Analysts see big hit to Endo after patent ruling in favor of Eagle Pharma

Eagle Pharmaceuticals

01/09/2021 14:26

** Eagle Pharma's  EGRX.O  generic version of Endo's
 ENDP.O  blood pressure drug, Vasostrict, does not infringe any
of ENDP's patent claims, a Delaware federal court ruled on
Tuesday  urn:newsml:reuters.com:*:nBwF6HBYa
    ** Piper Sandler downgrades ENDP to "neutral" from
"overweight"; lowers its PT on stock to $3 from $10
    ** Brokerage says it had earlier hoped ENDP would be able to
reach a settlement with EGRX and "wring a few more years of
exclusivity out of Vasostrict"
    ** Adds that the availability of a single generic version of
injectable Vasostrict is likely to weigh heavily on ENDP's sales
    ** Raymond James also expects a massive hit to ENDP's
revenue from Vasostrict, which brought in sales of ~$786 mln in
2020; says additional generics behind EGRX could lead to greater
losses
    ** YTD, EGRX had gained 14.6% YTD while ENDP has plunged
68.1% as of last close

 (Reporting by Amruta Khandekar)
 ((Amruta.Khandekar@thomsonreuters.com;))