PDL Shares Rise On Outlook, Analyst Upgrade

NEW YORK (AP) — Shares of PDL BioPharma Inc. jumped Friday after the company set first-quarter revenue expectations and a Lazard Capital analyst upgraded shares, citing the potential for more royalty revenue.

Shares rose 26 cents, or 4.3 percent, to $7.12 in midday trading. The stock has traded between $5.20 and $14.11 over the past 52 weeks.

On Thursday, Incline Village, Nev.-based PDL said it now expects revenue of about $60 million in the first quarter because of a royalties from products it helped develop, which include Avastin, Herceptin, Lucentis, and Tysabri. Cancer treatments Avastin and Herceptin and macular degeneration treatment Lucentis are sold by Genentech and Roche, while the multiple sclerosis and Crohn's disease drug Tysabri is sold by Biogen Idec Inc. and Elan Corp.

During the same period a year prior, the company had revenue of $57.3 million.

Analysts polled by Thomson Reuters expect profit of $62.5 million for the first quarter.

Lazard Capital Markets analyst Joel Sendek upgraded the stock to "Buy" from "Hold," citing the potential for more royalty income on Avastin.