Amgen "neutral," target price reduced

23.03.07 - RBC Capital Markets

NEW YORK, March 23 (newratings.com) - Analysts at RBC Capital Markets maintain their "neutral" rating on Amgen Inc (AMGN), while reducing their estimates for the company. The target price has been reduced from $58 to $54.

In a research note published this morning, the analysts mention that the usage of Vectibix is expected to be limited to monotherapy in the refractory colorectal (CRC) setting in the near term, following the unsuccessful PAACE trial. The worldwide Vectibix sales estimates for 2007, 2008, 2009 and 2010 have been reduced by $70 million, $263 million, $293 million and $309 million, respectively. The EPS estimates for 2007, 2008, 2009 and 2010 have been reduced by $0.02, $0.07, $0.08 and $0.09, respectively.