A potential Parkinson’s disease treatment from Impax
Laboratories Inc. could generate as much as $400 million in annual U.S. sales,
according to a Collins Stewart analyst who raised her price target for the
stock.
Impax, based in Hayward,
Calif., said after the market
closed Monday the drug candidate met key goals in a late-stage study focused on
patients with fluctuations in motor function. Impax plans to present the full
study on the potential treatment, labeled IPX066, at an upcoming scientific
meeting.
The company plans to file an application for the drug’s
approval in the fourth quarter and expects approval in late 2012, according to
analyst Louise Chen.
“This is great news for (Impax) since IPX066
diversifies the company’s revenue away from solely generics,” the analyst
wrote in a research note Monday.
Company shares rose $1.93, or 8.7 percent, to $24 in
pre-market trading Tuesday.
Chen said IPX066 could contribute up to $3 a year to the
company’s earnings per share. The analyst estimates the drug could reach peak
annual U.S. sales of between
$200 million and $400 million and may see a similar figure outside the United States,
where it is partnering with British drugmaker GlaxoSmithKline Plc.
Chen reiterated a buy rating on the stock and raised her
price target for shares to $26 from $23.
