Lannett Receives a Buy from Roth Capital

By George MacDonald

Roth Capital analyst Scott Henry reiterated a Buy rating on Lannett (NYSE: LCI) today and set a price target of $60. The company’s shares opened today at $47.43.

Henry noted, “This report is a weekly update tracking prescriptions for Lannett’s Digox (digoxin) and Levo (levothyroxine). These are the two largest LCI products at ~17% and ~37% of 2015E revenues. For the current week, we consider the trends for Digox and Levo in-line with expectations (the company already preannounced upside). We are closely monitoring trends for the impact of new digoxin competition from Mylan, and a potential new entrant (Levothroid – Actavis) into the levothyroxine category .”

Currently, the analyst consensus on Lannett is Moderate Buy and the average price target is $66.50, representing a 40.2% upside. In a report issued on January 26, Canaccord Genuity also maintained a Buy rating on the stock with a $73 price target.

Lannett`s market cap is currently $1.79B and has a P/E ratio of 18.7. The company has a book value ratio of 5.39%.

According to TipRanks, Henry is a 5-star analyst with an average return of 13.1% and a 46.3% success rate. Henry covers the Healthcare sector, focusing on stocks such as Flamel Technologies S.A., Apricus Biosciences Inc, and Alexza Pharmaceuticals.

Lannett Co Inc develops, manufactures, packages, markets and distributes generic versions of branded pharmaceutical products. Its products includes solid oral dosage forms, including oral solutions, nasal, topicals or parentarels.