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Robert W. Baird Cuts SFBC to Neutral from Outperform

Robert W. Baird cut its rating on SFBC International(SFCC) to neutral from outperform, explaining that "material risks have emerged" at the drug development company.

Bloomberg claims to have uncovered evidence that SFBC mishandled a trial in Montreal, allowing a TB-infected patient to inappropriately enter a trial and infect others, among other things.

Analyst Eric Coldwell says that new information gleaned during a recent conference call was "disconcerting." He identified several new misstatements from management that further shake his confidence in the company. He also believes SFBC inappropriately treated patients in Miami.

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