2. DepoMed (DEPO) is a specialty pharmaceutical company focused on the development and commercialization of differentiated products that are based on oral drug delivery technologies. It has developed two products, which have been approved by the FDA and are marketed.
The company is scheduled to report its first quarter 2011 results on Apr. 29 and expects net income of $44.3 million or 76 cents per share, as against a loss of $3.8 million or 7 cents per share in the comparable quarter of last year. Moreover, total revenue is expected to increase four-fold year-over-year to $64 million, according to analysts polled by Bloomberg.
The company recently announced that Boehringer Ingelheim has licensed worldwide rights to Depomed's Acuform gastric retentive drug delivery technology to develop and commercialize certain fixed dose combination product(s) which include extended release metformin and proprietary Boehringer Ingelheim compound(s) in development for type 2 diabetes."We are pleased to have closed our third licensing deal for our extended release metformin technology. The upfront and future milestone payments will strengthen our balance sheet, while the potential royalties will add to our revenue build-up as a specialty pharmaceutical company," said Carl A. Pelzel, president and chief executive officer of Depomed. The stock has gained 136% during the past one year. Of the three analysts covering the stock, 33% recommend it a buy, while the remaining rate a hold. There are no sell ratings on the stock. On average, analysts expect an upside of 55% to $13.63 in value from current levels.
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