Genzyme "outperform," target price reduced

05/08/06 - Robert W. Baird

NEW YORK, May 8 (newratings.com) - Analysts at Robert W Baird reiterate their "outperform" rating on Genzyme Corporation (GENZ), while reducing their estimates for the company. The target price has been reduced from $84 to $75.

In a research note published this morning, the analysts mention that a recent nephrologist survey indicates that the company’s Renagel and Hectorol drugs are facing higher-than-expected competition from Fosrenol and Zemplar, respectively. The analysts expect Genzyme to resolve this issue in the near term. The EPS estimates for 2006 and 2007 have been reduced from $2.76 to $2.72 and from $3.33 to $3.32, respectively.