Cantor’s healthcare analyst Irina Rivkind Koffler weighed in with a cautious stance on shares of Pernix Therapeutics Holdings Inc (NASDAQ:PTX), reducing the price target to $8.50 (from $11.00), while reiterating a Hold rating on the stock. The decreased price target based on concerns about the company’s commercial execution risk. However, the analyst pointed out that she could get more constructive in the name with stronger commercial performance and expects additional de-levering over time to help the story.

Rivkind Koffler noted, “We think the company is still in transition and we lack conviction in updated full-year guidance. We have therefore taken our numbers below management’s guidance. Management guided to full year sales of $220-240M (from $230M previously) but withdrew its prior adjusted EBITDA guidance of $95M (we expect an update on the May 1 earnings call). We now model $197M in revenues and $60M adjusted EBITDA versus $224.3M and $68.4M FactSet consensus.”

Furthermore, “The company announced a $130M convertible debt offering at 4.25% with an $11.47 conversion price, while taking out a prior $65M, 8% convert. We have revised our product estimates based on updated prescription trends and also raised expense estimates and lowered our longerterm outlook on Zohydro. We estimate $292M in net debt and a post-deal 4.8x leverage ratio, which makes near-term transactions less likely, in our view.”

According to, which measures analysts’ and bloggers’ success rate based on how their calls perform, analyst Irina Rivkind Koffler has a total average return of 46.9% and a 80.0% success rate. Koffler has a -60.2% average return when recommending PTX, and is ranked #3 out of 3575 analysts.