Impax Laboratories Inc. (NASDAQ:IPXL) was downgraded by Zacks Investment Research from a “hold” rating to a “sell” rating in a research 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.”
Other research analysts also recently issued reports about the company. WallachBeth Capital cut their price target on Impax Laboratories from $40.00 to $30.00 and set a “buy” rating for the company in a report on Wednesday, August 10th. Leerink Swann cut their price target on Impax Laboratories from $33.00 to $24.00 and set a “market perform” rating for the company in a report on Wednesday, August 10th. Bank of America Corp. upgraded Impax Laboratories from an “underperform” rating to a “neutral” rating in a report on Tuesday, June 21st. Piper Jaffray Cos. reiterated an “overweight” rating and issued a $32.00 price target (down from $40.00) on shares of Impax Laboratories in a report on Saturday, August 13th. Finally, RBC Capital Markets reiterated a “sector perform” rating and issued a $30.00 price target (down from $35.00) on shares of Impax Laboratories in a report on Thursday, August 11th. One 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 company currently has a consensus rating of “Hold” and a consensus target price of $33.43.
Impax Laboratories (NASDAQ:IPXL) opened at 22.10 on Monday. The stock has a market capitalization of $1.57 billion, a price-to-earnings ratio of 46.82 and a beta of 1.21. Impax Laboratories has a 12-month low of $20.97 and a 12-month high of $45.00. The company has a 50-day moving average price of $24.38 and a 200-day moving average price of $29.14.
Impax Laboratories (NASDAQ:IPXL) last posted its earnings results on Tuesday, August 9th. The specialty pharmaceutical company reported $0.21 earnings per share (EPS) for the quarter, missing analysts’ consensus estimates of $0.32 by $0.11. Impax Laboratories had a net margin of 3.78% and a return on equity of 11.30%. The company earned $173 million during the quarter, compared to analysts’ expectations of $223.67 million. During the same period in the previous year, the company posted $0.34 EPS. Impax Laboratories’s quarterly revenue was down 19.4% compared to the same quarter last year. On average, equities research analysts forecast 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 dated Monday, August 15th. The shares were sold at an average price of $22.81, for a total value of $230,198.52. Following the completion of the transaction, the director now directly owns 40,225 shares of the company’s stock, valued at approximately $917,532.25. The transaction was disclosed in a filing with the SEC, which is accessible through this link. 3.30% of the stock is currently owned by company insiders.
A number of institutional investors have recently bought and sold shares of the stock. Nisa Investment Advisors LLC boosted 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 last quarter. Capstone Asset Management Co. boosted its position 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 last quarter. Nomura Holdings Inc. purchased a new position in Impax Laboratories during the second quarter worth $4,172,000. Mason Street Advisors LLC purchased a new position in Impax Laboratories during the second quarter worth $391,000. Finally, Public Employees Retirement System of Ohio boosted its position 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 last quarter. 88.13% of the stock is owned by institutional investors.
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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