Nov. 13, 2013, 12:04 PM
- Dendreon (DNDN -2.3%) slips as investors and analysts digest the company's Q3 results.
- Provenge sales missed expectations and some, like Stifel's Joel Sendek, are skeptical of the company's ability to stay afloat. Sendek has the shares at Sell with no price target.
- Meanwhile, William Blair's Katherine Xu is holding out some hope, saying that the company could manage to turn a profit if Provenge sales could hit $90-95M/quarter (so, at least 32% above Q3 sales). The price target at William Blair is $2.
- For its part, Needham downgraded the shares to Neutral from Buy, saying the company's cost-cutting efforts may be "too little too late" despite "clinical data support[ing] wider and earlier use of Provenge."
- Brean has reportedly cut its price target to $0.50.
Nov. 12, 2013, 8:26 AM
- Revenue falls 12.8% Y/Y for Dendreon (DNDN) during Q3, as the company misses estimates on the top-line.
- CEO John Johnson announces a restructuring that he says is consistent with "accelerating the path to profitability."
- According to DNDN, the plan will save around $125M in operating expenses versus the 2013 run rate.
- "All expense categories" will be affected as COGS should fall by around $30M and the total number of DNDN employees is expected to be ~820, "down from more than 2,000 at [the company's] peak." (PR)
- Shares are getting a modest bump, up 2.5% premarket.
Nov. 12, 2013, 8:03 AM
Nov. 12, 2013, 12:05 AM
Nov. 11, 2013, 5:30 PM
Nov. 6, 2013, 9:08 AM
- Vivus (VVUS) cut to Neutral from Buy at BofA.
- Endo Pharmaceuticals (ENDP) upgraded to Hold at Janney, Cantor, and Needham. Piper upgrades the shares to Neutral from Underweight.
- Cardinal Health (CAH) upgraded to Buy from Neutral at Sterne Agee.
- Dendreon (DNDN) initiated at Fairly Valued by CRT Capital.
Oct. 28, 2013, 12:46 PM
Oct. 28, 2013, 11:59 AM
- Wedbush is sticking by its $0 price target for Dendreon (DNDN +9.1%) despite rumors that the company is pursuing a sale (here, here, and here).
- Analyst David Nierengarten thinks it's unlikely that DNDN will find a buyer given that "the Provenge franchise has never been profitable, and management has repeatedly stated that cash flow break-even could occur at $100M quarterly run rate, a sales pace that has never been achieved."
- Nierengarten also says there's "no reason for an acquirer to pay over EV" and drives the point home by noting that "the maximum net profit margin [looks to be] well below the typical big Pharma's 20%+ margins, making a potential buy-out a negative for the acquirer."
Oct. 28, 2013, 9:12 AM
Oct. 28, 2013, 8:29 AM
Oct. 27, 2013, 8:25 PM
- Does a sale make sense for Dendreon (DNDN)? Credit Suisse apparently thinks so.
- According to market chatter, CS says the sale rumor "is both plausible and sensible [and] would remove a very real scenario of equity holders being wiped out in a debt restructuring."
- Recall that in August, Wedbush predicted there was nothing ahead but a "painful restructuring" and a wipeout for equity investors.
Oct. 26, 2013, 9:54 PM| Oct. 26, 2013, 9:54 PM | 9 Comments
Sep. 27, 2013, 8:46 AM
- Dendreon (DNDN) will present Provenge data at the European Cancer Congress.
- The company says results from two studies show a "robust immune response when Provenge is administered with abiraterone acetate [and] suggest long-lived immunological memory to Provenge years following initial treatment." (PR)
- Provenge and DNDN have their fair share of detractors (here and here) but somebody seems to like today's press as the shares are trading 4% higher premarket.
Sep. 17, 2013, 5:36 PM
Sep. 17, 2013, 3:51 PM
- Don't tell the naysayers, but European approval for Provenge is "a clear positive" for Dendreon (DNDN +5.5%), Needham says, reiterating a Buy rating and a $7 price target.
- Investors might not want to back the truck up just yet though, as analyst Chad Messer still "expects it to take a number of quarters to see meaningful European sales."
- That said, Needham is positive on upcoming clinical data which should "support wider and earlier use of Provenge."
Sep. 17, 2013, 9:16 AM
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