PDL BioPharma (NASDAQ:PDLI) was downgraded by Zacks Investment Research from a “buy” rating to a “hold” rating in a research note issued on Monday, January 8th.
According to Zacks, “PDL BioPharma is focused on acquiring and managing income-generating assets. It has royalty agreements with several companies, whereby it receives royalties on sales of their products. We are positive on the company’s recent strategic shift, wherein, it is making equity investments in product-focused companies. The company’s investment on Noden Pharma, focused on acquiring and optimizing established medicines, is also encouraging. Its shares have outperformed the industry so far this year. However, the company is heavily dependent on its partners for royalty revenues, which is not a risk-free strategy. We are also concerned about PDL BioPharma’s revenue stream in the future as its growth prospects rely on the timing and ability to acquire new income-generating assets for recurring revenues. Estimates have remained stable ahead of Q4 earnings. The company has a mixed record of earnings surprises in the recent quarters.”
PDLI has been the subject of several other research reports. ValuEngine upgraded PDL BioPharma from a “hold” rating to a “buy” rating in a research note on Monday, October 2nd. Cowen restated a “hold” rating and issued a $3.00 target price on shares of PDL BioPharma in a research note on Friday, October 27th. Finally, BidaskClub cut PDL BioPharma from a “hold” rating to a “sell” rating in a report on Saturday, January 6th. One research analyst has rated the stock with a sell rating, two have given a hold rating and two have given a buy rating to the stock. The stock has an average rating of “Hold” and a consensus target price of $3.33.
PDL BioPharma (PDLI) traded up $0.01 during trading on Monday, hitting $2.84. The company’s stock had a trading volume of 760,900 shares, compared to its average volume of 1,213,733. The company has a debt-to-equity ratio of 0.14, a current ratio of 3.16 and a quick ratio of 3.10. PDL BioPharma has a 52-week low of $1.96 and a 52-week high of $3.55. The company has a market cap of $431.38, a PE ratio of 5.68 and a beta of 0.46.
PDL BioPharma (NASDAQ:PDLI) last released its quarterly earnings results on Thursday, November 2nd. The biotechnology company reported $0.14 EPS for the quarter, beating analysts’ consensus estimates of $0.13 by $0.01. The business had revenue of $62.75 million during the quarter, compared to analyst estimates of $61.86 million. PDL BioPharma had a return on equity of 9.20% and a net margin of 24.51%. PDL BioPharma’s quarterly revenue was up 17.0% compared to the same quarter last year. During the same period in the prior year, the firm posted $0.08 EPS. sell-side analysts expect that PDL BioPharma will post 0.67 earnings per share for the current fiscal year.
PDL BioPharma announced that its Board of Directors has authorized a share buyback program on Monday, September 25th that allows the company to repurchase $25.00 million in outstanding shares. This repurchase authorization allows the biotechnology company to repurchase shares of its stock through open market purchases. Stock repurchase programs are generally an indication that the company’s board believes its shares are undervalued.
Hedge funds have recently modified their holdings of the company. Dynamic Technology Lab Private Ltd bought a new stake in shares of PDL BioPharma during the third quarter valued at approximately $131,000. Airain ltd raised its stake in PDL BioPharma by 21.0% during the second quarter. Airain ltd now owns 56,911 shares of the biotechnology company’s stock valued at $141,000 after buying an additional 9,893 shares during the last quarter. Public Employees Retirement System of Ohio raised its stake in PDL BioPharma by 18.4% during the second quarter. Public Employees Retirement System of Ohio now owns 65,612 shares of the biotechnology company’s stock valued at $162,000 after buying an additional 10,189 shares during the last quarter. Cubist Systematic Strategies LLC raised its stake in PDL BioPharma by 64.0% during the third quarter. Cubist Systematic Strategies LLC now owns 49,062 shares of the biotechnology company’s stock valued at $166,000 after buying an additional 19,144 shares during the last quarter. Finally, BNP Paribas Arbitrage SA raised its stake in PDL BioPharma by 141.7% during the third quarter. BNP Paribas Arbitrage SA now owns 53,584 shares of the biotechnology company’s stock valued at $182,000 after buying an additional 31,418 shares during the last quarter. Hedge funds and other institutional investors own 88.36% of the company’s stock.
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PDL BioPharma Company Profile
PDL BioPharma, Inc seeks to provide return for its shareholders by acquiring and managing a portfolio of companies, products, royalty agreements and debt facilities in the biotechnology, pharmaceutical and medical device industries. The Company’s segments include income generating assets and product sales.
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