Macquarie 13-Feb-13 Acrux's suite of patents just received another addition for underarm application of Axiron in the US. But it's not patents Macquarie analysts are concerned about. It's about market entrance of generic testosterone gels and their impact on Axiron's main competitors in the market.
Bottom line: Macquarie is anticipating an increasingly rougher market environment for the company ahead. This justifies the Underperform rating, even when the price target has moved up to $2.98 from $2.60 prior.
Current estimates anticipate a big jump in profitability (and dividends) in FY14.
Underperform
ACR Price at posting:
$3.94 Sentiment: LT Buy Disclosure: Held
