Zacks Investment Research upgraded shares of Endo Health Solutions Inc. (ENDP) from UNDERPERFORM to NEUTRAL on March 05, 2013, with a target price of $32.00.
Endo Health's fourth quarter 2012 adjusted earnings of $1.62 per share beat the Zacks Consensus Estimate of $1.56. Earnings were boosted by lower costs. Revenues came in at $801 million, flat year over year. Revenues were well short of the Zacks Consensus Estimate of $808 million. The top line was hurt by lower sales of Opana ER. Endo maintained the guidance for 2013, issued by it in Jan 2013. We expect the entry of a generic competitor, Actavis, for Endo's lead drug Lidoderm in Sep to hurt 2013 sales. Moreover, Opana ER is already facing generic competition. We believe all the negative news is already reflected in the stock price and hence revert to a Neutral recommendation on the stock. Our target price is $32.00.
Get all Zacks Research Reports and be alerted to fast-breaking buy and sell opportunities every trading day.
To get a free copy of the research report on Endo Health Solutions Inc. (ENDP),
click here.
For more information about research offerings from Zacks Investment Research, visit
Zacks.com .
Be the first to comment