- Goldman Sachs is adding MedImmune (NASDAQ:MEDI) to the Americas Conviction Buy List with no change to our 12 month target price of $37, suggesting 14% potential upside. On 12/7/06, the firm raised their 2007 and 2008 EPS mainly due to higher royalties and government contract revenues. Firm expects more visibility on new product launches in the next 18 months. MedImmune shares might reach $50 in 2008 if investors are convinced that management's 2009 EPS target of $2.00 is achievable.
Catalyst: GSCO expects 1) Synagis sales, which declined in the 2005/06 winter season, to
stabilize in 2006/07. 2) FDA advisory committee review of Flumist for 1-5 year olds in March 2007 3) FDA approval and relaunch of liquid Flumist with an expanded label in mid 2007 4) An international partner for liquid Flumist 5) Launch of Numax, an improved Synagis with an incremental sales potential of $0.5bn, in 2008 6) Progress on an early but high potential pipeline in the next 18 months.
Notablecalls: Must say 14% worth of upside does not get me too excited. But on the other hand the $50 tgt for 2008 looks good. The only problem I have with this call is that there may still be too much hope tied to Flumist. Flumist for 1-5 yr olds? Are you kidding? Or am I just having a bad morning? Overall, expect to see some buy interest following the call.
Catalyst: GSCO expects 1) Synagis sales, which declined in the 2005/06 winter season, to
stabilize in 2006/07. 2) FDA advisory committee review of Flumist for 1-5 year olds in March 2007 3) FDA approval and relaunch of liquid Flumist with an expanded label in mid 2007 4) An international partner for liquid Flumist 5) Launch of Numax, an improved Synagis with an incremental sales potential of $0.5bn, in 2008 6) Progress on an early but high potential pipeline in the next 18 months.
Notablecalls: Must say 14% worth of upside does not get me too excited. But on the other hand the $50 tgt for 2008 looks good. The only problem I have with this call is that there may still be too much hope tied to Flumist. Flumist for 1-5 yr olds? Are you kidding? Or am I just having a bad morning? Overall, expect to see some buy interest following the call.
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