Biovail "outperform," estimates reduced

02/23/07 - RBC Capital Markets

NEW YORK, February 23 (newratings.com) - Analyst Douglas Miehm of RBC Capital Markets maintains his "outperform" rating on Biovail Corporation (BVF), while reducing his estimates for the company. The target price is set to $23.

In a research note published yesterday, the analyst mentions that the company’s UER market share is likely to decline, leading to a reduction in the Ultram ER revenue estimate for 2007 from $115 million to $71 million. There is upside to the sales estimate for Wellbutrin XL, the analyst says. Biovail could enter a licensing deal in the near term, RBC Capital Markets adds. The EPS estimate for 2007 has been reduced from $1.67 to $1.66.