Valeant Pharmaceuticals Intl Inc (NYSE:VRX) wholly owned subsidiary, Salix Pharmaceuticals, announced that the FDA accepted the New Drug Application (NDA) for NER1006 (PLENVU®*) a novel, lower-volume polyethylene glycol based bowel preparation that has been developed to help provide complete bowel cleansing, with an additional focus on the ascending colon. As high preparation volumes can often be a deterrent in patients fully completing their regimen, PLENVU®, when approved, will offer the lowest total volume of solution for an FDA-approved bowel cleanser in the market.
Colorectal cancer is the third leading cause of cancer-related deaths in women in the United States and the second leading cause in men, and successful colorectal cancer screening can save lives.1
“Effective bowel preparation is an important factor for a successful colonoscopy and for detecting adenomas and polyps,” said Mark McKenna, senior vice president and general manager, Salix Pharmaceuticals. “If approved, PLENVU® may enhance bowel cleansing and the overall bowel prep experience relating to a colonoscopy.”
PLENVU® was licensed by Norgine B.V. to Salix in August 2016. PLENVU® is not a U.S.- approved drug.
Shares of Valeant Pharmaceuticals are up 1.34% to $17.38 in after-hours trading Wednesday. VRX has a 1-year high of $32.75 and a 1-year low of $8.31. The stock’s 50-day moving average is $13.31 and its 200-day moving average is $12.92.
On the ratings front, Valeant stock has been the subject of a number of recent research reports. In a report released today after market close, Cantor analyst Louise Chen reiterated a Buy rating on VRX, with a price target of $23, which represents a potential upside of 34% from where the stock is currently trading. On the other side, Wells Fargo’s David Maris maintained a Sell rating on VRX yesterday.
According to TipRanks.com, which ranks over 7,500 financial analysts and bloggers to gauge the performance of their past recommendations, Louise Chen and David Maris have a yearly average loss of 12.5% and a return of 4.2% respectively. Chen has a success rate of 39% and is ranked #4488 out of 4588 analysts, while Maris has a success rate of 49% and is ranked #1585.
Sentiment on the street is mostly neutral on VRX stock. Out of 14 analysts who cover the stock, 9 suggest a Hold rating , 3 suggest a Sell and 2 recommend to Buy the stock. The 12-month average price target assigned to the stock is $13.67, which reflects a potential downside of -20% from last closing price.
Valeant Pharmaceuticals International, Inc. engages in the development, manufacture, and market of a broad range of pharmaceutical products in the areas of dermatology, gastrointestinal disorders, eye health, neurology and branded generics. It operates through the following segments: The Bausch + Lomb/International, The Branded Rx, and The U.S. Diversified products.