Market Overview

UPDATE: Deutsche Bank Raises PT to $115 on Perrigo Post Rosemont Acquisition

Related PRGO
#PreMarket Primer: Wednesday, September 10: Dollar General Gets Aggressive
Benzinga's Top #PreMarket Losers
Horizon Inks $660M Reverse Merger With Ireland's Vidara (Fox Business)

Deutsche Bank maintained Perrigo (NASDAQ: PRGO) with a Hold rating and raised the price target from $110.00 to $115.00.

Deutsche Bank noted, "Perrigo announced on Monday the acquisition of UK-based Rosemont Pharmaceuticals for £180M or USD $283M in cash. … Rosemont appears to be a well diversified business, with 2012 sales of £40M (approx $60M, growing mid to high single digit over a number of years) from over 90 products – none more than 8% of revenue. This acquisition on the surface, however, looks a little expensive on a revenue multiple basis – at approximately 4.5x sales vs typical generic acquisition multiples of approximately 2.8x sales in recent years. That said, niche acquisitions in the generic injectables segment have garnered an average revenue multiple of 4.5x."

Perrigo closed at $111.40 on Monday.

Latest Ratings for PRGO

DateFirmActionFromTo
Aug 2014JefferiesMaintainsBuy
Jul 2014Morgan StanleyDowngradesOverweightEqualweight
May 2014Morgan StanleyMaintainsOverweight

View More Analyst Ratings for PRGO
View the Latest Analyst Ratings

Posted-In: Deutsche BankAnalyst Color Price Target Analyst Ratings

 

Related Articles (PRGO)

Around the Web, We're Loving...

Partner Network

Get Benzinga's Newsletters