The Medicines (NASDAQ:MDCO) was downgraded by Zacks Investment Research from a “hold” rating to a “sell” rating in a research note issued to investors on Tuesday.
According to Zacks, “The Medicines Co.’s Angiomax sales eroding due to presence of generics. the company’s ability to successfully develop and bring in new products to the market is highly important for growth. Any regulatory setback would weigh heavily on the stock. The company’s shares have underperformed the industry in a year’s time. However, pipeline boasts a potential blockbuster candidate, inclisiran. Moreover, the company implemented a workforce lay-off last year for better alignment of its cost and structure. We are also encouraged by The Medicines Co.’s regular divestiture of non-core products. This would help optimize its capital structure and enhance its liquidity position. Estimates have been stable lately ahead of the company’s Q1 earnings release. The company has negative record of earnings surprises in recent quarters.”
MDCO has been the subject of several other reports. Oppenheimer set a $50.00 price objective on The Medicines and gave the stock a “buy” rating in a research report on Monday, January 15th. Chardan Capital restated a “buy” rating and set a $85.00 price objective on shares of The Medicines in a research report on Wednesday, January 24th. BidaskClub upgraded The Medicines from a “sell” rating to a “hold” rating in a research report on Thursday, March 15th. Jefferies Group restated a “buy” rating and set a $47.00 price objective on shares of The Medicines in a research report on Friday, February 23rd. Finally, ValuEngine upgraded The Medicines from a “sell” rating to a “hold” rating in a research report on Thursday, March 1st. Two investment analysts have rated the stock with a sell rating, one has given a hold rating and seven have given a buy rating to the company. The Medicines currently has a consensus rating of “Buy” and a consensus price target of $50.00.
The Medicines (NASDAQ:MDCO) last released its earnings results on Wednesday, February 21st. The company reported ($2.19) earnings per share for the quarter, missing analysts’ consensus estimates of ($1.48) by ($0.71). The company had revenue of $8.60 million for the quarter, compared to the consensus estimate of $20.71 million. The Medicines had a negative net margin of 1,035.27% and a negative return on equity of 316.40%. The business’s revenue was down 50.6% compared to the same quarter last year. During the same quarter in the previous year, the company posted ($1.19) earnings per share. research analysts predict that The Medicines will post -2.71 EPS for the current fiscal year.
In other The Medicines news, Director William Crouse sold 7,500 shares of the company’s stock in a transaction dated Wednesday, March 21st. The stock was sold at an average price of $32.26, for a total value of $241,950.00. Following the completion of the transaction, the director now owns 60,633 shares of the company’s stock, valued at approximately $1,956,020.58. The sale was disclosed in a legal filing with the SEC, which is available through the SEC website. 8.22% of the stock is owned by corporate insiders.
Institutional investors and hedge funds have recently modified their holdings of the business. Atria Investments LLC acquired a new position in The Medicines in the 4th quarter worth about $297,000. Swiss National Bank increased its holdings in The Medicines by 2.5% in the 4th quarter. Swiss National Bank now owns 123,650 shares of the company’s stock worth $3,381,000 after purchasing an additional 3,000 shares in the last quarter. State of Wisconsin Investment Board increased its holdings in The Medicines by 31.3% in the 4th quarter. State of Wisconsin Investment Board now owns 68,300 shares of the company’s stock worth $1,867,000 after purchasing an additional 16,300 shares in the last quarter. Arizona State Retirement System increased its holdings in The Medicines by 224.8% in the 4th quarter. Arizona State Retirement System now owns 107,819 shares of the company’s stock worth $2,948,000 after purchasing an additional 74,623 shares in the last quarter. Finally, SG Americas Securities LLC increased its holdings in The Medicines by 33.8% in the 4th quarter. SG Americas Securities LLC now owns 7,145 shares of the company’s stock worth $195,000 after purchasing an additional 1,805 shares in the last quarter.
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About The Medicines
The Medicines Company is a global biopharmaceutical company. The Company is focused on advancing the treatment of acute and intensive care patients through the delivery of medicines to the hospital marketplace around the world. It markets Angiomax (bivalirudin), Ionsys (fentanyl iontophoretic transdermal system), Minocin (minocycline) for injection and Orbactiv (oritavancin).
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