Valeant Pharmaceuticals Intl Inc (NYSE:VRX) announced that, as a result of the delay in the Company filing its Form 10-K for the fiscal year ended December 31, 2015 (the “Form 10-K”), it has received notices of default from the trustee under the indentures governing its 5.375% Senior Notes due 2020; 6.375% Senior Notes due 2020; 7.50% Senior Notes due 2021; and 7.25% Senior Notes due 2022. The 6.375% Senior Notes due 2020 and the 7.25% Senior Notes due 2022 were issued by the Company’s subsidiary, Valeant Pharmaceuticals International. Under these bond indentures, the Company has until June 21, 2016, 60 days from the receipt of the notices, to file its Form 10-K, which will cure the default under the applicable indenture in all respects. The Company previously announced on April 12, 2016 that it received a notice of default from certain holders of its 5.50% Senior Notes due 2023 and has until June 11, 2016 to file its Form 10-K, which will cure the default under the applicable indenture in all respects. The Company is working diligently and is on schedule to file its Form 10-K on or before April 29, 2016. The notices of default do not result in the acceleration of any of the Company’s indebtedness. (Original Source)
Shares of Valeant Pharmaceuticals closed today at $35.97, up $2.62 or 7.86%. VRX has a 1-year high of $263.81 and a 1-year low of $25.27. The stock’s 50-day moving average is $39.08 and its 200-day moving average is $85.75.
On the ratings front, Valeant has been the subject of a number of recent research reports. In a report released today, BMO analyst Alex Arfaei reiterated a Buy rating on VRX, with a price target of $66, which represents a potential upside of 83.4% from where the stock is currently trading. Separately, on April 15, Mizuho’s Irina Rivkind Koffler reiterated a Sell rating on the stock and has a price target of $18.
According to TipRanks.com, which ranks over 7,500 financial analysts and bloggers to gauge the performance of their past recommendations, Alex Arfaei and Irina Rivkind Koffler have a total average return of 5.2% and 27.3% respectively. Arfaei has a success rate of 64.3% and is ranked #673 out of 3823 analysts, while Koffler has a success rate of 53.6% and is ranked #17.
The street is mostly Neutral on VRX stock. Out of 21 analysts who cover the stock, 9 suggest a Hold rating , 8 suggest a Buy and 4 recommend to Sell the stock. The 12-month average price target assigned to the stock is $57.60, which implies an upside of 60.1% from current levels.
Valeant Pharmaceuticals International, Inc. is a multinational specialty pharmaceutical company that develops manufactures and markets a broad range of pharmaceutical products primarily in the areas of dermatology, eye health, neurology, and branded generics.