NEW YORK (TheStreet) -- Shares of Mylan (MYL) - Get Report were down in mid-afternoon trading on Friday as criticism has continued surrounding the price of the Canonsburg, PA-based pharmaceutical company's EpiPen product.
The price of the portable allergic reaction inhibitor has increased to approximately $500 from around $100 in 2008, an increase of nearly 450%, NBC News reports.
After competitor Sanofi (SNY) recalled its EpiPen product last year, Mylan gained near full control of the market.
Mylan has a savings program called the "$0 co-pay card," but it only cuts out-of-pocket expenses by $100, resulting in a free or low co-pay for consumers with good insurance plans, but not creating much of a discount for insureds with high-deductible plans or without an insurance plan, MarketWatch reports.
The prices have "changed over time to better reflect important product features and the value the product provides," Mylan said in a statement, according to NBC News. "We've made a significant investment to support the device over the past years."
Yesterday, Vermont Sen. Bernie Sanders tweeted "there's no reason an EpiPen, which costs Mylan just a few dollars to make," is priced at more than $600 in some cases.
Wells Fargo analysts said Mylan is unlikely to benefit from the EpiPen scrutiny, TheFly noted. The price increases may improve the company's near-term earnings, but it is likely to hurt them beyond that, the firm added.
Separately, TheStreet Ratings objectively rated this stock according to its "risk-adjusted" total return prospect over a 12-month investment horizon. Not based on the news in any given day, the rating may differ from Jim Cramer's view or that of this articles's author. TheStreet Ratings has this to say about the recommendation:
We rate MYLAN NV as a Buy with a ratings score of B. This is driven by a number of strengths, which we believe should have a greater impact than any weaknesses, and should give investors a better performance opportunity than most stocks we cover. The company's strengths can be seen in multiple areas, such as its revenue growth, good cash flow from operations, expanding profit margins, largely solid financial position with reasonable debt levels by most measures and growth in earnings per share. We feel its strengths outweigh the fact that the company has had lackluster performance in the stock itself.
You can view the full analysis from the report here: MYL