Bank of America Maintains Buy Rating on Auxilium Pharmaceuticals
Bank of America is maintaining is Buy rating on shares of Auxilium Pharmaceuticals Inc. (NASDAQ: AUXL).
“We lowered our sales estimates for Testim based on recent IMS trends and Xiaflex based on a more conservative ramp,” Bank of America writes. “Based on the changes, we lowered 2011E revenue to $262mn (from $270mn) and 2012E revenue to $336mn (from $369mn). Our new 2011E EPS is -$0.75 (from -$0.77) and 2012E EPS is $0.22 (from $0.61).
“Our DCF-based PO is unchanged at $30. We are maintaining our Buy rating as we continue to believe that Xiaflex has significant sales potential and that utilization will steadily grow over time.”
Auxilium Pharmaceuticals closed Wednesday at $22.39.
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