Mayne Pharma has completed its response to the US FDA regarding its generic NuvaRing application, although any approval is not anticipated before the second half of 2020.
Meanwhile, competitor Amneal has received approval for its EluRyng, the first generic version of NuvaRing.
UBS had incorporated a 10% market share gain for Mayne Pharma from the second half of FY21 but revises this to around 7.5% based on Amneal’s announcement. This has resulted in earnings downgrades of around -6-9% over FY22-23.
Neutral rating maintained. Target is reduced to $0.49 from $0.54.
Sector: Pharmaceuticals, Biotechnology & Life Sciences.
Target price is $0.49.Current Price is $0.45. Difference: $0.04 – (brackets indicate current price is over target). If MYX meets the UBS target it will return approximately 8% (excluding dividends, fees and charges – negative figures indicate an expected loss).
