|Healthcare Review: Auxilium Pharmaceuticals, Conceptus, Tenet Healthcare Corp, HCA Holdings Inc, Express Scripts Holding|
|By Staff and Wire Reports|
|Monday, 29 April 2013 12:39|
U.S. stocks climbed on Monday as Italy formed a government, relieving a two-month political stalemate and boosting investors' appetite for risky assets, while better-than-expected housing data boosted market optimism. Wall Street followed European stocks higher as Italy's new Prime Minister Enrico Letta's focus on growth and away from austerity in his inaugural speech lifted hopes for further stimulus from the European Central Bank. A report showed contracts to buy previously owned homes rose last month to their highest level since April 2010, showing underlying strength in the housing market recovery, even though the pace of sales growth has cooled in recent months.
Following are notable movers at mid day on Monday:-
Auxilium Pharmaceuticals, Inc. (NASDAQ:AUXL) shares decreased 11.54% to $14.18. The company on April 29 posted first quarter GAAP net loss of $8.2 million or $0.17 per share, compared to a net loss of $1.7 million or $0.04 per share in the previous year whereas, non-GAAP net loss for the quarter stood $2.3 million or $0.05 per share. Analysts expected the company to report earnings of $0.02 per share for the quarter. The total revenues of $66.2 million, a 10 percent decrease from $73.6 million recorded during the comparable quarter. The Street estimated revenues of $81.23 million for the quarter.
Additionally, the company also said it completed the acquisition of Actient Holdings LLC, a private urology specialty therapeutics company, for $585 million in cash, contingent consideration and warrants.
Conceptus, Inc. (NASDAQ:CPTS) shares increased 19.44% to $30.93. The company on April 29 announced that it agreed to be acquired by Bayer HealthCare for $31.00 per share in cash, approximately $1.1 billion.
Additionally, the company on April 29 reported first-quarter of 2013 net income of $1.9 million, or $0.05 per share, compared to a net loss of $2.8 million, or $0.09 per share in the first quarter of 2012. Analysts expected the company to report a loss of $0.01 per share for the quarter. Total revenues for the quarter were $34.1 million, representing 17.5% growth over the prior year period. Analysts had consensus revenue estimate of $32.04 million for the quarter.
Tenet Healthcare Corp. (NYSE:THC) shares climbed 7.41% to $44.20. THC‘s stock had its “buy” rating reiterated by investment analysts at Jefferies Group in a note issued to investors on April 29. They currently have a $48.00 target price on the stock. Separately, Tenet Healthcare ‘s stock had its “hold” rating reaffirmed by research analysts at Deutsche Bank in a report released on April 22. They currently have a $46.00 target price on the stock.
HCA Holdings Inc. (NYSE:HCA) shares gained 6.09% to $40.58. HCA Holdings stock had its price target lifted by Robert W. Baird from $42.00 to $43.00 in a research report sent to investors on April 23. The firm currently has an outperform rating on the stock.
Additionally, the company on April 15 announced preliminary financial and operating results for the first quarter ended March 31, 2013. The financial results are subject to finalization of the Company's quarterly financial and accounting procedures.
HCA anticipates revenues for the first quarter of 2013 will be approximately $8.440 billion compared to $8.405 billion in the first quarter of 2012. Income before income taxes for the first quarter is expected to approximate $639 million compared to $963 million in the prior year.
Express Scripts Holding Company (NASDAQ:ESRX) shares jumped 1.17% to $58.59. The company announced its intention to release its first quarter earnings on Monday, April 29, 2013 after the market closes and will hold its quarterly conference call to discuss first quarter results on Tuesday, April 30, 2013, at 9:00 a.m. Eastern Time (8:00 a.m. Central Time). The company is projected to post earnings of $0.97 per share, higher than the prior year's $0.73 per share. Quarterly revenues are expected to grow sharply to $25.55 billion from $12.13 billion a year earlier.