First Albany cut its investment recommendation on Amylin Pharmaceuticals (AMLN ) to underperform from neutral.
Analyst Lucy Lu said the company's 65 cents third quarter earnings per share loss exceeded her 52 cents loss estimate, and its $18 million in Byetta sales were below her $28 million estimate. The company's Selling, General and Administrative expenses of $52 million topped her $45 million estimate. She noted that this was Byetta's first full quarter on the market; while still early in the launch, prescription data suggest that the Byetta sales growth rate was slower than her previous estimates. As such, she cuts her $43 million fourth quarter Byetta sales estimate to $40 million, and also reduces her 2005 to 2008 U.S. Byetta sales estimates to $66 million, $260 million, $360 million, and $467 million from $78 million, $350 million, $597 million, and $767 million, respectively. She also widened her $1.75 2005 loss estimate to a $1.89 loss and her 44 cents earnings per share 2006 loss to a $1.59 loss.