Valeant Analysts Turn on Drugmaker After Record Stock Drop
- Some of biggest bulls cut price targets on the shares
- `We have been humbled by our stock call,' Malhotra says
Valeant Analyst Sees More Downside After Downgrade
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Wall Street analysts’ love affair with Valeant Pharmaceuticals International Inc. is finally starting to fade. On Wednesday, two of the biggest backers of the beleaguered drugmaker pulled their buy ratings on the stock, joining nine analysts who turned against the company after it sank 51 percent in one day.
Shibani Malhotra, an analyst with Nomura Securities, reduced her rating on the shares to neutral, and gave a 12-month price target of $60, down from $175 previously. Meanwhile, Evercore ISI’s Umer Raffat suspended his buy recommendation and $200 target, saying “this one has been nothing short of humbling for me.” Valeant shares closed little changed at $33.54, following Tuesday’s plunge.