UPDATE: Citigroup Initiates Jazz Pharmaceuticals at Buy; Expecting Settlement to Remove Overhang
Citigroup initiated coverage on Jazz Pharmaceuticals (NASDAQ: JAZZ) with a Buy rating and a $70 price target.
Citigroup commented, "We see a high probability (~≥75%) of either a settlement or win for JAZZ around the ongoing litigation with Roxane over narcolepsy drug Xyrem. While we believe JAZZ currently has the upper hand to win the suit, a settlement would be strategic for both parties and either outcome would lift the overhang for JAZZ's valuation. A loss for JAZZ could push its valuation as far down as the low $30's, but we are establishing a $70 TP assuming a favorable outcome for JAZZ (settlement or win) and view the most probable settlement window from late Dec. `12 - Jun `13."
Jazz Pharmaceuticals closed at $51.85 on Monday.
Latest Ratings for JAZZ
|Jan 2016||Deutsche Bank||Maintains||Buy|
|Nov 2015||Bernstein||Initiates Coverage on||Market Perform|
|Nov 2015||Mizuho Securities||Downgrades||Outperform||Neutral|
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