Market Overview

Mylan's Q3 Report Tries, Fails To Shift Focus Away From EpiPen Controversy

Share:
Mylan's Q3 Report Tries, Fails To Shift Focus Away From EpiPen Controversy

Mylan NV (NASDAQ: MYL) delivered a Q3 miss. Although management reiterated its 2018 earnings target, the company was not able to reverse sentiment “which has become increasingly negative in the wake of the Epipen controversy,” Barclays’ Douglas D. Tsao said in a report. He maintains an Equal-Weight rating on the company, with a price target of $44.

Mylan reported its Q3 adjusted EPS at $1.38, significantly short of the consensus expectation of $1.45 and Barclays’ estimate of $1.44. Revenue came in at $3.057 billion, also missing Street expectations.

Tsao reduced the EPS estimate for 2016 and 2017 from $4.75 to $4.74 and from $5.40 to $5.34, respectively.

Focus On Growth Shortfall

During Mylan’s call, focus remained on the 12 percent growth recorded by the company year-to-date versus its projection of 20 percent. Although Mylan reported 1 percent revenue growth in its core North America generics business, this includes the Renaissance acquisition, which suggests a 5 percent organic decline, Tsao pointed out.

“MYL clearly tried to shift focus to some of its high value generics and biosimilars pipeline opportunities,” the analyst mentioned. He added, however, that the negative sentiment following the EpiPen controversy would likely not reverse soon.

At last check, Mylan was down 0.9 percent at $38.57.

Latest Ratings for MYL

DateFirmActionFromTo
Oct 2020Wells FargoMaintainsEqual-Weight
Aug 2020UBSMaintainsNeutral
May 2020UBSMaintainsNeutral

View More Analyst Ratings for MYL
View the Latest Analyst Ratings

 

Related Articles (MYL)

View Comments and Join the Discussion!

Posted-In: Analyst Color Biotech Earnings News Guidance Reiteration Analyst Ratings Movers Best of Benzinga

Latest Ratings

StockFirmActionPT
PLTHCanaccord GenuityMaintains6.0
VLDRCraig-HallumInitiates Coverage On23.0
MFACNorthland Capital MarketsInitiates Coverage On15.0
CEREJefferiesInitiates Coverage On18.0
GIIIUBSInitiates Coverage On22.0
View the Latest Analytics Ratings
Don't Miss Any Updates!
News Directly in Your Inbox
Subscribe to:
Benzinga Premarket Activity
Get pre-market outlook, mid-day update and after-market roundup emails in your inbox.
Market in 5 Minutes
Everything you need to know about the market - quick & easy.
Fintech Focus
A daily collection of all things fintech, interesting developments and market updates.
Thank You

Thank you for subscribing! If you have any questions feel free to call us at 1-877-440-ZING or email us at vipaccounts@benzinga.com