NEW YORK (TheStreet) -- Shares of Valeant Pharmaceuticals  (VRX) are slumping by 0.50% to $24.02 in early-afternoon trading on Wednesday, as Barclays contends that "a lot of work remains to be done" after the beleaguered drugmaker reported disappointing first-quarter earnings and cut its outlook last week. 

Valeant would "ideally" ease its debt load by selling non-strategic assets, but some of these businesses provide "much needed cash flow for the time being," the firm wrote in a note, Barron's reports.

Additionally, implementation of the Walgreens Boots Alliance (WBA) deal has "clearly been problematic" and last week's media reports that Valeant might terminate the deal don't come as a surprise, the firm mentioned. 

"While we still think there are attractive aspects of the Walgreens relationship, namely around distribution of Valeant brands in lieu of generics, it's apparent to us that this doesn't solve Valeant's access problem," Barclays added.

More positively, the firm noted that Valeant's Bausch & Lomb business "continues to perform" and " should benefit from product launches through 2016," according to Barron's.

Separately, TheStreet Ratings team rates the stock as a "sell" with a ratings score of D.

Valeant's weaknesses include its deteriorating net income, generally disappointing historical performance in the stock itself and feeble growth in its earnings per share.

You can view the full analysis from the report here: VRX

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 article's author.