New CM Treatment A Positive Development For Allergan, Wells Fargo Reports

Loading...
Loading...
After the close on Friday, 10/15/10, Allergan, Inc.
AGN
announced that the FDA approved Botox for chronic migraine (
CM
), Wells Fargo reports, noting that the approval came a few weeks sooner than we expected. “We view this news very positively because we believe the CM indication will contribute about $500MM in incremental sales to AGN by 2014 and will increase AGN's 2010-2014 sales CAGR by 200bps (6.8% vs 4.8%),” Wells Fargo writes. “The CM indication will very likely augment AGN's EPS growth by a greater degree given the low level of incremental investment needed to drive CM sales because AGN is already promoting Botox to neurologists for other indications.” Allergan currently trades for $71.88.
date
ticker
name
Price Target
Upside/Downside
Recommendation
Firm
Posted In: Analyst RatingsAllerganDiversified BanksFinancialsHealth CarePharmaceuticalsWells Fargo
Benzinga simplifies the market for smarter investing

Trade confidently with insights and alerts from analyst ratings, free reports and breaking news that affects the stocks you care about.

Join Now: Free!

Loading...