LATEST NEWS

Sector Snap: Specialty drugs in 2012

Analyst says shares of specialty drugmakers like Salix and Cubist should do well in 2012

RELATED QUOTES

SymbolPriceChange
CBST0.00
ALKS50.12+0.32
QCOR0.00
IRWD14.07-0.20
EBS33.24+0.90

NEW YORK (AP) — A Caris & Co. analyst said Friday that he expects specialty drugmakers including Salix Pharmaceuticals and Cubist Pharmaceuticals to do well in 2012.

Companies will meet with investors and analysts next week at The JPMorgan Chase health care conference in San Francisco. Analyst Mario Corso said Salix Pharmaceuticals Inc. has the best chance of surpassing Wall Street expectations, while Cubist Pharmaceuticals Inc. has one of the least risky revenue streams. He said those companies were among his top picks in the sector, along with Alkermes PLC, Questcor Pharmaceuticals Inc.

Among smaller-cap stocks, Corso said he favors Ironwood Pharmaceuticals Inc. and Emergent BioSolutions Inc., and he singled out Forest Laboratories Inc. as a larger-cap stock that should do well in 2012.

Salix makes Xifaxan, which treats traveler's diarrhea and neurological problems associated with liver failure, and Relistor, which is used as a treatment for opioid-induced constipation. Analysts expect the Raleigh, N.C., company to report a profit of $2.65 per share this year, on $722.8 million in revenue.

Cubist gets most of its revenue from the antibiotic Cubicin, which is used to treat severe skin and bloodstream infections. It also markets Dificid, a treatment for clostridium difficile infection. Cubist acquired Adolor Corp. in December and now sells Entereg, which treats constipation in patients being treated with opioid pain drugs.

Corso rated Salix, Cubist, Alkermes, Questcor, Emergent, and Ironwood shares "Buy" and Forest shares at "Above Average."

Shares of Salix rose 47 cents to close at $47.87, while Cubist stock rose 43 cents to $40.17. Shares of Alkermes lost 30 cents to $16.68, Questcor stock fell 25 cents to $38.95, and Ironwood shares sank $1.20, or 10 percent, to $10.78.

--

Get stories like this on the Yahoo app and discover more every day.
Download it now.

DON'T MISS

  • Droom has made auto trade a breeze

    Its website lists everything that has a wheel and a motor - from bicycles and super bikes to luxury cars, planes and yachts. …

  • How Hike has taken on global competitors

    The messaging app company had zero users around January 2013. It crossed 35 million users in August 2014 and in January this year claimed over 100 million users. That is a mind-boggling number for any ... …

  • "Internet retailing of books is a wonderful development"

    Richard Charkin, Executive Director, Bloomsbury Publishing, talks to Sapna Nair Purohit about the changing publishing landscape globally. …

  • "India has a competent enough system to check quality standards"

    The $25-billion Indian pharma industry is going through intense regulatory scrutiny. Foreign drug regulators such as the US Food and Drug Adminis-tration (FDA) and EU's European Medicines Agency have increased ... …

  • Final Push

    GST infrastructure is a work in Progress. The government will have to burn the midnight oil if it wants to meet the April 2017 deadline. …

  • TRAI'S Web of Confusion

    The telecom regulator must first simplify its processes before dealing with net neutrality. …

  • Shop Till You Drop

    Once the model shops and establishments act comes into force, shops, malls and cinemas will be allowed to remain open 24x7. But does it make business sense? …

MARKET MOVERS

  • Most Actives
    Most Actives
    NamePriceChange% Chg
    12.49-0.06-0.48%
    JPASSOCIAT.BO
    269.15+5.60+2.12%
    ICICIBANK.BO
    171.90+2.95+1.75%
    VEDL.BO
    329.90+0.50+0.15%
    TATAMTRDVR.BO
    130.15+9.90+8.23%
    PNB.BO
  • Price % Gainers
    Price % Gainers
    NamePriceChange% Chg
    104.40+17.40+20.00%
    BLUECHIPT.BO
    60.60+10.10+20.00%
    SAHARAHOUS.BO
    380.80+63.45+19.99%
    SESHAPAPER.BO
    226.90+37.80+19.99%
    KSL.BO
    326.90+54.45+19.99%
    JAYAGROGN.BO
  • Price % Losers
    Price % Losers
    NamePriceChange% Chg
    18.00-2.00-10.00%
    ARYACAPM.BO
    22.55-2.35-9.44%
    RCCL.BO
    29.20-2.70-8.46%
    VIJAYTX.BO
    10.20-0.80-7.27%
    RAJKSYN.BO
    198.45-15.55-7.27%
    AHLEAST.BO
  •  
    Recent Quotes
    Symbol Price Change % ChgChart 
    Your most recently viewed tickers will automatically show up here if you type a ticker in the "Enter symbol/company" at the bottom of this module.
    You need to enable your browser cookies to view your most recent quotes.
  • Recent Quotes News

    •  
      Sign-in to view quotes in your portfolios.