Morgan Stanley Reiterates Equal-Weight Rating, $9 PT on InterMune Following 2Q Sales Results

In a report published Thursday, Morgan Stanley analyst David Friedman reiterated an Equal-Weight rating and $9.00 price target on InterMune ITMN. In the report, Morgan Stanley noted, “2Q sales of $14.4mn were above our $12.25mn estimate. Intermune increased the sales guidance range to $55-$70mn vs. the prior $40-$55mn with an add'l $0-15mn tentative launch revenue amount based on country approvals. The changed guidance is likely in large part due to now confirmed summer launches in Italy and England, as these launches were part of the ‘tentative launch revenue' tranche within the prior guidance. Management commentary on improved penetration across all launched countries and modest improvements in persistent rates is another positive that likely contributed to the guidance change. That being said, we still expect Esbriet's growth to remain measured, in-line with our steady growth model.” InterMune closed on Wednesday at $12.81.