UPDATE: Stifel Nicolaus Cuts PT to $13 on Rockwell Medical Technologies on Weak EPS
Stifel Nicolaus reduced its price target on Rockwell Medical Technologies (NASDAQ: RMTI) from $15 to $13 while reiterating its Buy rating.
Stifel Nicolaus said, “Rockwell reported in-line 3Q12 revenues of $12.7mn (Consensus $12.7mn), growing 6% y/y and translating to net loss per share of $0.86 (Consensus of a $0.50 loss). Net loss was attributed to higher R&D ($16.2mn), which peaked during 3Q due to faster enrollment in the long-term SFP safety study. … Rockwell ended 3Q12 with $11.3mn in cash, and management expects business operations, excluding R&D, to be cash flow positive and build momentum into 2013. Additional sources of cash are expected from business development activities, like licensing of SFP internationally or potential partnerships. We look to 1Q13 as a transformative quarter for Rockwell's emergence as a key player in the dialysis market."
Rockwell Medical Technologies closed at $6.64 on Thursday.
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