Piper Jaffray Analyst: Latest Reports On Valeant 'Doesn't Surprise Me'

David Amsellem of Piper Jaffray was asked for his opinion on reports that

has yet to proceed with proposed price cuts for some of its drugs. Related Link:

Speaking as a guest on

segment, Amsellem said that the reports "doesn't surprise me" for several reasons. First, many of Valeant's drug sell at "massively high" margins and it wouldn't be surprising if the company is trying to "milk these products for every last dime of cash flow they possible can." Taking a look at some of Valeant's top drugs, some sell at margins as high as 300 percent, Amsellem added. Meanwhile, the company is facing large amounts of debt repayment over the coming years. The analyst also suggested that it is too early to conclude that the company can service its debt obligations this year. Amsellem finally suggested that the scrutiny surrounding Valeant and its business practices will only "get worse." "Here's a company that's got a bullseye on its back," Amsellem concluded. "There's a ton of scrutiny, there's a ton of debt that they have to service... so it is really difficult for me to conclude here that the company is going to be able to meet its obligations." Shares of Valeant were trading lower by more than 6 percent on Thursday and hit a new 52-week low of $23.55.