Lannett Co. Downgraded to Market Perform at Oppenheimer (LCI)
Lannett Co. (NYSE:LCI) was downgraded by analysts at Oppenheimer from an “outperform” rating to a “market perform” rating in a research report issued to clients and investors on Wednesday, TheFlyOnTheWall.com reports. They currently have a $20.00 price objective on the stock. Oppenheimer’s price objective suggests a potential downside of 8.97% from the company’s current price.
The analysts wrote, “We are downgrading shares of LCI to Perform and removing our $20 PT, due largely to recent significant outperformance. LCI is up ~40% since reporting F4Q13 (9/10/13, vs. S&P500 +4%). The shares are now trading at 31x our C2014 estimate, exclusive of the secondary offering (29x consensus), and 34x including it. We note that there are a few remaining catalysts for LCI that we will closely monitor, including the price increase on digoxin in mid-October of over 5x. Additionally, we still believe in LCI’s long-term strategy, and management’s leadership in converting the company to one having outsized sales from controlled substances within five years. However, near term, the now richer valuation is what leads us to the downgrade.”
Several other analysts have also recently commented on the stock. Analysts at Canaccord Genuity reiterated a “buy” rating on shares of Lannett Co. in a research note to investors on Thursday, October 10th. They now have a $18.00 price target on the stock. Separately, analysts at Zacks upgraded shares of Lannett Co. from a “neutral” rating to an “outperform” rating in a research note to investors on Friday, October 4th. They now have a $23.00 price target on the stock. Finally, analysts at Needham & Company downgraded shares of Lannett Co. from a “buy” rating to a “hold” rating in a research note to investors on Friday, October 4th.
Lannett Co. (NYSE:LCI) traded down 0.18% during mid-day trading on Wednesday, hitting $21.93. 71,711 shares of the company’s stock traded hands. Lannett Co. has a one year low of $3.93 and a one year high of $18.20. The stock has a 50-day moving average of $13.74 and a 200-day moving average of $11.88. The company has a market cap of $666.4 million and a price-to-earnings ratio of 47.76.
Lannett Co. (NYSE:LCI) last issued its quarterly earnings data on Tuesday, September 10th. The company reported $0.12 earnings per share (EPS) for the quarter, beating the consensus estimate of $0.07 by $0.05. The company had revenue of $40.20 million for the quarter, compared to the consensus estimate of $37.89 million. During the same quarter in the previous year, the company posted $0.05 earnings per share. The company’s revenue for the quarter was up 12.6% on a year-over-year basis. Analysts expect that Lannett Co. will post $0.64 EPS for the current fiscal year.
Lannett Company, Inc is engaged in developing, manufacturing, marketing and distributing generic versions of branded pharmaceutical products.
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