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Concordia Healthcare Corp. T.CXR.R



TSX:CXR.R - Post by User

Comment by adamchesson Mar 28, 2016 8:41am
107 Views
Post# 24704089

RE:The fact is

RE:The fact isThey have confirmed guidance - that is all we need to know. At over $6.00 USD EPS 2016 CXR/CXRX is massively under-valued at current stock price.

YouLose wrote: that Legacy (US) revenue shrunk quite a bit. This is despite Donnatal price increase and hiring a hundred more Donnatal salespeople. Here is the problem. Donnatal is a very old drug, with plenty of newer better competitors products out there. Jacking the price on this gave them a one time revenue boost. Then people look for alternatives. All the other drugs they mention in their price comparison are PATENT PROTECTED. They mention that legacy revenues were impacted negatively by generic competition for ONE of their drugs (and drmatically so). But they can expect generic competition on ALL of their drugs in the near future as the FDA is going to fast track generic conpetition. Not only that, on the other side of the pond we see that those 60 "new product" releases are short on answers and long on BS. They are likely all reformulation. On the bull side I will concede that AMCO revenues exceeded expectations, however if legacy revenues are shrinking at the rate they are AMCO will have to grow as fast or faster to make up for this. I was massively disappointed in the conference call, this group are horrible communicators and do not understand why the market has valued them where they have. It is on management to provide a clearer picture of growth and they have failed. YouLose


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