BTIG Remains Neutral On Keryx Biopharmaceuticals Following Earnings Update


In a research report issued Friday, BTIG analyst Hartaj Singh reiterated a Neutral rating on Keryx Biopharmaceuticals (NASDAQ:KERX), after the company released its full year and fourth quarter earnings. No price target was provided.

Singh stated, “KERX FY14 earnings press release little information on Auryxia (ferric citrate) launch trends, the primary focus of the Street. While 2014 numbers might be low priority, a couple of items in the press release caught our eye and stood out, the main being the larger than expected increase in SG&A in 4Q14, which we view as unsustainable.”

Furthermore, “Sales and earnings expectations for 2015 have come down dramatically since Auryxia launch, with FY15E consensus Revenue expectations at ~$75m in early December 2014 and now $53m three months later. While this might create a lower 2015 bar for the Co, we are increasingly concerned regarding the potential for Auryxia. For a differentiated product – as it is seems to be – relentless downgrades to analyst estimates (we have not downgraded ours yet) is not a sign of bullishness.”

According to TipRanks.com, which measures analysts’ and bloggers’ success rate based on how their calls perform, analyst Hartaj Singh has a total average return of 11.3% and a 33.3% success rate. Singh is ranked #1763 out of 3483 analysts.