Hapoalim Securities Reiterates Buy Rating on Amarin Corporation (AMRN)

Goldman Sachs is out with a research report this morning, where it reiterates its Buy rating on Amarin Corporation AMRN; it has a $12.00 price target on the stock. The HS analysts cited GlaxoSmithKline's announcement that it has settled with Apotex regarding the Lovaza (omega-3-acid ethyl esters) US patent litigation. Pronova, which owns the patents for Lovaza, reached a settlement with Apotex regarding the Lovaza US patent litigation, allowing Apotex to enter the US market with generic Lovaza in the first quarter of 2015. Listed patents for Lovaza expire in March 2013 and April 2017, so the settlement splits the difference between these two patents. As for valuation, the analysts remarked, “Our $2.0 billion valuation for AMR101 is based on a 4 multiple on estimated peak AMR101 sales of $750 million, discounted 35% to reflect regulatory and market risk. We value Amarin at roughly $2.1 billion based on this sum-of-the-parts model, or approximately $12.00 per diluted share.”