Impax Laboratories Inc. (IPXL) Stock Rating Lowered by Zacks Investment Research
Impax Laboratories Inc. (NASDAQ:IPXL) was downgraded by Zacks Investment Research from a “hold” rating to a “sell” rating in a report issued on Monday.
According to Zacks, “Impax’s Generics segment is under pressure with some of its high-volume generic products like diclofenac gel (Solaraze) and metaxalone (Skelaxin) seeing additional competition. This has resulted in huge price erosion and significantly lower sales. Moreover, branded product, Rytary, is facing a patent challenge. Earlier-than-expected entry of generic versions of Rytary would be a major setback for the company. Zomig is also facing a patent challenge. Stiff competition in the generics market remains a threat as well. Any further quality control issues would weigh heavily on the stock. However, we are positive on the acquisitions of Tower and Lineage which boosted Impax’s branded and generic drugs portfolio. Moreover, the Teva/Allergan deal has expanded Impax’s portfolio of difficult-to-manufacture or limited-competition products. Estimates have been mostly stable ahead of the company’s third-quarter 2016 earnings release.”
Other analysts have also issued research reports about the company. WallachBeth Capital lowered their target price on Impax Laboratories from $40.00 to $30.00 and set a “buy” rating on the stock in a report on Wednesday, August 10th. Leerink Swann lowered their target price on Impax Laboratories from $33.00 to $24.00 and set a “market perform” rating on the stock in a report on Wednesday, August 10th. Bank of America Corp. raised Impax Laboratories from an “underperform” rating to a “neutral” rating in a report on Tuesday, June 21st. Piper Jaffray Cos. reissued an “overweight” rating and issued a $32.00 target price (down previously from $40.00) on shares of Impax Laboratories in a report on Saturday, August 13th. Finally, RBC Capital Markets restated a “sector perform” rating and issued a $30.00 price objective (down from $35.00) on shares of Impax Laboratories in a research report on Thursday, August 11th. One investment analyst has rated the stock with a sell rating, ten have assigned a hold rating and five have issued a buy rating to the stock. The stock currently has an average rating of “Hold” and a consensus target price of $33.43.
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Impax Laboratories (NASDAQ:IPXL) traded up 0.92% on Monday, hitting $21.90. The stock had a trading volume of 355,475 shares. Impax Laboratories has a one year low of $20.97 and a one year high of $45.00. The stock has a market cap of $1.56 billion, a price-to-earnings ratio of 46.40 and a beta of 1.21. The stock’s 50 day moving average is $24.50 and its 200 day moving average is $29.34.
Impax Laboratories (NASDAQ:IPXL) last posted its earnings results on Tuesday, August 9th. The specialty pharmaceutical company reported $0.21 earnings per share for the quarter, missing the Thomson Reuters’ consensus estimate of $0.32 by $0.11. The firm earned $173 million during the quarter, compared to analyst estimates of $223.67 million. Impax Laboratories had a net margin of 3.78% and a return on equity of 11.30%. The firm’s revenue for the quarter was down 19.4% on a year-over-year basis. During the same period last year, the company posted $0.34 EPS. Analysts anticipate that Impax Laboratories will post $1.59 earnings per share for the current year.
In other news, Director Leslie Z. Benet sold 10,092 shares of the firm’s stock in a transaction dated Monday, August 15th. The stock was sold at an average price of $22.81, for a total value of $230,198.52. Following the transaction, the director now directly owns 40,225 shares in the company, valued at approximately $917,532.25. The transaction was disclosed in a document filed with the SEC, which is accessible through the SEC website. 3.30% of the stock is owned by insiders.
Several institutional investors have recently added to or reduced their stakes in IPXL. Nisa Investment Advisors LLC increased its position in Impax Laboratories by 625.0% in the third quarter. Nisa Investment Advisors LLC now owns 5,800 shares of the specialty pharmaceutical company’s stock worth $137,000 after buying an additional 5,000 shares during the period. Capstone Asset Management Co. raised its stake in Impax Laboratories by 2.8% in the third quarter. Capstone Asset Management Co. now owns 24,159 shares of the specialty pharmaceutical company’s stock worth $573,000 after buying an additional 660 shares during the period. Nomura Holdings Inc. bought a new stake in Impax Laboratories during the second quarter worth about $4,172,000. Mason Street Advisors LLC bought a new stake in Impax Laboratories during the second quarter worth about $391,000. Finally, Public Employees Retirement System of Ohio raised its stake in Impax Laboratories by 0.7% in the second quarter. Public Employees Retirement System of Ohio now owns 45,803 shares of the specialty pharmaceutical company’s stock worth $1,320,000 after buying an additional 323 shares during the period. Institutional investors own 88.13% of the company’s stock.
Impax Laboratories Company Profile
Impax Laboratories, Inc is a specialty pharmaceutical company. The Company is engaged in the development, manufacture and marketing of bioequivalent pharmaceutical products (generics), as well as the development and marketing of branded products. Its segments include Impax Generics and Impax Specialty Pharma.
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