Alexion Pharma (ALXN): Worst Case Scenario Averted - RBC

RBC Capital analyst, Simos Simeonidis, reiterated his Outperform rating on Alexion Pharmaceuticals (NASDAQ: ALXN) but remains concerned about the tone of senior management. The its BOD investigation found that there was inappropriate business conduct involving “pull-in” sales but no restatement is needed, there will be no change in guidance, and the amount impacted would have only been up to 1% of 2015 sales.

However, the company has missed out on a great opportunity to regain credibility by being more open and more transparent with investors. The very carefully worded press release left the analyst disappointed in the management team and the Board: if there was wrongdoing, why not discuss it a lot more openly.

No change to the price target of $187.

For an analyst ratings summary and ratings history on Alexion Pharmaceuticals click here. For more ratings news on Alexion Pharmaceuticals click here.

Shares of Alexion Pharmaceuticals closed at $139.18 yesterday.

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