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 note issued to investors 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.”
A number of other equities research analysts have also recently issued reports on the company. Northland Securities raised Impax Laboratories from a “market perform” rating to an “outperform” rating and set a $30.00 target price for the company in a research report on Monday, August 15th. Leerink Swann decreased their target price on Impax Laboratories from $33.00 to $24.00 and set a “market perform” rating for the company in a research report on Wednesday, August 10th. Piper Jaffray Cos. reaffirmed an “overweight” rating and set a $32.00 target price (down previously from $40.00) on shares of Impax Laboratories in a research report on Saturday, August 13th. BMO Capital Markets started coverage on Impax Laboratories in a research report on Tuesday, June 28th. They set a “market perform” rating and a $30.00 target price for the company. Finally, Goldman Sachs Group Inc. raised Impax Laboratories from a “sell” rating to a “neutral” rating and upped their target price for the stock from $25.00 to $26.00 in a research report on Tuesday, September 27th. One investment analyst has rated the stock with a sell rating, ten have issued a hold rating and five have issued a buy rating to the company’s stock. The stock presently has a consensus rating of “Hold” and a consensus price target of $33.43.
This story is the sole property of American Banking News and it was originally published by American Banking News. If you are reading this story on another website, that means this article was illegally copied and re-published to this website in violation of U.S. and International copyright law. The original version of this article is available at http://www.americanbankingnews.com/2016/10/17/impax-laboratories-inc-ipxl-stock-rating-lowered-by-zacks-investment-research.html
Impax Laboratories (NASDAQ:IPXL) traded up 1.15% during trading on Monday, reaching $21.95. 347,948 shares of the company’s stock were exchanged. The company has a market capitalization of $1.56 billion, a price-to-earnings ratio of 46.50 and a beta of 1.21. Impax Laboratories has a 52-week low of $20.97 and a 52-week high of $45.00. The stock’s 50-day moving average price is $24.50 and its 200-day moving average price is $29.34.
Impax Laboratories (NASDAQ:IPXL) last announced its quarterly earnings results on Tuesday, August 9th. The specialty pharmaceutical company reported $0.21 EPS 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 the consensus estimate of $223.67 million. Impax Laboratories had a net margin of 3.78% and a return on equity of 11.30%. The company’s quarterly revenue was down 19.4% compared to the same quarter last year. During the same period in the previous year, the firm posted $0.34 EPS. Equities analysts expect that Impax Laboratories will post $1.59 earnings per share for the current year.
In other Impax Laboratories news, Director Leslie Z. Benet sold 10,092 shares of the company’s stock in a transaction on Monday, August 15th. The stock was sold at an average price of $22.81, for a total value of $230,198.52. Following the sale, the director now directly owns 40,225 shares in the company, valued at $917,532.25. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is accessible through this hyperlink. 3.30% of the stock is owned by company insiders.
Hedge funds have recently made changes to their positions in the stock. Rational Advisors LLC bought a new stake in shares of Impax Laboratories during the second quarter worth $112,000. Walleye Trading LLC boosted its stake in shares of Impax Laboratories by 66.1% in the second quarter. Walleye Trading LLC now owns 3,883 shares of the specialty pharmaceutical company’s stock worth $112,000 after buying an additional 1,545 shares during the period. Acrospire Investment Management LLC boosted its stake in shares of Impax Laboratories by 198.5% in the second quarter. Acrospire Investment Management LLC now owns 3,910 shares of the specialty pharmaceutical company’s stock worth $113,000 after buying an additional 2,600 shares during the period. Nisa Investment Advisors LLC boosted its stake in shares of 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. Finally, BlackRock Inc. boosted its stake in shares of Impax Laboratories by 128.2% in the first quarter. BlackRock Inc. now owns 4,834 shares of the specialty pharmaceutical company’s stock worth $154,000 after buying an additional 2,716 shares during the period. Hedge funds and other institutional investors own 88.13% of the company’s stock.
About Impax Laboratories
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.
For more information about research offerings from Zacks Investment Research, visit Zacks.com
Receive News & Ratings for Impax Laboratories Inc. Daily - Enter your email address below to receive a concise daily summary of the latest news and analysts' ratings for Impax Laboratories Inc. and related companies with MarketBeat.com's FREE daily email newsletter.