business Solutions intends to change its name to Sunshine Biopharma, Inc. [...]

Deloitte Announces 2009 Technology Fast 500(TM) Rankings (DrStockPick.com Report!)

Dr. Stock Pick — Tue, 20 Oct 2009 12:33:13 +0000

Dr Stock Pick HOT News & Alerts! _______________________________________ FREE Daily Stock Alerts From DrStockPick.com _______________________________________ Tuesday October 20, 2009 DrStockPick.com Stock Report! ************************************************************** NEW YORK, Oct. 20 /CRWENEWSWIRE/ — Deloitte today released the 2009 Technology Fast 500(TM), an annual ranking of the fastest growing technology, media, telecommunications, life sciences and clean technology companies in North America based on five-year fiscal revenue growth. [...]

Beacon Enterprise Solutions Group, Inc. (BEAC.OB) Continues Engagement with Fortune 100 Pharmaceutical Company

QualityStocks — Mon, 19 Oct 2009 18:20:03 +0000

Today, Beacon Enterprise Solutions Group, Inc., an emerging global leader of high performance Information Transport Systems (“ITS”) infrastructure solutions, announced that it has expanded its relationship with an existing Fortune 100 pharmaceutical client to provide ITS infrastructure documentation, design, installation and ongoing management services. Valued at approximately $27 million, the engagement will initially focus on [...]

IBM’s Cost-Effective Offerings – Analyst Blog

Zacks Market Commentaries — Mon, 19 Oct 2009 17:24:12 +0000

International Business Machines (IBM) plans to lower costs for its clients via its offerings, which is posing a major challenge to businesses due to the difficult economic scenario.

Thus IBM released new IT Asset Management software to help companies manage the costs brought on by the proliferation of IT assets such as mobile devices, laptops, printers, switches, sensors and billions of interconnected devices. The software also helps control the complexity of software licensing and increased pace of compliance audits.

The company expects software license reuse and audit exposure savings of $3 million in 2009 and $5 million annually starting from 2010 if a company implements a software license management program using IBM’s IT Asset Management software.

In order to reduce cost, IBM announced research collaboration with the Industrial Development Agency of Ireland (IDA Ireland) to develop and expand its Risk Management Analytics capabilities in Ireland.

Under the agreement, IBM will use the expertise of its Research labs to develop enhanced methods and tools that will help companies in industries such as manufacturing, pharmaceutical, healthcare and government to manage risk efficiently. The collaboration in Ireland will be joining IBM's worldwide network of advanced analytic centers in the U.S., Germany and the U.K.

We believe that IBM is coming up with new cost efficient data centers and new IT Asset Management software to lower costs and is also focusing on new collaborations that will help customers manage their operations effectively amid the economic uncertainty. This is a positive for the company and helps it win new businesses. The expansion of its global network of analytics focused centers is expected to benefit the company going forward.

IBM faces strong competition from business intelligence software firm SAS and enterprise software giant SAP AG (SAP).

We have a Neutral rating on the stock.
Read the full analyst report on "IBM"
Read the full analyst report on "SAP"
Zacks Investment Research

Sanofi’s Pediatric Vaccine Effective – Analyst Blog

Zacks Market Commentaries — Fri, 16 Oct 2009 19:19:37 +0000

Sanofi Pasteur, the vaccines division of Sanofi-Aventis (SNY), yesterday provided an interim analysis of clinical data on the company’s U.S. licensed Influenza A (H1N1) 2009 Monovalent Vaccine. The study is being conducted in infants and children 6 months through 9 years of age.

Although the analysis showed that the vaccine is immunogenic and a single dose may protect many children, results indicated that two doses of the vaccine will be required for optimal protection of children under the age of 10 years. This is in-line with the recommendations for seasonal influenza immunization in children belonging to this age group.

No serious adverse events were reported. The company will monitor the occurrence of adverse events for six months after the second dose of the vaccine. Information regarding the optimal dosage, number of doses and schedule should be available once final data from the ongoing trials are released.

These results are the first data to be presented on children under the age of 10 years. Earlier, Sanofi-Aventis reported that 98% of adults in the age group of 18 years to 64 years had an immune response considered protective after receiving a 15 mcg dose of vaccine.

The swine flu pandemic should prove to be a major revenue earner for pharmaceutical companies. According to the Centers for Disease Control and Prevention, young children are among those who have top priority for immunization with the swine flu vaccine due to the relatively high incidence of the disease and potential for transmission in this population.

Several companies are looking to tap the highly lucrative swine flu vaccine market. Earlier in September, four companies received approval from the U.S. Food and Drug Administration (FDA) for their swine flu vaccines. These include names like Sanofi-Aventis, Novartis Vaccines and Diagnostics Limited, the vaccine and diagnostics arm of Novartis (NVS), MedImmune LLC, a subsidiary of AstraZeneca (AZN) and CSL Limited of Australia.
Read the full analyst report on "SNY"
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NCOA Signs Sanofi-Aventis (NYSE:SNY)

Jyotsna Ramani — Fri, 16 Oct 2009 11:00:21 +0000

The NCOA (National Council On Aging) announced that they have added Sanofi-Aventis U.S. to their list of growing sponsors for BenefitsCheckUp program. NCOA has many companies and firms on the list of ...

Dainippon-Sepracor Deal Emerges – Analyst Blog

Zacks Market Commentaries — Thu, 15 Oct 2009 18:02:51 +0000

Today, Dainippon Sumitomo and Sepracor (SEPR) have announced the successful completion of the initial share offering period, where almost 78.2% of Sepracor’s shares were tendered. The offer period has been extended to Oct 19, 2009, to enable other shareholders to tender their shares as well.

As a reminder, in September, the Japanese pharmaceutical company Dainippon Sumitomo Pharma Co had announced a deal to acquire Sepracor at $23 per share or $2.6 billion. However, soon after the announcement, shareholders of Sepracor filed a suit in a Delaware court against the company, citing the offered price as inadequate. They were seeking the court’s intervention to stop the deal and pay damages.

Additionally, certain aspects of the deal were against the interest of Sepracor’s shareholders. The deal included a $77.4 million termination fee and a “no solicitation" provision. Apart from restricting the possibility of any superior proposal, these provisions give the acquirer time to match any other offer. In addition, the board of directors of Sepracor was being investigated by Levi & Korsinsky to ensure that the deal price is adequate and whether the directors have breached their fiduciary duties to their shareholders by agreeing to such strict terms.

The complaint also alleged that the merger agreement guarantees Dainippon an absolute majority even if the company fails to acquire a lion’s share of Sepracor stock. The deal is quite significant for Dainippon as it would enable to company to target the US pharmaceutical market – the biggest in the world.

Following the deal, Dainippon will be able to access Sepracor’s 1,200 person sales force, which should help support the launch of its antipsychotic drug lurasidone, currently in phase III development. Once launched, lurasidone will be competing with schizophrenia drugs such as AstraZeneca’s (AZN) Seroquel, Schering-Plough’s (SGP) Saphris, Eli Lilly’s (LLY) Zyprexa and Bristol-Myers’ (BMY) Abilify, among others.

In addition, Sepracor will bring with it several marketed products such as Lunesta, Xopenex/HFA, Brovana, Omnaris and Alvesco. Sepracor has interesting mid-stage pipeline candidates targeting the therapeutic area of central nervous system (CNS), which should contribute to Dainippon revenues from 2012.
Read the full analyst report on "SEPR"
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Read the full analyst report on "LLY"
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Pharmaceutical Industry Consolidation

QualityStocks — Tue, 13 Oct 2009 19:03:11 +0000

Abbott Laboratories (NYSE: ABT) recently announced that the company will purchase the pharmaceutical arm of Belgium’s Solvay Group for $6.5 billion. This deal expands both the company’s product range and the company’s presence in fast-growing emerging countries, helping defer the effect of patent expiries and compensate for sluggish growth in its traditional markets, such as [...]

Small-Cap DARA Bio Worth a Look – Analyst Blog

Zacks Market Commentaries — Tue, 13 Oct 2009 18:17:13 +0000

We are initiating coverage of DARA BioSciences (DARA) with an Outperform rating and price target of $1.60 per share. We believe that DARA is poised to deliver meaningful news flow on the pipeline over the next several quarters -- something the company has been lacking over the past year due to funding constraints.

DARA has been slowly rebuilding its business over the past two years following the failure and discontinuation of phase III advanced non-small cell lung cancer drug talabostat in mid-2007. Headcount is down to only 5 employees, and the company has spent the last year rebuilding the Board and refocusing the pipeline. Meanwhile, the stock languished in 2008 with little to no clinical news flow.

Richard Franco rejoined the company as CEO and Chairman in January 2009. He had two key objectives for 2009: secure funding for future operations and advance the pipeline forward. Over the last quarter the company has secured just shy of $5.0 million through private placements and secondary offerings, and in May 2009 phase II neuropathic pain candidate, KRN5500, offered up some very encouraging data.

It has been a successful past several months, and we think the steady news flow should continue into 2010. Besides KRN5500, DARA possess several interesting preclinical candidates, with DB959, a unique first-in-class dual peroxisome proliferator-activated receptor (PPAR) delta / gamma agonist with potential activity in controlling blood sugar levels, cholesterol and triglycerides.

In our view, the company teetering on the brink of bankruptcy throughout 2008 and early in 2009 has created an attractive opportunity now that we can finally see the light at the end of the tunnel. The valuation is extremely attractive, the financial position has significantly improved, and clinical milestones are now squarely in-sight. The intellectual property is also strong, with the rights to 70 patents and 59 pending applications worldwide.

The stock is well-supported at this level and we believe has meaningful upside over the next year as the early-stage pipeline begins to reach monetization points. DARA’s goal is to take its clinical candidates through proof-of-concept and then partner for upfront cash and backend milestone and royalty consideration.

The company possesses an enormous preclinical library with candidates for potential metabolic and inflammatory conditions, and we believe that as the most advanced candidates in KRN5500 and DB959 are monetized, new preclinical candidates can be brought to proof-of-concept for the next wave of licensing. It’s a turnaround story with significant legs, in our view. We encourage investors to take a look at the stock at this level.

Target is $1.60

Based on our analysis of the pipeline, we see DARA fairly valued at $1.60 per share. Our assumptions assume that DARA takes both KRN5500 and DB959 through phase IIb proof-of-concept and then out-licenses to a mid- to large-cap pharmaceutical company. Post-phase II products have been commanding upfront payments in the area of $25 million, followed by NDA filing and approval milestones north of $50 million, with another potential $200 – 300 million in backend sales related milestones and royalties in the mid-teens.

CIPN candidate KRN5500 should be ready for a partnership post-phase IIb, around the middle of 2010. Potential blockbuster type-2 diabetes candidate, DB959, is roughly one year behind, meaning that another lucrative partnership could follow in 2011.

Plus, DARA is sitting with an estimated $4.5 million in cash on hand as of October 2009. And we expect the company will secure some additional funding to push forward with KRN5500 in the next few months.

The company is currently trading at only 47 cents per share. KRN5500 alone is worth more than the entire market value, in our view. DB959 and several interesting preclinical candidates for metabolic and inflammatory disease round-out an impressive pipeline from which DARA should be able to extract value over the next several years. Upside is significant for this under-followed / under-valued story.
Read the full analyst report on "DARA"
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Santarus Signs Deal with Norgine – Analyst Blog

Zacks Market Commentaries — Mon, 12 Oct 2009 20:12:52 +0000

This morning, Santarus, Inc. (SNTS) entered into a licensing agreement with Norgine B.V., a European specialty pharmaceutical company. Under the licensing agreement, Norgine has been granted exclusive rights for the development, manufacture and commercialization of prescription immediate-release Zegerid products incorporating the proton pump inhibitor (PPI) omeprazole in combination with one or more buffering agents in specified markets in Western, Central and Eastern Europe.

As per the terms of the agreement, Santarus will receive an upfront fee of $2.5 million. Moreover, Santarus will be entitled to receive up to $10 million in milestone payments based on the achievement of certain regulatory events, subject to certain reductions based on actual out-of pocket costs incurred by Norgine for the product. Santarus will also receive tiered royalties in the mid- to high-teens range on net sales of any products sold under the agreement.

Zegerid is Santarus’ flagship product, which has captured a nice niche of the gastroesophageal reflux disease market. Zegerid is approved by the U.S. Food and Drug Administration (FDA) for the treatment or reduction of the risk of a variety of upper gastrointestinal diseases and disorders. It is currently marketed as capsule and powder for oral suspension dosage forms. The FDA is currently reviewing applications for the approval of a tablet and over-the-counter (OTC) version of Zegerid.

We are pleased with this deal, which should help maximize the value of the company’s patented PPI technology. Norgine should be a suitable partner given its focus on the gastroenterology market.

The deal with Norgine is the latest in a series of agreements entered into by Santarus for Zegerid. The company has agreements with GlaxoSmithKline (GSK) and Schering-Plough (SGP) for the Zegerid brand of products.

We currently have a Neutral rating on Santarus. The approval of the tablet and over-the-counter formulations of Zegerid, potentially later this year, as well as the launch of Zegerid around Europe by EU partner, GlaxoSmithKline, present potential positive catalysts for the company.
Read the full analyst report on "SNTS"
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DrStockPick.com Stock Report! 10/12/09, SNPS, KEME, CPHI, RTN, OB, KMT

Dr. Stock Pick — Mon, 12 Oct 2009 14:09:41 +0000

Dr Stock Pick HOT News & Alerts! _______________________________________ FREE Daily Stock Alerts From DrStockPick.com _______________________________________ Monday October 12, 2009 DrStockPick.com Stock Report! ************************************************************** Synopsys, Inc. (Nasdaq: SNPS), a world leader in software and IP for semiconductor design, verification and manufacturing, today introduced its Synphony HLS (High Level Synthesis) solution that integrates M-language and model-based synthesis to deliver up to [...]

Surmodics Inks Licensing Deal – Analyst Blog

Zacks Market Commentaries — Fri, 09 Oct 2009 18:10:43 +0000

On Tuesday, SurModics Inc. (SRDX) announced that it licensed its drug delivery technology to Roche (RHHBY) and its wholly owned subsidiary, Genentech. Drug delivery technologies create and support site specific drug delivery polymers and coating technologies for use in drug/device combination products in chosen markets.

Under the terms of the agreement, SurModics is entitled to an up-front payment of $3.5 million. Furthermore, the deal could be worth up to $200 million in delayed payments if multiple products are successfully developed. SurModics will also receive royalties on product sales. SurModics will receive payments for its development services. Under the terms of the agreement, Roche and Genentech have the right to obtain manufacturing services from SurModics.

The transaction provides Roche and Genentech complete access to the biodegradable microparticles developed by SurModics. They intend to use the products in a long-lasting version of their optical drug Lucentis (ranibizumab injection), a prescription medicine approved for treating patients with wet age-related macular degeneration.

Lucentis, discovered by Genentech, is being co-developed with Novartis Ophthalmics Business Unit for eye related diseases or disorders. Genentech has commercial rights in the United States and Novartis (NVS) for the rest of the world.

We believe the deal provides further opportunities to Roche, one of the world's biggest drugmakers, and Genentech, which was acquired in 2008, to develop additional compounds for the treatment of ophthalmic diseases. This will broaden the treatment opportunities for patients suffering from eye diseases.

The news had a positive effect on SurModics and its shares rose by over 19%, closing Tuesday at $29.04.

SurModics, which provides surface modification and drug delivery technologies to medical device and pharmaceutical companies, competes mainly with Angiotech Pharmaceuticals Inc. (ANPI).
Read the full analyst report on "SRDX"
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Hospira Celltrion Agreement (NYSE:HSP)

Sandra Kitchen — Fri, 09 Oct 2009 16:00:29 +0000

Hospira Inc and Celltrion Healthcare Inc have signed a Business Cooperation Agreement which outlines the business terms of a future distribution agreement in countries like United States of America, Europe, Canada, Australia ...

Sanofi Vaccine Proves Beneficial – Analyst Blog

Zacks Market Commentaries — Fri, 09 Oct 2009 15:30:00 +0000

The vaccine unit of Sanofi-Aventis (SNY), Sanofi Pasteur, stated the effectiveness of a single dose of influenza A (H1N1) 2009 monovalent vaccines – Panenza (15 mcg dose, non-adjuvanted) and Humenza (3.8 mcg dose, adjuvanted) in children and adults.

It was observed from the results of a clinical trial held in Europe that the vaccine induced protection in 93% adults aged 18 to 59 years old and in 83% adults aged 60 years and above. In case of children aged 3 -17 years, 94% of the participants achieved protective antibody response.

Earlier in September, the US Food and Drug Administration (FDA) approved the long anticipated first "swine flu" vaccine. Four companies received the approval -- Sanofi-Aventis, Novartis Vaccines and Diagnostics Limited, the vaccine and diagnostics arm of Novartis (NVS), MedImmune LLC, a subsidiary of AstraZeneca (AZN) and CSL Limited of Australia.

However, Sanofi is yet to submit its H1N1 vaccine for European approval. In Europe, apart from Novartis, Baxter International's (BAX) Celvapan vaccine and GlaxoSmithKline’s (GSK) swine flu vaccine received approval. We believe the approval is a big opportunity for these pharmaceutical companies. The only issue of concern is supply bottlenecks.

The World Health Organization (WHO) had warned earlier that supply will be much lower than anticipated earlier. Per initial estimates from October onwards, about 94 million doses of vaccine could have been manufactured by the pharmaceutical companies, but this target has already been slashed by 50-75% due to poorer than expected yield from the virus strains.

The swine-flu pandemic is proving to be a major revenue earner for the pharmaceutical companies – there is a steady flow of orders from several governments worldwide. Yesterday, GlaxoSmithKline updated its order book status. The company now has orders for 440 million doses of the vaccine, up from 291 million doses at the beginning of August. We believe the order book is likely to grow in due course and boost its top line going forward.
Read the full analyst report on "SNY"
Read the full analyst report on "NVS"
Read the full analyst report on "AZN"
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Read the full analyst report on "BAX"
Zacks Investment Research

Cubist Pharmaceuticals Wins Awards (NASDAQ:CBST)

Jyotsna Ramani — Thu, 08 Oct 2009 15:30:39 +0000

It was a Wednesday afternoon when Cubist Pharmaceuticals have publicly announced that they have been named to be in the top spot in the MassEcon Sixth Annual Team Massachusetts Economic Impact Awards ...

Vertex Lowers 2009 Guidance – Analyst Blog

Zacks Market Commentaries — Tue, 06 Oct 2009 18:08:31 +0000

Last week, Vertex Pharmaceuticals (VRTX) lowered its 2009 revenue guidance. The company expects its net loss for the full year to increase to $650 million compared with an earlier prediction of $515 million to $550 million.

The increased losses are due to the company’s decision to retain its pipeline candidate, VX-509, for the treatment of rheumatoid arthritis for phase II clinical development and an estimated $115 million incurred for restructuring, acquisition, stock-based compensation costs and a loss on exchange of convertible subordinated notes.

The phase II trial of VX-509 will be conducted over a 12-week period enrolling 200 patients with moderate to severe rheumatoid arthritis. The trial is set to begin in the first quarter of 2010 with interim data being available by the middle of next year. Vertex is seeking collaborative opportunities with major pharmaceutical companies for the drug.

Vertex expects to receive $120 million in cash from the issuance of $155 million in notes secured by future milestone payments for telaprevir, the company’s candidate to treat hepatitis C. The company expects to mop up another $35 million from the sale of up to $95 million of rights to potential future milestone payments that Vertex is eligible to receive from the launch of the drug in Europe.

Vertex is also eligible to receive $105 million from Mitsubishi Tanabe Pharma Corp. related to an amended agreement for the development and commercialization of telaprevir in Japan and certain Far East countries. Following the expected addition of $260 million of cash arising out of the issuance of notes and other agreements, Vertex raised its full year guidance for cash, cash equivalents and marketable securities from approximately $700 million to approximately $800 million.

Telaprevir is being developed under a collaboration agreement with Johnson & Johnson (JNJ), under which Vertex received an upfront milestone payment of $165 million. Approximately 50% of the development costs are being reimbursed by Johnson & Johnson. Upon commercialization, Vertex will receive a mid-20% royalty on sales of telaprevir in Johnson & Johnson’s licensed regions including Europe, while Vertex will retain exclusive rights in the US. The company expects to file a New Drug Application for the drug in the second half of 2010.
Read the full analyst report on "VRTX"
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Opko Health’s New Acquisition (AMEX:OPK)

Jyotsna Ramani — Mon, 05 Oct 2009 12:00:11 +0000

Formerly known as Ophthalmic Technologies Inc. Opko Health has recently agreed to acquire Chilean pharmaceutical company named Pharma Genexx for around US$ 16 million in cash. One of the reasons why this ...

GSK faces new delays (NYSE:GSK)

Jyotsna Ramani — Fri, 02 Oct 2009 14:00:07 +0000

GSK, one of the top pharmaceutical companies, is facing new delays over the approval of their vaccine Cervarix that is aimed for the treatment of cervical cancers. GSK said that the reason ...

Top Performer for Wed: Hi-Tech Pharmacal (HITK) – Zacks #1 Rank Top Performers

James Giaquinto — Wed, 30 Sep 2009 05:00:00 +0000

Hi-Tech Pharmacal Co., Inc. (HITK) enjoyed a strong performance from generic pharmaceuticals in its fiscal first quarter, leading to a sharp earnings surprise and large revenue growth.

With a gain of only around 3.8%, HITK is a top-performing Zacks #1 Rank company today. Volume is at 514,000, versus the daily average of 586,000.

HITK is a specialty pharmaceutical company developing, manufacturing and marketing generic and branded prescription and OTC products. It specializes in difficult-to-manufacture liquid and semi-solid dosage forms and produces a range of sterile ophthalmic, otic and inhalation products.

The company is part of the Medical-Generic Drugs industry. There is only 1 other name from that space on today's 218-stock Zacks #1 Rank List, and that is Impax Laboratories, Inc. (IPXL).

Strong Fiscal First Quarter

In early September, HITK released its fiscal first quarter report, which included earnings per share of 61 cents that beat the consensus by nearly 240%. (This was the company's second straight quarterly surprise in the triple digits.) The result also marked a sharp advance over a year-ago loss of 17 cents.

Net sales jumped by 175% to $43.5 million, compared to $15.8 million last year.

While HITK experienced growth in all of its segments, the big star was generic pharmaceuticals. Net sales for the segment soared 193% to $36.7 million, against the year-ago result of $12.5 million. This gain was attributed to recent product launches, such as glaucoma treatments Dorzolamide and Timolol ophthalmic solution and Dorzolomide ophthalmic solution.

Furthermore, its Health Care Products division, which markets the company's OTC-branded products, saw sales increase 13% to nearly $2.1 million, thanks to higher sales of Diabetic Tussin. Meanwhile, ECR Pharmaceuticals, a division acquired in February 2009 that markets branded prescription products, participated with $3.25 million to sales in the quarter.

Earnings Estimate

There is currently only 1 analyst covering HITK. Nevertheless, the Zacks Consensus Estimate for the year ending April 2010 is up 60% over the past month to $1.42 per share.

Zacks Investment Research

Jiangbo Pharmaceuticals Inc. (JGBO.OB) Posts Strong Q4 and FY09 Results, High Expectancies for 2010

QualityStocks — Tue, 29 Sep 2009 19:24:49 +0000

Jiangbo Pharmaceuticals Inc. today announced its fiscal and fourth-quarter results for the period ended June 30, 2009. The China-based pharmaceutical company posted solid results for both periods and gave a summary of achievements for the year, as well as its outlook for 2010. “We are delighted to report a strong finish to fiscal 2009, [...]

DrStockPick.com Stock Report! 9/29/09, OSK, PAYX, CAXG, BDGR, HTDS, BFSB

Dr. Stock Pick — Tue, 29 Sep 2009 18:59:39 +0000

Dr Stock Pick HOT News & Alerts! _______________________________________ FREE Daily Stock Alerts From DrStockPick.com _______________________________________ Tuesday September 29, 2009 DrStockPick.com Stock Report! ************************************************************** Oshkosh Corporation (NYSE:OSK), announced today that its Defense division has received a delivery order valued at $801 million from the U.S. Army Tank-automotive and Armaments Command Life Cycle Management Command (TACOM LCMC) for more than 2,450 [...]

Stock Market News for September 29, 2009 – Market News

Zacks Market Commentaries — Tue, 29 Sep 2009 14:01:06 +0000

U.S. stocks broke a three-day slide and rose more than 1% Monday as a fresh round of strategic corporate deal-making spurred hopes that normalcy is returning to the financial system. The multi-billion dollar merger announcements signaled a resurrection in merger activity and investors picked up stocks.

The Dow Jones industrial average jumped 124 points, or 1.3% and the broader S&P 500 index rallied 19 points, or 1.8% and the Nasdaq composite index advanced 40 points, or 1.9%. The share gains were broad based with 28 of the 30 Dow components advancing. On the New York Stock Exchange, four stocks rose for each one that declined in price. Only 978 million shares exchanged hands on the NYSE. Trading was light due to the Jewish holiday of Yom Kippur.

In a spate of big corporate merger announcements, Abbott Labs (NYSE:ABT) said it will pay $6.5 billion for Solvay's pharmaceutical business, and Xerox (NYSE:XRX) offered to pay $6.4 billion in cash and stock for Affiliated Computer Services (NYSE:ACS). Johnson & Johnson (NYSE:JNJ) said it will pay $444 million for an 18% stake in Crucell (NASDAQ:CRXL). The announcements signaled corporations’ belief that equity markets still offer values, while economic conditions support a growth environment for purchases made.

The financial, basic materials, and oil & gas sectors were among the leading gainers yesterday. Even as stock prices rose, Treasuries advanced and the corresponding yields fell, with the yield on the 10-year notes declining to 3.28% from 3.32%.

Yesterday's strength was broad-based with 28 of the DJIA's 30 components moving higher, and all ten S&P 500 industry sectors marking gains. Financials (+3.4%) were the leading gainers, with American Express (NYSE:AXP) up 4.1% and Bank of America (NYSE:BAC) rising 3.7%. Morgan Stanley (NYSE:MS) said it expects banks' credit losses to decline over the next 12-18 months, and noted large-cap banks are "largely done with capital repair."

Analyst upgrades also helped much of the rally yesterday, with Citigroup (NYSE:C) shares jumping 4.3% on an analyst upgrade. Cisco (NASDAQ:CSCO) rallied 4.4% after Barclays' (NYSE:BCS) upgraded the stock to "overweight" from "equal weight," citing prospects in Europe and momentum in the US. Applied Materials (NASDAQ:AMAT) jumped 3% on a Citigroup (NYSE:C) upgrade to "buy" on opportunities in its solar-power operations. However, MEMC Electronic Materials (NYSE:WFR) shed 3.1% after Citigroup (NYSE:C) cut its rating to "hold" from "buy", noting recent poly production problems remain unresolved.

Zacks Investment Research

XRX, PWRM, ABT, CSRH, CMCSA, CVAT, FMCN, DrStockPick.com Stock Report!

Dr. Stock Pick — Mon, 28 Sep 2009 16:34:01 +0000

Dr Stock Pick HOT News & Alerts! _________________________________________ FREE Daily Stock Alerts From DrStockPick.com _________________________________________ Monday September 28, 2009 DrStockPick.com Stock Report! XRX, PWRM, ABT, CSRH, CMCSA, CVAT, FMCN ************************************************************** XRX, Xerox Corp. XRX engages in the development, manufacture, marketing, servicing, and financing of document equipment, software, solutions, and services worldwide. XRX said Monday it will buy Affiliated Computer Services Inc. for $6.4 billion [...]

Nycomed eyes Solvay SA’s drug operations

Jay Garcilazo — Thu, 24 Sep 2009 20:41:09 +0000

In an attempt to takeover the European junk bonds after the financial crisis, Nycomed, one of the private equity-owned Swiss drugmaker has made a 4.5 billion Euros bid to purchase Solvay SA’s ...

Top Performer for Thurs: Hospira (HSP) – Zacks #1 Rank Top Performers

James Giaquinto — Thu, 24 Sep 2009 05:00:00 +0000

Sometimes the Zacks #1 Rank Top Performer isn't soaring to new heights, but just keeping its head above water in an otherwise gloomy session.

Such is the case today with Hospira, Inc. (HSP). Shares of the company are up by less than 1% mid-day Thursday, but that's actually not that bad considering the market's mood so far today.

Apart from the macroeconomic factors though, HSP recently raised its profit guidance for 2009, which has pushed earnings estimates higher in the past week. Plus, the company recently received a brokerage upgrade.

HSP is a global specialty pharmaceutical and medication delivery company that's dedicated to Advancing Wellness. It is 1 of only 2 companies from the Medical Products industry on today's Zacks #1 Rank List, which includes 222 stocks in total. (The other company is Micrus Endovascular Corporation (MEND).

Volume today is at 643,000 shares, below the daily average of 844,000.

Earnings Estimates

The past week has seen 5 of 6 covering analysts revise higher for both this year and next. The Zacks Consensus Estimate for the year ending this December is now at $2.83, marking a 2.5% advance from $2.76 in 7 days.

Meanwhile, the Zacks Consensus Estimate for the year ending December 2010 is up 2.6% to $3.21 in that timeframe. Therefore, analysts currently expect year-over-year profit growth of around 13.4%.

Earnings estimates have been trending higher for longer than just the past week. Two months ago, the Zacks Consensus Estimate for this year and next was $2.71 and $3.08, respectively, marking gains of 4.4% and 4.2% since that time.

Raised Outlook

It's easy to pinpoint why analysts are comfortable revising their expectations. Last week, HSP raised its 2009 outlook to between $2.80 and $2.85, compared to its prior guidance of $2.70 to $2.75.

In addition, it now expects global revenue to rise between 5% and 7%, instead of 4% to 6%.

One of the main reasons for its raised outlook is solid sales of its injectable generic medicines.

Zacks Investment Research

PWRM, RTN, CVAT, LMT, CSRH, INTU, TSPG, MRK, QGEN, DrStockPick.com Stock Report!

Dr. Stock Pick — Wed, 23 Sep 2009 16:52:13 +0000

Dr Stock Pick HOT News & Alerts! _________________________________________ FREE Daily Stock Alerts From DrStockPick.com _________________________________________ Wednesday September 23, 2009 DrStockPick.com Stock Report! PWRM, RTN, CVAT, LMT, CSRH, INTU, TSPG, MRK, QGEN ************************************************************** RTN, Raytheon Company RTN is a technology and innovation leader specializing in defense, homeland security and other government markets throughout the world. RTN has surpassed another milestone on its Modernized User Equipment program [...]

GENZ, PWRM, STEM, CTIC, PFE, DrStockPick.com Stock Report!

Dr. Stock Pick — Wed, 23 Sep 2009 15:20:43 +0000

Dr Stock Pick HOT News & Alerts! _________________________________________ FREE Daily Stock Alerts From DrStockPick.com _________________________________________ Wednesday September 23, 2009 DrStockPick.com Stock Report! GENZ, PWRM, STEM, CTIC, PFE ************************************************************** GENZ, Genzyme Corporation GENZ is dedicated to making a major positive impact on the lives of people with serious diseases. Since 1981, the company has grown from a small start-up to a diversified enterprise with more [...]

Increasing Alzheimer’s Patients Spell Drug Profits

Investment U — Tue, 22 Sep 2009 14:15:54 +0000

Increasing Alzheimer’s Patients Spell Drug Profits Some disturbing figures rolled out yesterday concerning growth rates of Alzheimer’s patients. The number of people affected grew 10% in the past four years and is expected to grow to over 115 million by 2050. That’s a doubling of cases every 20 years. The number is expected [...]

FDA Approves First H1N1 Vaccine – Analyst Blog

Zacks Market Commentaries — Wed, 16 Sep 2009 14:34:52 +0000

In a major achievement towards vaccinating people against the H1N1 virus, yesterday the US Food and Drug Administration (FDA) approved the long anticipated new "swine flu" vaccine. The approval is for four pharmaceutical companies -- Sanofi Pasteur, the vaccine division of Sanofi-Aventis (SNY), Novartis Vaccines and Diagnostics Limited, the vaccine and diagnostics arm of Novartis (NVS), MedImmune LLC, a subsidiary of AstraZeneca (AZN) and CSL Limited of Australia.

Another company that is in the race to produce the vaccine, GlaxoSmithKline (GSK), has yet to gain approval.

The first batch of the vaccine is expected to be available in another four weeks. Although the US government has ordered 195 million doses, the Centers for Disease Control and Prevention expects about 45 million initially by mid-October. The vaccines approved are in injectable form other than that of MedImmune, which is a nasal spray vaccine.

The National Institute for Health is studying the vaccine dosage and safety. Trials on healthy adults found the vaccine to be effective (within eight to ten days) in one dose instead of the initial expectation of 2 doses. This is quite significant as more people can be vaccinated given the limited supply. However, studies with children and pregnant women continue.

We believe the approval is a big opportunity for these pharmaceutical companies. The only issue of concern is supply bottlenecks. The World Health Organization (WHO) had warned earlier that supply will be much lower than anticipated earlier. Per initial estimates from October onwards, about 94 million doses of vaccine could have been manufactured by the pharmaceutical companies, but this target has already been slashed by 50-75% due to poorer than expected yield from the virus strains.
Read the full analyst report on "SNY"
Read the full analyst report on "NVS"
Read the full analyst report on "AZN"
Read the full analyst report on "GSK"
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Bayer names Dekkers as next CEO

Stock-PR — Tue, 15 Sep 2009 12:46:42 +0000

Dutch-born Marijn Dekkers tapped to take over German drug-maker Bayer in 2010 BERLIN (CRWENewswire) German chemical and pharmaceutical company Bayer AG announced Tuesday September 15, 2009 that it has tapped Marijn Dekkers to take over as its chief executive in October 2010. Dekkers, who has both Dutch and U.S. citizenship, is currently the head of Waltham, Massachussets-based [...]

PWRM, GVBP, DrStockPick.com Stock Report! Power 3 Medical Products Inc, PWRM.OB and GENova Biotherapeutics Inc, GVBP.OB

Dr. Stock Pick — Mon, 14 Sep 2009 22:31:57 +0000

PWRM, Power 3 Medical Products Inc, PWRM.OB GVBP, GENova Biotherapeutics Inc, GVBP.OB DrStockPick.com Stock Report! Dr Stock Pick HOT News & Alerts! Monday September 14, 2009 ************************************************************** PWRM, Power 3 Medical Products Inc. PWRM is a leading bio-medical company engaged in the commercialization of neurodegenerative disease and cancer biomarkers, pathways, and mechanisms of diseases through the development of diagnostic tests and [...]

P&G Reiterates Guidance – Analyst Blog

Zacks Market Commentaries — Mon, 14 Sep 2009 16:45:11 +0000

Procter & Gamble Co. (PG) recently reaffirmed its earnings and sales outlook for the first quarter of fiscal 2010. Management also provided guidance for organic sales growth for the second quarter of 2010 and updated its forecast for fiscal 2010.

The world’s leading consumer goods giant continues to expect first-quarter recurring earnings in the range of 95 cents to $1 per share. However, foreign exchange translation is expected to hurt quarterly revenue by about 7%, leading to a net sales decline of 7% to 10% versus the prior year. Organic sales growth for the quarter is expected between zero and a negative 3%.

During the fourth quarter, P&G reported earnings of 80 cents per share and net sales of $18.66 billion. However, organic sales fell year over year.

Management confirmed its previous guidance of organic sales growth of 1% to 3% for fiscal 2010. The company said it sees net sales in the range of flat to up 3% compared with prior-year levels, including a foreign exchange impact of zero to negative 1%.

The company updated its earnings outlook to include the expected impact of the pharmaceutical divestiture to Warner Chilcott announced in August. The deal is expected to close by early November.

P&G now expects fiscal 2010 earnings in the range of $3.99 to $4.12 per share. This includes a one-time gain of 44 cents per share from the sale of its pharmaceutical business, which will be partially offset by 10 cents to 12 per share of earnings dilution related to the transaction.

Management also said it expects organic sales growth of 1% to 4% in the second quarter of fiscal 2010.

Read the full analyst report on "PG"
Zacks Investment Research

GENova Biotherapeutics, Inc. (GVBP.OB) to Acquire Drug Patents Worth Over $1 Billion in Royalties

QualityStocks — Mon, 14 Sep 2009 15:15:06 +0000

With great excitement, GENova Biotherapeutics, Inc., a biotechnology company that develops proteins to disrupt the advance of life-threatening diseases, recently announced that it is in the process of acquiring three promising new drug target patents that could generate over a billion dollar in royalty fees in the mid to long term. Aaron Whiteman, CEO for [...]

DrStockPick.com Stock Report! 9/11/09, JAGH, DARA, NOK, PLCSF, SCLD, ABFS

Dr. Stock Pick — Fri, 11 Sep 2009 15:09:26 +0000

DrStockPick.com Stock Report! Friday September 11, 2009 ************************************************************** JAG Media Holdings, Inc. (OTC Bulletin Board: JAGH) has entered into an agreement with The Investor Relations Group, Inc. (”IRG”), pursuant to which IRG will provide various investor relations and public relations services for the Company in accordance with the terms of the agreement. As [...]

New Pain Treatment Triumphs Morphine (OTC:NPHC)

Michael Vlaicu — Fri, 11 Sep 2009 05:52:41 +0000

Nutra Pharma Corp. (Public, OTC:NPHC) Step aside Morphine, the new king of chronic pain treatment has entered the building. With Nutra Pharma#8217;s stock rising nearly 2300% year-to-date, its time we see what all the commotion is about. StocksHaven Investments takes a closer look at Nutra Pharma Corp., which believes will begin generating significant revenues within the next [...]

DrStockPick.com Stock Report! 9/10/09, CEOA, SPEX, PSEC, SNWL, PCYG, EWRC

Dr. Stock Pick — Thu, 10 Sep 2009 18:52:44 +0000

DrStockPick.com Stock Report! Thursday September 10, 2009 ************************************************************** CEO America, Inc. (Pink Sheets: CEOA), using CREDITZ(R) Digital Currency (www.creditz.com), is a 21st century solution provider of Loyalty Network, Payment and Target Marketing. CEO America is now introducing the CREDITZ system to customers in the US and Canada to help merchants increase sales, enhance [...]

ENCO, Encorium Group Inc. New Deals Worth a Total of $8.7 million, X-Treme Hot Stock Alert by DrStockPick.com

Dr. Stock Pick — Wed, 09 Sep 2009 16:23:04 +0000

DrStockPick.com Stock Report! Wednesday September 9, 2009 ************************************************************** ENCO, Encorium Group Inc. ENCO is a global clinical research organization specializing in the design and management of complex clinical trials and Patient Registries for the pharmaceutical, biotechnology and medical device industries. ENCO reported the signing of approximately $8.7 million of new business contracts, including selection by a major pharmaceutical company [...]

GenVec’s TNFerade Nears NDA Status (NASDAQ:GNVC)

Michael Vlaicu — Wed, 09 Sep 2009 06:06:14 +0000

GenVec, Inc. (Public, NASDAQ:GNVC) StocksHaven Investments profiles a clinical stage biopharmaceutical company developing gene-based therapeutic drugs and vaccines. Its lead product candidate, TNFerade biologic (TNFerade), is being developed for use in the treatment of cancer, and is currently undergoing Phase III trials which are expected to be completed by Q1 2010. In addition to its therapeutic product [...]

Cornerstone Wins Factive Rights – Analyst Blog

Zacks Market Commentaries — Tue, 08 Sep 2009 20:20:36 +0000

Last week, Cornerstone Therapeutics Inc. (CRTX) announced the receipt of approval from the United States Bankruptcy Court for Massachusetts district regarding the acquisition of Factive's (gemifloxacin mesylate) commercial rights in North America and some European countries from Oscient Pharmaceuticals Corp., which filed for Chapter 11 bankruptcy protection in July.

The transaction is worth $5 million in cash. Additionally, it includes an amount for purchased inventory, quarterly royalty payments based on adjusted net sales for a period of five years, and the assumption of certain liabilities.

Factive, which belongs to the fluoroquinolone class of antibiotics, is indicated for the treatment of community-acquired pneumonia (CAP) of mild to moderate severity and acute bacterial exacerbations of chronic bronchitis (ABECB). It was launched in the U.S. in September 2004 and is the only fluoroquinolone approved in the U.S. for the five-day treatment of both ABECB and CAP.

Factive has generated approximately 1.1 million prescriptions since its launch. It garnered approximately $16 million net revenues in 2008.

As a reminder, Cornerstone Therapeutics Inc was established through the merger of Critical Therapeutics with Cornerstone Biopharma Holdings Inc in the fourth quarter of 2008. The company has a wide range of products in its portfolio including AlleRx for allergic rhinitis; Balacet 325 for pain; Spectracef, an oral antibiotic for infections; and Zyflo/Zyflo CR for asthma. The company has a deep late-stage clinical pipeline with quite a few regulatory approval submissions expected between 2009 and 2011.

Cornerstone’s $70 million deal with Chiesi Farmaceutici, an Italian pharmaceutical firm, further broadens its product portfolio. The deal includes U.S. rights to the Chiesi drug Curosurf, which is used to treat respiratory distress syndrome (RDS) in premature babies.

The inclusion of Factive is an impressive addition to the already accomplished portfolio, and strengthens its presence in the respiratory market.

Cornerstone operates in a highly competitive respiratory market. Its products compete with both big players and generic counterparts. However, we believe the company’s strategy is to carve a niche in this market. Cornerstone’s top competitors include big players like AstraZeneca (AZN), GlaxoSmithKline plc (GSK) and Merck (MRK).
Read the full analyst report on "CRTX"
Read the full analyst report on "MRK"
Read the full analyst report on "GSK"
Read the full analyst report on "AZN"
Zacks Investment Research

DrStockPick.com Stock Report! 9/08/09, AVB, CYPW, AEN, WIN, CASM, AXAS

Dr. Stock Pick — Tue, 08 Sep 2009 13:42:17 +0000

DrStockPick.com Stock Report! Tuesday September 8, 2009 ************************************************************** AvalonBay Communities, Inc. (NYSE:AVB) announced today that it has commenced a cash tender offer (the “Tender Offer”) for up to $300,000,000 in aggregate principal amount (the “Maximum Principal Amount”) of AvalonBay’s outstanding 7.500% Medium-Term Notes due December 15, 2010 (the “7.500% Notes”), 6.625% Medium-Term Notes [...]

Jiangbo Pharmaceuticals, Inc. (JGBO.OB) Remains Confident in Previously Issued Guidance for Fiscal 2009

QualityStocks — Tue, 08 Sep 2009 13:23:11 +0000

Today, Jiangbo Pharmaceuticals, Inc., a U.S. pharmaceutical company with its primary operations in China, reaffirmed its previously announced guidance for fiscal year 2009. According to the press release, the company anticipates meeting or exceeding its goals of $111 to $116 million in revenue and operating income of $40 to $43 million for the fiscal year [...]

PennyOmega.com Stocks Upgraded, Downgraded and Short Highlights Before the Bell Tuesday September 8, 2009

PennyOmega.com — Tue, 08 Sep 2009 12:29:16 +0000

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Three Blockbuster Drugs Seeking NDA (AMEX:AEN)

Michael Vlaicu — Fri, 04 Sep 2009 06:15:47 +0000

Adeona Pharmaceuticals, Inc. (Public, AMEX:AEN) StocksHaven Investments takes a look at Adeona Pharmaceuticals, Inc. which currently has three blockbuster drugs in phase III, and are coming close to NDA status. The first being Trimesta, which tackles Multiple Sclerosis (MS) and Post-partum Depression. Secondly, Zinthionein, a product seeking treatment for Age Related Macular Degeneration (AMD). Lastly, Oral [...]

Dainippon Acquires Sepracor – Analyst Blog

Zacks Market Commentaries — Thu, 03 Sep 2009 16:38:24 +0000

Today morning, Japanese pharmaceutical company Dainippon Sumitomo Pharma Co., Ltd. confirmed that it signed a definitive agreement to buy U.S. pharmaceutical company Sepracor Inc. (SEPR). The deal has been valued at $23 per share or $2.6 billion.

The market was abuzz with rumors yesterday regarding the potential takeover. The rumors led to a 26.46% increase in Sepracor’s stock price. Trading was halted in the afternoon with Sepracor shares closing at $22.80.

This acquisition is the latest in a series of deals conducted by Japanese companies that are looking to tap the U.S. pharmaceutical market – the biggest in the world. Last year, we saw four such deals take place including Eisai’s acquisition of MGI Pharma, Takeda’s acquisition of Millennium Pharma and Shionogi’s acquisition of Sciele. Finally, Daiichi-Sankyo acquired a stake in India’s Ranbaxy Labs.

Following the completion of the acquisition, Sepracor will become a wholly owned subsidiary of Dainippon Sumitomo Pharma America Holdings, Inc., and will continue its operations in the U.S. and Canada. The offer price of $23 represents a 48% premium to Sepracor’s average stock price over the last six month period ending Sept 1, and a 27.6% premium over the closing price on Sept 1.

Meanwhile, Dainippon is looking to increase its penetration in the U.S. market through the Sepracor acquisition. The completion of this acquisition will give Dainippon access to Sepracor’s 1,200 person sales force, which should help support the launch of antipsychotic drug, lurasidone, currently in phase III development. Besides this, Sepracor will bring with it several marketed products like Lunesta, Xopenex/HFA, Brovana, Omnaris and Alvesco.

Once launched, lurasidone will be competing with schizophrenia drugs like AstraZeneca’s (AZN) Seroquel, Schering-Plough’s (SGP) Saphris, Eli Lilly’s (LLY) Zyprexa, and Bristol-Myers’ (BMY) Abilify among others.

The acquisition should not only help Dainippon develop its U.S. commercial structure but also strengthen its research & development (R&D) capabilities. Sepracor has several interesting candidates in its mid-stage central nervous system (CNS) pipeline, which should contribute to revenues from 2012.

The boards of both the companies have approved the deal. The tender offer, scheduled to commence no later than Sept 15 will close in the fourth quarter.

Read the full analyst report on "SEPR"
Read the full analyst report on "AZN"
Read the full analyst report on "SGP"
Read the full analyst report on "LLY"
Read the full analyst report on "BMY"
Zacks Investment Research

Good News for AstraZeneca – Analyst Blog

Zacks Market Commentaries — Tue, 01 Sep 2009 18:13:27 +0000

Yesterday, AstraZeneca Plc (AZN) announced that Crestor, its cholesterol-lowering drug (statin) reduced the risk of heart attacks, strokes, artery-clearing procedures and death in elderly patients.

The results from the JUPITER study (Justification for the Use of statins in Primary prevention: an Intervention Trial Evaluating Rosuvastatin), showed that Crestor 20mg reduced major cardiovascular events. The administration of the drug to a sub-set of 5,695 patients aged 70 years or above reduced the risk of cardiovascular events by 39% compared to placebo.

The study also revealed that Crestor reduced the risk of heart attack as well as stroke by 45% each in 17,802 patients (the total population of the study).

The results were presented at the European Society of Cardiology (ESC) meeting in Barcelona, Spain. Results from the randomized, double-blind, placebo-controlled study were initially presented in November 2008.

We feel that the analysis from the JUPITER study will expand Crestor usage to reduce the risk of cardiovascular events.

Crestor, initially developed by the Japanese pharmaceutical company Shionogi and in-licensed by AstraZeneca in April 1998, is approved in more than 95 countries.

The company’s cardiovascular franchise consists primarily of Crestor, Toprol XL and Atacand. Crestor continues to record solid growth despite the availability of several generic alternative statins. Crestor prescriptions grew by 25% in the recent quarter, four times the overall statin market.

Crestor sales in the most recent quarter exceeded $1 billion; it was the only branded statin to gain market share in the U.S. in 2008. Sales benefited from the promotion for the atherosclerosis (progressive buildup of plaque in the inner walls of the arteries) indication and the recent lack of efficacy perception for Merck & Co. Inc.’s (MRK) Vytorin. Management remains optimistic that Crestor’s superior efficacy relative to the generics will provide sufficient differentiation to enable further growth in U.S. sales.

AstraZeneca and Abbott Labs (ABT) are working on a co-formulated fixed-dose single pill that combines Crestor and Abbott’s next-generation triglycerides lowering pill TriLipix. The Crestor-TriLipix combination pill is known as Certriad.

Certriad was filed for FDA approval on June 4, 2009 for the treatment of mixed dyslipidemia, which is a combination of two or more lipid abnormalities including high LDL cholesterol (the bad cholesterol), high triglycerides and low HDL-cholesterol (the good cholesterol).

According to the American Heart Association, more than 100 million adults in the U.S. suffer from dyslipidemia. Of those, approximately 34 million people suffer from mixed dyslipidemia. If all goes well, Certriad could launch in the U.S. market during the second quarter of 2010.
Read the full analyst report on "AZN"
Read the full analyst report on "MRK"
Read the full analyst report on "ABT"
Zacks Investment Research

PennyOmega.com Stocks Upgraded, Downgraded and Short Highlights Before the Bell Tuesday September 1st, 2009

PennyOmega.com — Tue, 01 Sep 2009 12:37:38 +0000

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DrStockPick.com Stock Report! 8/28/09, MFLI, LGDI, PGV, EURX, TRMB, ACET

Dr. Stock Pick — Fri, 28 Aug 2009 11:41:16 +0000

DrStockPick.com Stock Report! Friday August 28, 2009 ************************************************************** Muscle Flex Inc. (PINKSHEETS: MFLI) announced today that Danny Alex, CEO of Muscle Flex Inc. (www.MuscleFlexInc.com), has been exclusively invited to the WWDMAGIC (www.MagicOnline.com) fashion tradeshow in Las Vegas by Houston PAD (www.HoustonProjects.com), Master Distributor of VATA Brasil Active Wear (www.VataBrasil.com). The invitation to [...]

Emerging Market for Pharma

QualityStocks — Wed, 26 Aug 2009 19:00:34 +0000

The shape of the global market for pharmaceuticals is undergoing a rapid change. As recently as 2006, more than half of the market growth was in the United States. This data comes from IMS Health, a consultancy which is a leading provider of pharmaceutical trends. However, the necessity for the pharmaceutical industry to develop new markets [...]

Zacks Analyst Blog Highlights: Sanofi-Aventis, AstraZeneca, GlaxoSmithKline, Baxter and Novartis – Press Releases

Zacks Market Commentaries — Wed, 26 Aug 2009 13:25:41 +0000

For Immediate Release

Chicago, IL – August 26, 2009 – Zacks.com announces the list of stocks featured in the Analyst Blog. Every day the Zacks Equity Research analysts discuss the latest news and events impacting stocks and the financial markets. Stocks recently featured in the blog include: Sanofi-Aventis (SNY), AstraZeneca (AZN), GlaxoSmithKline (GSK), Baxter (BAX) and Novartis (NVS).

Get the most recent insight from Zacks Equity Research with the free Profit from the Pros newsletter: http://at.zacks.com/?id=5513

Here are highlights from Tuesday’s Analyst Blog:

H1N1 Vaccine to Miss Target

Per initial estimates from October onwards, about 94 million doses of vaccine could have been manufactured by the pharmaceutical companies, but this target has already been slashed by 50-75% due to poorer than expected yield from the virus strains.

Almost 25 pharmaceutical companies are racing against time to bring the vaccine to the market. Among these the top five which include, Sanofi-Pasteur of France (the vaccine arm of Sanofi-Aventis [SNY]), AstraZeneca (AZN), GlaxoSmithKline (GSK), Baxter (BAX), and Novartis (NVS) are likely to contribute almost 80% of the total production.

Want more from Zacks Equity Research? Subscribe to the free Profit from the Pros newsletter: http://at.zacks.com/?id=5515.

About Zacks Equity Research

Zacks Equity Research provides the best of quantitative and qualitative analysis to help investors know what stocks to buy and which to sell for the long-term.

Zacks "Profit from the Pros" e-mail newsletter provides highlights of the latest analysis from Zacks Equity Research. Subscribe to this free newsletter today: http://at.zacks.com/?id=5517

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Visit http://www.zacks.com/performance for information about the performance numbers displayed in this press release.

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Zacks Investment Research

Shire Aims Big in HGT Segment – Analyst Blog

Zacks Market Commentaries — Tue, 25 Aug 2009 20:53:39 +0000

We are pleased with UK-based Shire Plc’s (SHPGY) research collaboration with Denmark’s Santaris Pharma for the development of new drugs for rare diseases. Shire will make an upfront payment of $6.5 million and an additional $13.5 million on completion of certain initial studies.

Santaris Pharma also has the potential to get another $72 million in the form of development, regulatory and sales-related milestone payments for each of its five pipeline candidates along with royalties on sales once these products are commercialized. The initial term of the collaboration is two years and Shire may extend it by another two-year term.

With this deal, Shire will be able to utilize Santaris' proprietary locked nucleic acid (LNA) technology platform to develop treatments for several life threatening conditions that cannot be cured by enzyme replacement therapy (ERT), a platform where Shire has a strong presence. We believe the alliance will be beneficial for Shire as the company is looking to strengthen its Human Genetic Therapies (HGT) business.

Shire is a global pharmaceutical company with strategic focus in several therapeutic areas, including Central Nervous System (CNS), gastrointestinal (GI) and renal disorders. It has several products on the market, like Adderall XR for Attention Deficit Hyperactivity Disorder (ADHD) and Pentasa for ulcerative colitis. In addition to product sales, the company earns revenue from royalties, primarily through collaborative agreements with GlaxoSmithKline (GSK).

Shire reorganized its business into the areas of Specialty Pharmaceuticals and HGT with the intention of allocating significant resources for developing the HGT business in the coming years. HGT currently accounts for roughly 18% of total company sales and Shire sees this rising to 30% by 2015. Since HGT products focus on rare genetic diseases with high unmet needs, they are usually granted orphan drug status.

Read the full analyst report on "SHPGY"
Read the full analyst report on "GSK"
Zacks Investment Research

Emerging Market for Pharma

Investment U — Tue, 25 Aug 2009 18:42:19 +0000

Emerging Market for Pharma Tony Daltorio, The Investment U Research Team The shape of the global market for pharmaceuticals is undergoing a rapid change. As recently as 2006, more than half of the market growth was in the United States. This data comes from IMS Health, a consultancy that is a leading provider of [...]

H1N1 Vaccine to Miss Target – Analyst Blog

Zacks Market Commentaries — Tue, 25 Aug 2009 17:55:25 +0000

Although we are waiting eagerly for the first H1N1 vaccine to hit the market, it seems production of the vaccine will be much less than the original estimates. According to a warning from the World Health Organization (WHO), supply will be much less than anticipated earlier, especially with the winter season approaching in the northern hemisphere. Per initial estimates from October onwards, about 94 million doses of vaccine could have been manufactured by the pharmaceutical companies, but this target has already been slashed by 50-75% due to poorer than expected yield from the virus strains.

Almost 25 pharmaceutical companies are racing against time to bring the vaccine to the market. Among these the top five which include, Sanofi-Pasteur of France (the vaccine arm of Sanofi-Aventis, SNY), AstraZeneca (AZN), GlaxoSmithKline (GSK), Baxter (BAX), and Novartis (NVS) are likely to contribute almost 80% of the total production.

Baxter and Novartis are seeking approval to market vaccines made from cell-based cultures, which have better yields than the traditional method of growing viruses in chicken eggs. In a major breakthrough, China-based Sinovac Biotech (SVA) announced that clinical trials have shown the effectiveness of its new vaccine in a single shot whereas earlier it was assumed that two doses per person would be required. This means more people can be vaccinated. The vaccine is expected to be available within a short time from Baxter as the company declared the completion of production of the first batch of the cell-based vaccine Celvapan. On receiving approval from the concerned health authorities, the company will be able to commence shipment. GlaxoSmithKline intends to begin its shipments in late September while Sanofi-Pasteur expects to begin production by year end.

The vaccine market has emerged as one of the most lucrative segments for pharmaceutical companies. It is expected to grow at a CAGR of over 13% during 2009-2012. The H1N1 pandemic should fuel further growth in this segment.

Read the full analyst report on "SNY"
Read the full analyst report on "AZN"
Read the full analyst report on "GSK"
Read the full analyst report on "BAX"
Read the full analyst report on "NVS"
Read the full analyst report on "SVA"
Zacks Investment Research

Warner Chilcott Wraps Up Irish Move – Zacks Tale of the Tape

Zacks Market Commentaries — Fri, 21 Aug 2009 19:14:23 +0000

Warner Chilcott (WCRX) has announced that it has completed its move to Ireland from Bermuda.

As per the transaction Warner Chilcott Ltd. became a wholly-owned subsidiary of Warner Chilcott Plc.

The movement to Ireland was approved by the company’s board in May this year, citing advantages such as, stable long-term legal and regulatory environment and robust network of tax treaties with other countries. The move received shareholder approval earlier this month.

Meanwhile, the specialty pharmaceutical company reported second-quarter earnings of 44 cents per share on Aug 7, beating the Zacks Consensus Estimate by nearly 13%.

WCRX, a Zacks #3 Rank ("Hold") stock, has advanced more than 3% so far today on higher-than-usual volume of about 1.8 million, compared to the average daily volume of approximately 1.2 million.
"WCRX" Free Stock Analysis: Buy? Sell? Hold?
Zacks Investment Research

Cornerstone Falls Short – Analyst Blog

Zacks Market Commentaries — Thu, 20 Aug 2009 18:27:56 +0000

Last week, Cornerstone Therapeutics Inc. (CRTX) reported second quarter earnings of 13 cents per share, which was well below the Zacks Consensus Estimate of 33 cents.

Net revenues for the quarter came in at $25 million, which reflected a 78% increase over the prior-year quarter. The company reported earnings of 31 cents per share in the previous year quarter.

Operating expenses increased significantly in the quarter primarily due to increases in the workforce -- an increase in legal and accounting costs, costs associated with the Chiesi transaction, FDA regulatory-related fees, product liability, insurance-related costs, new product launches and royalties on increased product sales.

As a reminder, Cornerstone Therapeutics Inc. was established through the merger of Critical Therapeutics with Cornerstone Biopharma Holdings Inc. in the fourth quarter of 2008. The financial statements for periods prior to the merger reflect the historical results of Cornerstone BioPharma, not Critical Therapeutics, and those for all subsequent periods reflect the results of the combined company.

Management reaffirmed that their net revenues in 2009 will be in excess of $95 million. Additionally, the company expects to achieve income from operations in excess of $17 million. Cornerstone exited the quarter with $15.5 million in cash and cash equivalents.

The merged entity has a wide range of products in its portfolio including AlleRx for allergic rhinitis; Balacet 325 for pain; Spectracef, an oral antibiotic for infections; and Zyflo/Zyflo CR for asthma. The company currently promotes its products in the United States to respiratory-focused physicians and key retail pharmacies with its specialty sales force. Cornerstone’s sales force consists of more than 80 sales representatives.

Cornerstone also generates revenue from the sale of multiple marketed product lines that it does not promote. The company has a deep late-stage clinical pipeline with quite a few regulatory approval submissions expected between within 2011.

Cornerstone’s recent $70 million deal agreement with Chiesi Farmaceutici, an Italian pharmaceutical firm, further broadens its product portfolio. The deal includes U.S. rights to the Chiesi drug Curosurf, which is used to treat respiratory distress syndrome (RDS) in premature babies.

Cornerstone operates in a highly competitive respiratory market. All its products compete with both big players and generic counterparts. However, we believe the company’s strategy will carve a niche in this market. Cornerstone’s top competitors include big players like AstraZeneca (AZN) and Merck (MRK).
Read the full analyst report on "CRTX"
Read the full analyst report on "AZN"
Read the full analyst report on "MRK"
Zacks Investment Research

Array Meets Expectations – Analyst Blog

Zacks Market Commentaries — Thu, 20 Aug 2009 17:49:23 +0000

Last week, Array BioPharma Inc. (ARRY) reported a fourth-quarter net loss of 55 cents per share which was in line with the Zacks Consensus Estimate. The company had a loss of 68 cents in the year-ago quarter. Net loss for fiscal 2009 was $2.67 per share, compared with $2.04 last year.

Quarterly revenue came in at $5.5 million, representing a 10% decline from the comparable quarter in 2008. Sales for the full year fell by 13% to $25 million.

The narrower quarterly loss was primarily attributable to lower spending on research and development. The company spent $21.3 million towards research and development for the quarter for the clinical advancement of its wholly owned drugs versus $28.4 million in year-ago quarter.

Last January, Array had announced a restructuring plan of scaling down its research and development costs and accelerating partnership initiatives to ensure sustainable growth under current market conditions.

The company’s proprietary pipeline is primarily directed at drugs to treat cancer, inflammatory and metabolic diseases. It also collaborates with leading pharmaceutical and biotechnology companies like Celgene Corp. (CELG), AstraZeneca Plc (AZN) and Genentech to discover and develop drug candidates across a broad range of therapeutic areas.

Array also announced on the same day that its diabetes drug, ARRY-403, met the main goals of an early-stage trial. The drug, studied in 41 type-2 diabetes patients satisfied the primary and secondary goals of safety, pharmacokinetics and glucose control. Array is planning to initiate a new study in type 2 diabetes patients to evaluate the effects of the drug over a 10-day period.

The type-2 diabetes market has strong growth potential, with Decision Resources projecting a jump from $15.3 billion in 2008 to $27.8 billion in the U.S., the European Union and Japan in 2018. Growth will be driven primarily by expanding drug-treated population and launching several novel agents.

Array possesses an intriguing pipeline for cancer, inflammatory and metabolic diseases. However, given that most products are early-stage and the company relies on third-party clinical support, Array possesses a higher risk profile than most investors may be interested in undertaking.

Read the full analyst report on "ARRY"
Read the full analyst report on "CELG"
Read the full analyst report on "AZN"
Zacks Investment Research

The Impact of the Genome

Contrarian Profits — Tue, 18 Aug 2009 19:32:54 +0000

pCurrently, medicine is, to a large degree, a “one size fits all” proposition. Doctors watch for adverse effects and check personal and family histories. Medical technologies, however, are designed for the general population, not individuals. That’s going to change./p pMoreover, strongthere will be huge profit opportunities, in many enabling technologies, for those who invest accordingly./strong And today I’m going to tell you about a company that will hand you your best chance to make a transformational fortune./p pWe know that many current treatments work on some people, yet not others. Some drugs are safe for many people, but have dangerous side effects for others. This is because all of us have individual differences in our genetic code based on heredity and environment. Even#8230;/p

DrStockPick.com Stock Report! 8/18/09, CMCSA, AOB, WYNN, COMS, IBM, FRE

Dr. Stock Pick — Tue, 18 Aug 2009 17:45:15 +0000

DrStockPick.com Stock Report! Tuesday August 18, 2009 ************************************************************** Comcast Corporation (Nasdaq: CMCSA, CMCSK), the nation’s leading provider of entertainment, information and communications, today announced that customers who subscribe to its Triple Play of digital cable, high-speed Internet and digital voice services in Michigan can now view incoming caller information on their TV and [...]

DrStockPick.com Stock Report! 8/18/09, PMOZ, CDIV, NIV, CW, DISCA, FFH

Dr. Stock Pick — Tue, 18 Aug 2009 13:46:12 +0000

DrStockPick.com Stock Report! Tuesday August 18, 2009 ************************************************************** PrismOne (OTCBB:PMOZ) is happy to announce the opening of our new 3600 sq.ft. Corporate headquarters in downtown Winter Garden. The new offices occupy the north side of the third floor of the newly built Garden Building that is LEED certified and also incorporates a state-of-the-art [...]

DrStockPick.com Stock Report! 8/18/09, WEDC, NVAX, SAP, DRRX, ZBRA, CHBU

Dr. Stock Pick — Tue, 18 Aug 2009 13:10:44 +0000

DrStockPick.com Stock Report! Tuesday August 18, 2009 ************************************************************** Desert Equity LP, a Delaware limited partnership, today announced that it has commenced its previously announced cash tender offer for up to a total of 3,740,000 shares of common stock, or approximately 16.3% of the shares outstanding, of White Electronic Designs Corporation (Nasdaq: WEDC), at [...]

Safe(r) ways to play biotech

Daniel Hung — Tue, 18 Aug 2009 04:25:33 +0000

I recently highlighted a small biotech firm, ISIS Pharmaceuticals, as a potential “value” growth play. ISIS took a tumble after earnings despite being just a penny off of estimates. Despite slightly lower than expected earnings, the Company showed a strong cash position, moderate cash burn, and a likelihood that it would be able to at [...]

DrStockPick.com Stock Report! 8/14/09, OTT, ARDNA, RAH, THG, AEN, ERTS

Dr. Stock Pick — Fri, 14 Aug 2009 17:44:53 +0000

DrStockPick.com Stock Report! Friday August 14, 2009 ************************************************************** Otelco Inc. (NASDAQ: OTT), a wireline telecommunication services provider in Alabama, Maine, Massachusetts, Missouri and West Virginia, today announced that its Board of Directors has declared a distribution of $0.42 per Income Deposit Security (each an “IDS”), which will be made on September 30, 2009 [...]

King Pharma Gets a Boost – Analyst Blog

Zacks Market Commentaries — Fri, 14 Aug 2009 15:00:47 +0000

King Pharmaceuticals Inc. (KG) recently received the US Food and Drug Administration’s (FDA) approval for marketing Embeda, its new drug for moderate to severe chronic pain. The company plans to launch the product next month.

Embeda is made of morphine and naltrexone, with morphine being its primary ingredient. When the pill is taken as directed, it releases morphine that relieves pain. When the pill is crushed or chewed, it releases naltrexone, thereby reversing the subjective and analgesic effects of morphine.

The approval will boost the company’s top line. Embeda has been under FDA review since June 2008. King acquired Embeda through its acquisition of Alpharma Inc.

King Pharmaceuticals is a vertically integrated pharmaceutical company that focuses on the development and marketing of branded prescription pharmaceutical products and animal health products. The company primarily focuses on specialty markets, particularly specialty-driven branded prescription pharmaceutical markets.

The company is in the process of developing another pain killer, Remoxy. This is also an abuse-resistant drug with a thick liquid form of oxycodone as its main ingredient. FDA has requested for additional data for this application from King. The company is addressing this issue and is likely to resubmit its application in mid-2010.

Read the full analyst report on "KG"
Zacks Investment Research

Beacon Equity Research Featured Company: Cornerstone Therapeutics, Inc. (CRTX)

QualityStocks — Thu, 13 Aug 2009 17:49:48 +0000

Cornerstone Therapeutics, Inc., a specialty pharmaceutical company, focuses on the acquisition, development, and commercialization of prescription products for the respiratory market in the United States. The company is dedicated to making quality medicines in order to improve the quality of life. Cornerstone offers trusted medications such as Zyflo CR®, Spectracef® and AlleRx®. [...]

PennyOmega.com Stock Report! 8/13/09, NPHC, SGEN, DANR, COO, SNPS, ABT

PennyOmega.com — Thu, 13 Aug 2009 13:45:25 +0000

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Zacks Analyst Blog Highlights: Sanofi-Aventis, GlaxoSmithKline, Novartis, Merck and Wyeth – Press Releases

Zacks Market Commentaries — Tue, 11 Aug 2009 13:30:09 +0000

For Immediate Release

Chicago, IL – August 11, 2009 – Zacks.com announces the list of stocks featured in the Analyst Blog. Every day the Zacks Equity Research analysts discuss the latest news and events impacting stocks and the financial markets. Stocks recently featured in the blog include: Sanofi-Aventis (SNY), GlaxoSmithKline (GSK), Novartis (NVS), Merck (MRK) and Wyeth (WYE).

Get the most recent insight from Zacks Equity Research with the free Profit from the Pros newsletter: http://at.zacks.com/?id=5513

Here are highlights from Monday’s Analyst Blog:

H1N1 Vaccine from Sanofi?

Sanofi-Aventis is the biggest producer of flu medicines. On approval, the vaccine will have the potential to earn robust revenue for the company. Viewing this potential, many companies are already working on similar vaccines like GlaxoSmithKline (GSK) and Novartis (NVS).

The vaccine market has emerged as one of the most lucrative segments for a pharmaceutical company. It is expected to grow at a CAGR of over 13% during 2009-2012. The swine flu pandemic is expected to add further growth to this segment. For the last two years, Gardasil from Merck (MRK) for the treatment of cervical cancer and Wyeth’s (WYE) Prevnar (for illness caused by pneumococcal bacteria) were the top selling vaccines. Now, GSK should be able to corner a significant share of this segment with its H1N1 vaccine.

Want more from Zacks Equity Research? Subscribe to the free Profit from the Pros newsletter: http://at.zacks.com/?id=5515.

About Zacks Equity Research

Zacks Equity Research provides the best of quantitative and qualitative analysis to help investors know what stocks to buy and which to sell for the long-term.

Zacks "Profit from the Pros" e-mail newsletter provides highlights of the latest analysis from Zacks Equity Research. Subscribe to this free newsletter today: http://at.zacks.com/?id=5517

About Zacks

Visit http://www.zacks.com/performance for information about the performance numbers displayed in this press release.

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Contact:
Mark Vickery
Web Content Editor
312-265-9380
Visit: www.zacks.com

Zacks Investment Research

DrStockPick.com Stock Report! 8/11/09, WBC, TSYS, CAST, WH, PLD, CRTX

Dr. Stock Pick — Tue, 11 Aug 2009 11:51:12 +0000

DrStockPick.com Stock Report! Tuesday August 11, 2009 ************************************************************** WABCO Holdings Inc. (NYSE: WBC) (www.wabco-auto.com), a global technology leader and tier-one supplier to the commercial vehicle industry, today announced that WABCO and Ashok Leyland, the Indian flagship of the Hinduja Group, have completed an agreement for development of transmission automation technology and the long [...]

ISIS makes antisense

Daniel Hung — Tue, 11 Aug 2009 04:37:24 +0000

Since bottoming near the end of 2008, ISIS Pharmaceuticals has been one of the hottest stocks in the first half of 2009. In fact, in just a few short months, the stock has exhibited all the tell tale signs of a powerful, interim trend reversal. More importantly, a look at ISIS’s 3-year weekly chart shows [...]

August 10th CEOcast Weekly Newsletter

QualityStocks — Mon, 10 Aug 2009 20:29:23 +0000

Companies featured in this edition of the newsletter: CBAI, ICLK, ITUI, IWEB, MBCI, OMCM, SIHI, SRCO Markets continued their torrid pace this week on the strength of encouraging reports from two of the most beleaguered economic sectors, which led to gains in all of the major indices following the week’s activities. All told, the Dow [...]

Warner Chilcott’s Q2 Beats – Analyst Blog

Zacks Market Commentaries — Mon, 10 Aug 2009 17:40:32 +0000

Warner Chilcott Ltd. (WCRX) reported second-quarter results Friday. The company’s GAAP net income came in at $56 million, or 22 cents per share, recording a robust 66.7% growth over the prior year quarter. Excluding certain non-cash items, earnings per share of 44 cents topped the Zacks Consensus Estimate by 5 cents, or nearly 13%.

Warner Chilcott, a leading specialty pharmaceutical company focused on women's healthcare and dermatology segments in the U.S. market, has manufacturing facilities in Puerto Rico and Northern Ireland. The Rockaway, NJ-based company’s quarterly revenues expanded 7.1% year over year to $250.8 million, primarily driven by the sales of Doryx, Loestrin 24 Fe and Estrace cream products.

Sales of Oral Contraceptive products rose 5.6% year over year to $75.5 million. The growth was driven by the company’s flagship product, Loestrin 24 Fe, which grew 15% to $58 million due to higher average selling prices coupled with a 10.3% rise in filled prescriptions. The other major product in the segment, Femcon Fe expanded 14.7% to $12.4 million also on account of higher prices and prescription volumes.

Dermatology products logged a growth of nearly 11% year over year to $115.3 million. The performance was attributable to strong sales of Doryx, which surged 41.6% to $44.9 million mainly due to a 41.6% increase in prescriptions filled. The growth in prescriptions was driven by extensive promotions for Doryx 150mg, which was launched by the company last year. Sales of Taclonex slipped 5.9% to $36.5 million on lower prescription volumes and higher sales-related deductions. Dovonex recorded a marginal growth of 1.4% to $33.9 million on higher prices and lower sales-related deductions.

Revenues from Hormone Therapy products swelled 9.1% year over year to $47.4 million. The growth was driven by a 33.1% expansion in Estrace cream on account of promotional efforts, partially offset by a 19.9% reduction in Femhrt to $13.1 million as lower volumes and a contraction of pipeline inventories affected performance.

Warner Chilcott’s gross profit posted a growth of 11.3% year over year to reach $203.9 million, while gross margin grew 310 basis points (bps) to 81.3%. The expansion was primarily caused by the growth of higher margin products such as Doryx, partially offset by increased manufacturing costs. The company also lifted its full-year gross margin target to between 80% and 81%, against the prior outlook of 79% to 80%.

Operating expenses rose 8.1% year over year to $121.9 million, primarily due to a 12.6% increase in SG&A expenses largely on account of legal fees related to the company’s relocation to Ireland. Nevertheless, driven by robust sales, operating income expanded 16.3% year over year to $81.9 million, while operating margin grew 260 bps to $32.7%.

The company ended the quarter with cash and equivalents of $138.2 million, compared to $21.2 million in the prior-year quarter. Last year’s cash balance was affected by a cash outflow of about $115 million related to debt repayment and purchase of intangibles. Warner Chilcott generated $124.5 million of cash from operations during the second quarter and utilized it primarily on capital expenditure ($12.5 million), purchase of intangibles ($2.9 million) and debt repayment ($1.2 million).

Moving forward, Warner Chilcott continues to expect full-year revenues of $1.015 billion to $1.025 billion. However, the company has raised adjusted earnings guidance to between 1.60 and $1.65 per share, compared to previous outlook of $1.55 to $1.60. The updated forecast is well above the Zacks Consensus Estimate of $1.53, derived from 12 covering analysts, which has edged up a penny over the past month.Zacks Investment Research

H1N1 Vaccine from Sanofi? – Analyst Blog

Zacks Market Commentaries — Mon, 10 Aug 2009 16:05:33 +0000

All countries are waiting eagerly for the H1N1 vaccine since the outbreak of the swine-flu pandemic, which has killed hundreds if not thousands of people worldwide. As the swine influenza A (H1N1) virus is comparatively new, no vaccine is available at present to prevent the infection. In this respect, French pharmaceutical giant Sanofi-Aventis (SNY) has some good news. The company announced that Sanofi Pasteur, the vaccines division of the group has started the human testing of its H1N1 swine flu vaccine and accordingly filed a supplemental license application with the US FDA.

Sanofi-Aventis is the biggest producer of flu medicines. On approval, the vaccine will have the potential to earn robust revenue for the company. Viewing this potential, many companies are already working on similar vaccines like GlaxoSmithKline (GSK), Novartis (NVS) and Baxter International (BAX).

The vaccine is expected to be available within a short time from Baxter as the company recently declared the completion of production of the first batch of the vaccine. Glaxo expects to manufacture the vaccine within the next two months. The company already has an order book of more than 290 million doses of the vaccine taking estimated value of the orders to about $1.5 billion. We believe if this momentum of orders from several governments continues, the order value can reach up to $ 3 billion.

The vaccine market has emerged as one of the most lucrative segments for a pharmaceutical company. It is expected to grow at a CAGR of over 13% during 2009-2012. The swine flu pandemic is expected to add further growth to this segment. For the last two years, Gardasil from Merck (MRK) for the treatment of cervical cancer and Wyeth’s (WYE) Prevnar (for illness caused by pneumococcal bacteria) were the top selling vaccines. Now, GSK should be able to corner a significant share of this segment with its H1N1 vaccine.

Read the full analyst report on "SNY"
Read the full analyst report on "GSK"
Read the full analyst report on "NVS"
Read the full analyst report on "BAX"
Read the full analyst report on "MRK"
Read the full analyst report on "WYE"
Zacks Investment Research

Initiating Transcept at Outperform – Analyst Blog

Zacks Market Commentaries — Mon, 10 Aug 2009 15:06:49 +0000

We are initiating coverage of Transcept Pharmaceuticals (TSPT) with an ‘Outperform’ rating and a $12 price target. Among the key points to our investment thesis are as follows:

Intermezzo approval in late October 2009 is a high probability event. We base this optimism on the fact that the company is utilizing the 505(b)(2) pathway for approval of a new low-dose formulation of zolpidem, a molecule that has been already approved by the FDA and is available generic.

Since the original approval of zolpidem as Ambien in 1994, the U.S. FDA has since reviewed the molecule multiple times, including three recent formulation approvals of a controlled release tablet with Ambien CR in September 2005, an oral spray with ZolpiMist in December 2008 and a sublingual tablet with Edluar in May 2009.

Intermezzo, a sublingual low-dose (3.5mg) formulation of zolpidem will be specifically intended for the use as-needed for the treatment of insomnia when a middle of the night awakening is followed by difficulty returning to sleep. This will be a unique label for the hypnotic sleep aid drug. Neither Lunesta nor Ambien are approved for a middle of the night dose.

Plus, the pharmacokinetic profile of Intermezzo is substantially improved from generic zolpidem, allowing more active drug to be absorbed into the blood stream initially, but with a lower overall systemic profile. These characteristics provide a drug with rapid onset of action and low residual side-effects.

Intermezzo has peak sales in the U.S. of approximately $500 million, based on our industry analysis and market share potential. Upside to this figure can come from heavier promotional efforts by Transcept’s U.S. partner, Purdue Pharma.

As such, our sales forecasts in our financial model are conservative until we see the terms and initial efforts of the commercialization plan. Nevertheless, based on the Intermezzo ramp, we believe that Transcept can achieve strong profitability by 2011, with strong EPS growth and near $1.50 in EPS by 2013.

Based on our financial model, and assuming approval of Intermezzo, Transcept should exit 2009 with over $110 million in cash on hand. Considering the current market capitalization of only $108 million, the name is extraordinarily under-valued. It would be unheard of for a company to be trading at cash with a $500 million approved drug.

One year after the commercial launch by Purdue we expect that Transcept will look to begin co-promotion of the drug by taking over the specialist market. This increases the return to Transcept shareholders by providing an even high royalty rate on sales in this segment, plus it opens the door to additional in-licensing and marketing opportunities in the psychiatry market.

By 2011, Transcept should effectively transform from a no-product, late-stage development company, to a fully-integrated, cash-rich, product and royalty based story pharmaceutical company.
Read the full analyst report on "TSPT"
Zacks Investment Research

AIG, OXA, NYX Stock-PR Friday Stock Highlights

Stock-PR — Fri, 07 Aug 2009 13:29:28 +0000

CRWENewswire.com is pleased to announce a stock highlight on American International Group, Inc. (AIG), Opexa Therapeutics, Inc. (NASDAQ:OPXA), NYSE Euronext (NYX) American International Group, Inc. (AIG) today reported its first quarterly profit since the third quarter of 2007, as certain of its businesses stabilized and the company’s results reflected positive valuation changes. AIG also achieved several [...]

Healthcare: HMOs & Hospitals – Industry Outlook

Zacks Market Commentaries — Thu, 06 Aug 2009 20:37:43 +0000

The healthcare sector is not homogeneous and includes many different industries ranging from managed care organizations, healthcare facilities providers, medical device manufacturers to biotech and pharmaceutical companies. Investors in heathcare therefore should remain mindful of the different drivers and appropriate metrics associated with the various sub-sectors.

That said, and recent market volatility aside, long-term growth of the healthcare sector overall continues to be fuelled by aging of the population and decisions in Congress related to government funding. Given the ongoing reform debate in Congress, healthcare policy changes remain an important signpost to investing in the sector.

As would be expected in the current backdrop of potentially unfavorable regulatory change, the outlook for many health care industry groups is currently in the ‘Bad’ category. As case in point is the Managed Care Industry (HMOs), whose fortunes are set to be negatively affected by most of the legislative proposals currently on the table for healthcare overhaul.

While there certainly can be good stocks in industries with bad outlooks, our general preference is to avoid such industries altogether. Not every healthcare industry group will be affected equally by the potential changes around the corner, which provides for plenty of investment opportunities in the healthcare space.

Opportunities

The already favorable earnings outlook for hospital administrators received a further boost from a recent rule change by the Center for Medicare and Medicaid Services allowing increased rates. Driven by positive earnings revisions, the hospital industry has an attractive Zacks Industry Rank 18, putting it towards the top of the 217 industry groups in our universe.

Particularly well positioned in this space is Universal Health Services (UHS), the fifth largest for-profit healthcare facilities company in the U.S. This company is also the largest public operator of behavioral facilities in the country. This Zacks Rank # 1 company reported better than expected second quarter results this week, with a 36% year-over-year growth in earnings.

Another company well positioned in this space is MEDNAX (MD), a leading provider of neonatal, maternal-fetal and pediatric physician services. The company not only produced better-than-expected quarterly results recently, but also provided a favorable outlook.

Weaknesses

We remain wary of the HMO players given the regulatory/public policy headwinds. Our research shows that even excellent stocks in a bad industry underperform, as they get pulled down by their peers. A case in point is Amerigroup Corporation (AGP), which through its substantial Medicaid-related business remains heavily exposed to budgetary pressures at the state level.Zacks Investment Research

Beacon Equity Research Featured Company: AlphaRx, Inc. (ALRX.OB)

QualityStocks — Thu, 06 Aug 2009 12:41:01 +0000

AlphaRx, Inc. is a specialty pharmaceutical company that applies proprietary drug delivery technologies to reformulate FDA approved drugs to achieve improved efficacy and patient compliance. AlphaRx’s main goal is to become prominent in the development of effective medicines and drug delivery. By having an acceptable delivery method, they can in turn improve the effectiveness of [...]

Where Do You Stand on the Issues?

Frank Holmes — Thu, 06 Aug 2009 05:00:00 +0000

Name an issue and your political compass will guide your feelings toward it. I often tell people whatrsquo;s most important isnrsquo;t whether you belong to political party A or B but that you are engaged and active in particular issues that are important to you. As investment managers, itrsquo;s important for us to follow political issues because they can affect how different investments perform. For instance, proposed changes to Americarsquo;s healthcare system can significantly impact the pharmaceutical, insurance and health services industries. As important as it is to stay informed, we also must keep our personal politics aside at the office in order to look pragmatically at the investment impact. If yoursquo;re one of those people who enjoy engaging in spirited debate on the issues of the day, then I have a something for you. A friend forwarded me this political spectrum quiz earlier this week that may be able to give you a better idea. The quiz is unique because it not only measures where you stand on an issue, but also gauges how strong that stance is. The quiz is not without its faults; some questions are polarizing just the way they are written but perhaps that was the intent in order to help galvanize your views. Regardless if yoursquo;re a member of political party A, B or Z, itrsquo;s fun to engage in healthy debate and work in an environment with diverse opinions. If nothing else, itrsquo;s a fun way to check and see if your results are consistent with your convictions. So where do you stand? Take the Quiz* *This link goes to the GoToQuiz.com Web site. U.S. Global Investors does not endorse any information supplied by this website and is not responsible for any of its content. All opinions expressed and data provided are subject to change without notice. Some of these opinions may not be appropriate to every investor. 09-541

Pain for Pleasure with Javelin Pharmaceuticals (AMEX:JAV)

Michael Vlaicu — Wed, 05 Aug 2009 20:25:22 +0000

Javelin Pharmaceuticals Inc. (Public, AMEX:JAV) The follow article has been submitted to StocksHaven Investments by Nicholas DeCesare, a highly respected investor and journalist within the biopharma realm. Take one look at a chart of Javelin Pharmaceuticals over the past six months and you will see a stock that has doubled in price but still sits only around $2.00 [...]

UIL, ICFI, LH Stock-PR Stock Report August 5, 2009

Stock-PR — Wed, 05 Aug 2009 19:28:34 +0000

CRWENewswire.com is pleased to announce a stock highlight on The United Illuminating Company (NYSE:UIL, ICF Incorporated, LLC,(NASDAQ:ICFI),Laboratory Corporation of America® Holdings (NYSE:LH) The United Illuminating Company (NYSE:UIL) Tuesday August 4, 2009, filed an application with the U.S. Department of Energy (DOE) for a $37.5 million grant in “Smart Grid” funds that would enable the company to [...]

Zacks Bull and Bear of the Day Highlights: Inspire Pharmaceuticals, Inc., Celanese, Vornado, Simon Property Group and Host Hotels – Press Releases

Zacks Market Commentaries — Tue, 04 Aug 2009 13:45:35 +0000

For Immediate Release

Chicago, IL – August 4, 2009 – Zacks Equity Research highlights Inspire Pharmaceuticals, Inc. (ISPH) as the Bull of the Day and Celanese (CE) the Bear of the Day. In addition, Zacks Equity Research provides analysis on Vornado (VNO), Simon Property Group (SPG) and Host Hotels (HST).

Full analysis of all these stocks is available at http://at.zacks.com/?id=2676

Here is a synopsis of all five stocks:

Bull of the Day:

Inspire Pharmaceuticals, Inc. (ISPH) is a specialty pharmaceutical company focused on the development and commercialization of treatments for respiratory and ophthalmologic disorders. Currently, the company has three products on the market and a robust pipeline.

We see strong top-line growth from 2009 and beyond. Inspire just reported positive phase III data of Denufosol for CF. The company has a strong collaborative alliance with Allergan Pharmaceuticals for key products that treat dry eyes and allergic conjunctivitis.

The current price is attractive. We maintain our Buy rating on shares of Inspire with a price target of $6.00.

Bear of the Day:

Weak market conditions drove a dramatic decline in overall global demand for many industries, which affected Celanese’s (CE) operations. Recessionary trends, coupled with inventory de-stocking, resulted in sharp volume declines in the Advanced Engineered Materials and the Acetyl Intermediates businesses.

The company expects volumes to remain under pressure in 2009, even with the easing of inventory de-stocking. Thus, we rate the shares a Sell with a target of $20.50.

PennyOmega.com Stock Report! 8/03/09, GOK, AVT, UMPQ, ADEP, VTIV, IHR

PennyOmega.com — Mon, 03 Aug 2009 19:24:15 +0000

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BMY, AZN, FNXC, DrStockPick Watch List! for Monday August 3, 2009, Bristol-Myers Squibb Co., AstraZeneca plc and Fonix Corp, FNXC.OB

Dr. Stock Pick — Mon, 03 Aug 2009 00:36:05 +0000

BMY, Bristol-Myers Squibb Co. AZN, AstraZeneca plc FNXC, Fonix Corp, FNXC.OB DrStockPick Watch List! DrStockPick Watch List! for Monday August 3, 2009 My Picks for Monday August 3, 2009 are: ************************************************************** BMY, Bristol-Myers Squibb Co. and AZN, AstraZeneca plc BMY is a global biopharmaceutical company whose mission is to extend and enhance human life. AZN is a major international healthcare business engaged in [...]

Bond Bubble’s Back, USPS in Trouble, Healthcare Tech, Short the Euro and More!

Contrarian Profits — Fri, 31 Jul 2009 14:30:41 +0000

pBond bubble remerges… details behind the gov’s latest debt struggle#8230; The slow demise of snail mail… USPS forecasts record losses#8230; Customized drugs: Patrick Cox on a breakthrough set to revolutionize health care#8230; Bill Jenkins with another sign the euro is overvalued… his price targets below#8230;/p p Just when you thought the bond bubble was being saved for another day…/p p/p pstrongThe government managed to auction $39 billion worth of 5-year debt yesterday… barely./strong Wednesday’s debt sale drew a bid-to-cover ratio of 1.92, the lowest investor demand since September 2008. Low demand forced Uncle Sam to jack up interest rates at the last minute in two separate bond auctions this week #8212; yesterday’s sale and Tuesday’s $42 billion auction of 2-year notes./p pSo what’s an indebted government to do? Manipulate#8230;/p