UPDATE: Wedbush Increases PT to $18 on NPS Pharmaceuticals Post Amended Sensipar Agreement

Wedbush reiterated its Outperform rating on NPS Pharmaceuticals NPSP and raised its price target from $17 to $18 as it updated the company's financial model. Wedbush commented, "NPS Pharmaceuticals amended its Sensipar royalty agreement with AMGN last week; the deal structure significantly reduces NPSP's cash burn in the near term, eliminating the need for a near-term financing, according to our new estimates. …The amended agreement sells post-2018 Sensipar royalties for a lump sum of $25M and limits the company's quarterly debt repayment to $8M; royalties in excess of that flow to NPSP's bottom line." NPS Pharmaceuticals closed at $8.97 on Friday.