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Rodman & Renshaw Lowers PT On Enzo Biochem to $5

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Rodman & Renshaw has published a research report on Enzo Biochem (NYSE: ENZ) and has lowered the price target from $7 to $5.

In the report, Rodman & Renshaw justifies the lowering of the price target by writing, "Enzo reported a net loss of $4.0 MM or $(0.11) per share, higher than our estimated net loss of $1.1 MM or $(0.03) per share, primarily as a result of lower than anticipated revenues and margins for the Life Sciences division, as well as higher than anticipated expenses for SG&A, provision for uncollectible accounts, and legal. The company ended F4Q11 with cash of approximately $24 MM, which should be sufficient to fund operations to profitability, according to our projections. Note that the accounts receivable balance has grown from $13.8 MM at F3Q11 to $15.2 MM at F4Q11, so Enzo's cash used in operations of $3.2 MM in F4Q11 is to some extent serving to fund growth."

Rodman & Renshaw maintains its Market Outperform rating on Enzo Biochem, which is currently trading flat at yesterday's $2.77 closing price.

Posted-In: Rodman & RenshawAnalyst Color Earnings News Price Target Analyst Ratings

 

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