Amylin Pharmaceuticals Inc. (AMLN)

[SeriousMoney]

Amylin Shares May Hit $100 In 3 To 5 Years
Forbes.com, Peter Kang, 04.07.06, 10:11 AM ET

Morgan Stanley raised the price target on Amylin Pharmaceuticals to $52 from $42, citing strong sales for diabetes drug Byetta.

The analyst lifted the forecasted first-quarter and 2006 U.S. sales of Byetta to $75 million and $383 million, respectively, from $65 million and $348 million, citing current prescription trends and a recent price increase.

"We believe the stock could reach the low $50s with solid data at the American Diabetes Association meeting in June and continued growth trends," the analyst wrote in a Thursday note. "Performance in the second half of 2006 may be more muted as the stock trades on sentiment surrounding the DPP-IV inhibitors."

Harr maintained an "overweight" rating on the stock.

"Long-term, we continue to believe that Amylin could reach $80 to $100 over the next three to five years if Byetta LAR potential approaches our mega-blockbuster beliefs," he said.

Byetta is co-marketed by Eli Lilly. The companies, along with Alkermes, are developing a long-acting version of Byetta.

Elsewhere in the sector, Harr has "overweight" ratings on ImClone Systems, Regeneron Pharmaceuticals, Threshold Pharmaceuticals and ZymoGenetics, among others.

http://www.forbes.com/markets/economy/2006/04/07/amyln-byetta-0407markets03.html