Auxilium Pharma Retains ‘Buy’ Rating (AUXL)

Jefferies & Co. has retained its positive outlook for Auxilium Pharma

. A research report released by the firm states that investors may have overreacted to concerns the FDA raised about Xiaflex. The report further said that such letters are very common for biotech companies. The FDA had claimed that it does not have substantial evidence to support the claim that the most common side effects of Xiaflex are ‘mild or moderate’. However, Jefferies believes that regardless of outcome, physicians have had few clinical or safety concerns with Xiaflex in real world use. The company has been given a ‘Buy’ rating, with a price target of $42.