Amylin Pharmaceuticals Inc. (AMLN)

[SeriousMoney]

Amylin's Byetta Sales May Lead To Q1 Upside
Forbes.com, Peter Kang, 03.30.06, 3:02 PM ET

Friedman, Billings, Ramsey raised the price target on Amylin Pharmaceuticals and said prescription trends for diabetes drug Byetta may lead to earnings upside in the first quarter.

Research analyst Jim Reddoch raised the Byetta sales estimate for the first quarter to $77 million from $60 million, citing recent sales data and positive feedback from physicians.

Byetta, co-marketed by Amylin and Eli Lilly, comes in a pre-filled pen containing 60 doses. "Doctors say they have been surprised at patients' willingness to use the pen, that it seems to lack insulin's stigma," the analyst said.

"Our increased estimates are based on both increased sales potential for Byetta, as well as continued positive sentiment among clinicians towards the drug."

The firm raised the price target on Amylin shares to $60 from $50 and maintained an "outperform" rating. "Recent doctor commentary makes us more bullish," said Reddoch. "Also, Amylin's top line will grow 36% from 2006 to 2011, a premium growth rate justifying a premium multiple."

Looking ahead, the FBR analyst said the American Diabetes Association meeting will be a key event for the stock as Amylin will present new data on Byetta as well as the experimental long-acting version, exenatide LAR.

http://www.forbes.com/markets/equities/2006/03/30/amyln-pharmaceuticals-0330markets14.html