Why NPS Pharmaceuticals (NPSP) Stock Is Down This Afternoon

NEW YORK (TheStreet) -- Shares of NPS Pharmaceuticals Inc. (NPSP) are lower by -7.54% to $25.00 after the company cut its 2014 forecast and now sees 2014 sales of $100 million to $110 million, down from the previous forecast of $110 million to $120 million.

For the 2014 first quarter, NPS reported a net loss of $6.6 million or 6 cents per diluted share, compared to a net loss of $7.8 million or 9 cents per diluted share for the same period last year.

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Revenues were comprised of net product sales for Gattex and royalty revenues. Net sales of Gattex were $17.9 million for the first quarter of 2014, versus $0.7 million for the same period last year. 

Royalty revenues were $26.2 million for the first quarter of 2014 compared to $24.8 million for the same period last year

TheStreet Ratings team rates NPS PHARMACEUTICALS INC as a Hold with a ratings score of C. TheStreet Ratings Team has this to say about their recommendation:

"We rate NPS PHARMACEUTICALS INC (NPSP) a HOLD. The primary factors that have impacted our rating are mixed some indicating strength, some showing weaknesses, with little evidence to justify the expectation of either a positive or negative performance for this stock relative to most other stocks. The company's strengths can be seen in multiple areas, such as its robust revenue growth, solid stock price performance and impressive record of earnings per share growth. However, as a counter to these strengths, we also find weaknesses including poor profit margins and generally higher debt management risk."

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