With Horizon Out Of The Way, Depomed Is A Bargain
ONeil Trader • 63 Comments
ONeil Trader • 63 Comments
Depomed: Looking Good With Or Without Horizon
Tue, Nov. 8, 9:17 AM
Mon, Nov. 7, 6:56 PM
- Depomed (NASDAQ:DEPO) Q3 results ($M): Total Revenues: 110.5 (+5.3%); Product Sales: 110.3 (+5.3%).
- Net Income: (12.9) (-9.3%); Non-GAAP Net Income: 20.9 (-16.1%); EPS: (0.21) (-5.0%); Non-GAAP EPS: 0.28 (-9.1%).
- Consensus view was non-GAAP EPS of $0.35 on revenues of $127.2M.
- 2016 Guidance: Total Revenues: $455M - 465M from $480M - 505M; Net Loss: ($43M - 49M); Non-GAAP EBITDA: $152M - 160M from $175M - 190M; Non-GAAP Net Income: $79M - 85M from $95M - 105M.
- Shares are off 13% after hours on robust volume.
Mon, Nov. 7, 5:36 PM
Mon, Nov. 7, 4:19 PM
Sun, Nov. 6, 5:35 PM
- ACAD, ACXM, ADUS, AKAO, ALB, ALGN, AMC, ANDE, APEI, APLE, ARNA, BIOS, CHGG, CKEC, CRAY, CST, CTLT, CUTR, CZR, DEPO, DMD, DTLK, DTSI, EBS, EDIT, ENV, EPM, FANG, FARM, FICO, FN, FNV, FOGO, FRGI, FSM, FTD, HALO, HCKT, HTZ, IAG, IFF, JKHY, JPEP, KND, LSCC, LYV, MAR, MATX, MCHP, MODN, MXL, NCMI, NEWR, NH, NVGS, NVRO, NWSA, OAS, OMF, OPK, ORA, OUT, PACD, PCLN, PINC, PKI, PRAA, PTLA, RARE, REN, RMTI, RRR, RST, RTEC, RWT, SCSC, SGY, SITE, SNCR, SNHY, TCX, TDW, TREX, TSLX, ZGNX
Fri, Nov. 4, 3:24 PM
Thu, Nov. 3, 9:15 AM
Mon, Oct. 17, 4:13 PM
- Depomed (NASDAQ:DEPO) settles its dispute with activist investor Starboard Value LP. Under the terms of the settlement agreement, the company will appoint three Starboard-backed directors to the board. In exchange, Starboard has withdrawn its proxy solicitation and the special shareholders meeting, set for November 15, has been canceled.
- Starboard was seeking to replace the entire board due to "poor capital allocation due to its lack of scale."
Fri, Oct. 7, 11:57 AM
- Ionis Pharmaceuticals (NASDAQ:IONS) upgraded to Outperform from Market Perform by BMO Capital. Price target raised to $48 (42% upside) from $42.
- Catalyst Pharmaceuticals (NASDAQ:CPRX) upgraded to Overweight from Neutral by Piper Jaffray. Price target raised to $4 (199% upside) from $1.
- AmerisourceBergen (NYSE:ABC) upgraded to Market Outperform from Market Perform by Avondale Partners.
- Alnylam Pharmaceuticals (NASDAQ:ALNY) downgraded to Market Perform from Outperform by Leerink Swann. Price target lowered to $40 (14% upside) from $107. Downgraded to Equal Weight from Overweight by Barclays. Price target lowered to $50 (42% upside) from $85. Downgraded to Neutral from Overweight by JPMorgan. Downgraded to Equal Weight from Overweight by Morgan Stanley. Price target lowered to $36 (3% upside) from $38.
- Merrimack Pharmaceuticals (NASDAQ:MACK) downgraded to Neutral from Overweight with a $5.75 (2% upside) price target by JPMorgan.
- Iradimed (NASDAQ:IRMD) downgraded to Neutral from Buy by Roth Capital. Price target lowered to $11.50 (11% upside) from $28.
- Trinity Biotech (NASDAQ:TRIB) downgraded to Equal Weight from Overweight by Stephens & Co.
- Depomed (NASDAQ:DEPO) downgraded to Neutral from Buy by Mizuho Securities.
- Align Technology (NASDAQ:ALGN) downgraded to Neutral from Overweight with a $96 (8% upside) price target by Baird.
Fri, Sep. 30, 5:36 PM
Fri, Sep. 30, 3:45 PM
- Depomed (DEPO +4.5%) perks up on increased volume in response to the news that a court has issued an an injunction against potential competitor Allergan (AGN +0.1%) from selling a generic version of NUCYNTA (tapentadol). Actavis (TEVA -0.2%) and Roxane have also lost bids to invalidate NUCYNTA patents, which are valid until 2022 to 2028.
- In the first half of 2016, NUCYNTA products accounted for almost 64% of the company's product sales ($141.3M/221.1M).
Fri, Sep. 16, 12:46 PM
Fri, Sep. 16, 10:59 AM
Fri, Sep. 16, 9:16 AM
Fri, Sep. 16, 8:37 AM
- Depomed (NASDAQ:DEPO) is up 14% premarket on modestly higher volume stoked by its announcement that it is preparing to put itself up for sale. Former suitor Horizon Pharma (NASDAQ:HZNP) says it is uninterested in another shot, however.
- Previously: Depomed ready to explore sale following Starboard pressure (Sept. 15)
Thu, Sep. 15, 6:19 PM
- Depomed (NASDAQ:DEPO) is preparing to put itself up for sale, caving in to calls from activist investor Starboard to do so.
- Negotiations with potential buyers will kick off shortly after Depomed receives a court decision clarifying the patent exclusivity of its biggest drug, Nucynta, an opiate used to treat severe, often chronic pain, sources tell Reuters.
- Depomed is working with Morgan Stanley, which last year helped it defend itself against a $3B unsolicited stock-for-stock offer from Horizon Pharma (NASDAQ:HZNP).
- In recent months Nucynta sales have lagged expectations, partly because of increasing concern among health insurers about their addictive potential.
- In April, Horizon said it was not interested in revisiting a deal with Depomed.
- However, in May the NYP reported it was interested in resurrecting the deal.