This Day On The Street
Continue to site right-arrow
This account is pending registration confirmation. Please click on the link within the confirmation email previously sent you to complete registration.
Need a new registration confirmation email? Click here
Stocks Under $10 with 50-100% upside potential - 14 days FREE!

PDL BioPharma Rises On Better-than-seen Outlook

NEW YORK (AP) ¿ Shares of PDL BioPharma Inc. jumped Monday after the company said it expects a revenue boost in the second quarter from royalties on a mix of drugs, including the blockbuster cancer treatment Avastin and respiratory virus drug Synagis.

The biotechnology stock gained 22 cents, or 3.1 percent, to reach $7.38 in morning trading. Shares have traded between $5.20 and $12.70 over the last 52 weeks.

The Incline Village, Nev.-based company expects revenue of about $125 million during the quarter, up 18 percent from $106 million a year prior. Analysts polled by Thomson Reuters expect revenue of $114.7 million, on average.

The company receives royalties from Genentech Inc. on the cancer treatment Avastin and macular degeneration treatment Lucentis. Genentech is now part of Swiss-based Roche. PDL also receives royalties from Ireland-based Elan on sales of the multiple sclerosis drug Tysabri. Elan's partner on that drug is Biogen Idec Inc.

PDL is scheduled to report its second-quarter results Aug. 6.

BMO Capital Markets analyst Jason Zhang reaffirmed a "Outperform" rating and a $8 price target, and attributed the higher-than-expected guidance to royalty revenue from the respiratory virus drug Synagis, which is made by Medimmune, part of AstraZeneca.

"Because of an ongoing license litigation, the company had previously not included royalty on Synagis sales in its forecast," Zhang said.

The latest outlook now includes about $18.7 million from Synagis royalties.

Copyright 2009 Associated Press. All rights reserved. This material may not be published, broadcast, rewritten or redistributed.

Select the service that is right for you!

Action Alerts PLUS
Try it NOW

Jim Cramer and Stephanie Link actively manage a real portfolio and reveal their money management tactics while giving advanced notice before every trade.

Product Features:
  • $2.5+ million portfolio
  • Large-cap and dividend focus
  • Intraday trade alerts from Cramer
  • Weekly roundups
TheStreet Quant Ratings
Try it NOW
Only $49.95/yr

Access the tool that DOMINATES the Russell 2000 and the S&P 500.

Product Features:
  • Buy, hold, or sell recommendations for over 4,300 stocks
  • Unlimited research reports on your favorite stocks
  • A custom stock screener
  • Upgrade/downgrade alerts
Stocks Under $10
Try it NOW

David Peltier, uncovers low dollar stocks with extraordinary upside potential that are flying under Wall Street's radar.

Product Features:
  • Model portfolio
  • Stocks trading below $10
  • Intraday trade alerts
  • Weekly roundups
Dividend Stock Advisor
Try it NOW

Jim Cramer's protege, David Peltier, identifies the best of breed dividend stocks that will pay a reliable AND significant income stream.

Product Features:
  • Diversified model portfolio of dividend stocks
  • Alerts when market news affect the portfolio
  • Bi-weekly updates with exact steps to take - BUY, HOLD, SELL
Real Money Pro
Try it NOW

All of Real Money, plus 15 more of Wall Street's sharpest minds delivering actionable trading ideas, a comprehensive look at the market, and fundamental and technical analysis.

Product Features:
  • Real Money + Doug Kass Plus 15 more Wall Street Pros
  • Intraday commentary & news
  • Ultra-actionable trading ideas
Options Profits
Try it NOW

Our options trading pros provide daily market commentary and over 100 monthly option trading ideas and strategies to help you become a well-seasoned trader.

Product Features:
  • 100+ monthly options trading ideas
  • Actionable options commentary & news
  • Real-time trading community
  • Options TV
To begin commenting right away, you can log in below using your Disqus, Facebook, Twitter, OpenID or Yahoo login credentials. Alternatively, you can post a comment as a "guest" just by entering an email address. Your use of the commenting tool is subject to multiple terms of service/use and privacy policies - see here for more details.
Submit an article to us!


DOW 17,804.80 +26.65 0.15%
S&P 500 2,070.65 +9.42 0.46%
NASDAQ 4,765.38 +16.9840 0.36%

Brokerage Partners

Rates from

  • Mortgage
  • Credit Cards
  • Auto

Free Newsletters from TheStreet

My Subscriptions:

After the Bell

Before the Bell

Booyah! Newsletter

Midday Bell

TheStreet Top 10 Stories

Winners & Losers

Register for Newsletters
Top Rated Stocks Top Rated Funds Top Rated ETFs