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What: Shares of Questcor Pharmaceuticals (Nasdaq: QCOR ) jumped as much as 17% today to fresh all-time highs after the company reported upbeat sales of its multiple sclerosis drug Acthar.
So what: The company shipped 1,800 vials of the drug in June, bringing its quarterly total to 4,710. That represents a 15% sequential increase relative to the first quarter. Paid subscriptions also rose to between 400 and 410, up from 339 in April and 365 in May.
Now what: Following up the optimistic figures, Jefferies is increasing its price target from $56 to $60, saying the 1,800 in shipments implies $111 million in sales, notably higher than the $103 million consensus that the market is looking for. The company has repurchased more than 3.7 million shares for $156 million during the quarter and still has about $114.7 million in cash and equivalents. Questcor also noted that its channel inventory was a bit higher than usual in the first quarter, and that level has come back down in the second quarter, a good sign for its actual sell-through with its distributor to specialty pharmacies.
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