ViroPharma's third quarter net income of $0.07 per share beat the
Zacks Consensus Estimate by a penny. Quarterly revenues increased
24.2% year over year to $113.1 million, in line with the Zacks
Consensus Estimate. The increase in revenues was fuelled by strong
growth of Cinryze in the U.S. Shire announced that it will acquire
ViroPharma for approximately $50 per share or $4.2 billion. We have
downgraded our recommendation on ViroPharma to Neutral from
Outperform. The company's shares surged significantly in the past
few months on potential buyout rumors. However, with the news of
Shire acquiring ViroPharma announced last month, the share price
has already touched the offer price of $50. Hence, there is no
potential for any further increase and we downgrade our
Incorporated in Delaware in 1994, ViroPharma Incorporated (VPHM)
is an international biotechnology company. Headquartered in
Pennsylvania, the company develops and commercializes drugs
specifically targeting unmet medical needs with particular focus on
orphan diseases. Key drugs for the company include Cinryze for
hereditary angioedema (HAE), Plenadren for the treatment of adrenal
insufficiency (AI), Buccolam in Europe for the treatment of
pediatric seizures, and Vancocin indicated for the treatment of C.
difficile- associated diarrhea (CDAD).
Interesting candidates in ViroPharma's pipeline include
maribavir for cytomegalovirus (CMV) infection and VP20629 for the
treatment of Friedreich's Ataxia (FA). ViroPharma acquired VP20629
from Intellect Neurosciences, Inc. in Sep 2011.
ViroPharma generated revenues of $427.9 million in 2012.
(VPHM): Read the Full Research Report
VIROPHARMA (VPHM): Free Stock Analysis Report
To read this article on Zacks.com click here.