Jefferies New Stock Rating On Questcor Pharmaceuticals – (QCOR)

Shares of Questcor Pharmaceuticals Inc (QCOR) are down $2.58, or 3.20%, to $78.00 in pre-market trading Tuesday, after the company was downgraded by investment analysts at Jefferies Group from a “Buy” to “Hold”. The 12-month target price has been reduced to $86 from $89.

The downgrade comes on the heels of Mallinckrodt Pharmaceuticals (MNK) announcement made Monday, which said the California-based Questcor had agreed to be acquired by Mallinckrodt for about $5.6 billion in cash and stock. Based on the closing price of Mallinckrodt shares last Friday , the deal is worth $86.08 a share, which represents a 27% premium to Questcor’s $67.87 closing pps last Friday. QCOR shares spiked 18.7%, or $12.71, in Monday trading on the Nasdaq stock exchange to $80.58.

The transaction is expected to close in the third quarter.

Trading at a multiple of 10.30X next year’s estimated earnings, Questcor stock has a 52 week range of $26.80 – $85.11  and a ttm P/E ratio of 16.90. The company has a market cap of $4.88 billion.

Disclaimer: This page contains affiliate links. If you choose to make a purchase after clicking a link, we may receive a commission at no additional cost to you. Thank you for your support!

Be the first to comment

Leave a Reply

Your email address will not be published.


*

This site uses Akismet to reduce spam. Learn how your comment data is processed.