Watson Pharmaceuticals "hold"

02/27/07 - Lazard Capital Markets

NEW YORK, February 27 (newratings.com) - Analysts at Lazard Capital reiterate their "hold" rating on Watson Pharmaceuticals Inc (WAP).

In a research note published this morning, the analysts mention that the company is expected to report its 4Q EPS in-line with the consensus. The analysts say that the Andrx acquisition is likely to generate 8% top-line growth in 2007 on new product launches. Watson Pharmaceuticals’ revenues this year are expected to be flat y/y, assuming that Duragesic and Flonase are launched before mid-year, helping to offset a loss of $147 million in generic revenues, Lazard Capital adds.