A very bullish recommendation by Citi - Target price is $2.52 Current Price is $0.66 Difference:$1.86!!! Always DYOR, IMO, and note "burning cash right now".
Citi rates QRX as Buy, High Risk
Wednesday, October 16, 2013 - 11:23
October 16, 2013
While not unexpected, the broker sees Aspen Pharma's take-up of its option to commercialise MoxDuo-IR in South Africa as a positive for QRX. QRX now has commercial partners in the US, Canada, Aust/NZ and South Africa. The royalty-based model means profits are highly dependent on the drug's success, the broker warns, but all parties' interests are aligned and the broker believes the drug has strong sales potential.
The company is nevertheless burning cash right now, so a lot is hanging on the FDA decision due next year. The broker retains a Buy (High Risk) on significant upside potential. Target unchanged at $2.52.
Target price is $2.52 Current Price is $0.66 Difference:$1.86 - (brackets indicate current price is over target). If QRX meets the Citi target it will return approximately 282% (excluding dividends, fees and charges - negative figures indicate an expected loss).
The company's fiscal year ends in June
QRX Price at posting:
65.5¢ Sentiment: None Disclosure: Not Held
