Endo Pharmaceuticals (ENDP) signed an agreement with UK-based ProStrakan Group Plc to acquire exclusive rights to commercialize Fortesta in the U.S., where the product is currently under Food and Drug Administration (FDA) review.

Fortesta is a 2% testosterone transdermal gel for testosterone replacement therapy in male hypogonadism. The product uses a metered dose delivery system for adjustment of dosage according to individual needs. Fortesta is already available in Europe.

Under terms of the deal, Endo will make an upfront payment of $10 million to ProStrakan and another $40 million by the end of 2010 on achievement of regulatory and commercial milestones. Endo has also agreed to pay an additional $160 million on realization of certain sales targets. ProStrakan will supply Fortesta to Endo in the U.S. for an undisclosed supply price.

This deal makes sense for Endo as it is building its urology and endocrinology portfolio. The company’s

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For Immediate Release

Chicago, IL - May 8, 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: Auxilium Pharmaceuticals, Inc. (AUXL), Pfizer (PFE), Cognizant Technology Solutions Corp. (CTSH), Neurocrine Biosciences, Inc. (NBIX) and Coca-Cola FEMSA S.A. de C.V. (KOF).

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Here are highlights from Thursday's Analyst Blog:

Auxilium a Buy at $20

Auxilium Pharmaceuticals, Inc. (AUXL) reported financial results for the first quarter 2009 on May 6, 2009. Total revenues for the first quarter were $34.7 million, an increase of 28% over the first quarter

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Auxilium Pharmaceuticals, Inc. (AUXL) reported financial results for the first quarter 2009 on May 6, 2009. Total revenues for the first quarter were $34.7 million, an increase of 28% over the first quarter in 2008.Revenues consisted of approximately $32.5 million in U.S. sales of Testim, up 20% year-over-year, $1.3 million in milestone recognition from Ferring International S.A. on ex-U.S. Testim activities, and $0.9 million in amortization from the previous upfront payment from Pfizer (PFE). This was slightly lower than expected by about $2.0 million based on lower sales of Testim.Management noted that managed-care changes and inventory de-stocking negatively impacted sales. Also, the difficult economic environment had a negative impact on Testim sales during the first quarter. Net loss for the first quarter totaled $13.2 million, or $0.31 per share. This was a slightly greater loss than expected based on lower sales of Testim ...

Highlights include Auxilium Pharmaceuticals (AUXL) and Pfizer Inc. (PFE).Xiaflex Positions Auxilium for Profitability in 2010In March 2009, Auxilium Pharmaceuticals (AUXL) filed a biologic license application (BLA) for Xiaflex seeking approval as a treatment for Dupuytren's contracture. Dupuytren's contracture is a condition that affects the connective tissue in the hand that limits movement of the fingers by an abnormal thickening of the palm.The most severe cases, the hand can become deformed and patients will find it difficult to extend or even move their fingers. There are currently no pharmaceutical treatment options available for patients suffering from Dupuytren's contracture.The FDA should respond in May 2009 on either a priority review (six months) or standard review (ten months). The consensus is for a standard review by the FDA, so approval under a priority review would represent upside to the consensus forecasts....