Citigroup Maintains Buy, $24 Target on Warner Chilcott

Citigroup reiterates its Buy rating and $24 target price on Warner Chilcott WCRX as it reviews core products and pricing trends for the week ending Dec. 16, 2011. Citigroup notes on the company's Actonel franchise, "~$390M Annual Run Rate (Assuming a 30% Sales-Related Discount) Implied by 4-Week Avg. TRx's vs. Our 2011E U.S. Sales of$465M. Actonel & Atelvia posted wkly NRx/TRx's of 28,593(+3% seq)/79,485(-4% seq) & 5,509 (-3%) /11,227(-3%), respectively. Total franchise (Actonel + Atelvia) NRx/TRx market share was 19.9% (+36bps) / 17.6% (-26bps). TRx share for Actonel/Atelvia 35mg (1x/week) was 7.9%/2.2% & 7.3% for Actonel 150 mg(1x/month). WCRX took a 5.9% price increase (PI) on Actonel in Jul.'10 & an 8.7% PI on Actonel/Atelvia in Jul.'11." WCRX closed at $15.72 per share o Friday.