Here's Why You Should Add ANI Pharmaceuticals (ANIP) to Your Portfolio
ANI Pharmaceuticals ANIP is a diversified biopharmaceutical company developing, manufacturing, and marketing high-quality branded and generic prescription pharmaceutical products. The company has two core business segments — rare disease and generic business.
Currently, ANIP carries a Zacks Rank #2 (Buy).
Below, we discuss a few reasons why adding ANIP stock to your portfolio may prove beneficial in 2023.
Favorable Share Price Movement and Rising Estimates: ANIP’s shares have outperformed the industry year to date due to its lead product Cortrophin Gel’s performance and progress in the generic business segment. Cortrophin Gel is approved for treating certain chronic autoimmune disorders, including multiple sclerosis and rheumatoid arthritis. The stock has rallied 54.0% year to date against the industry’s 13.4% decline.
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In the past 90 days, the Zacks Consensus Estimate for ANIP’s earnings has gone up from $3.31 per share to $4.02 for 2023. The bottom-line estimate has also improved from $4.32 to $4.59 for 2024 during the same time frame.
Rare Disease Segment Driving Growth: The Rare disease segment consists entirely of ANIP’s lead product, Purified Cortrophin Gel. The drug has shown strong uptake since its launch on the back of a record number of new patient additions and new initiated cases. Cortrophin Gel is an adrenocorticotropic hormone, also known as purified corticotropin. In the first half of 2023, the drug generated sales of $40.6 million, indicating a 253% increase from the previous year’s level. This strong momentum in the drug’s sales is expected to continue in the coming quarters. The company raised its 2023 sales guidance for Cortrophin Gel to $90-$100 million from $80-$90 million. ANIP is also looking to increase the scope and scale of its rare disease portfolio through M&A and in-licensing.
Generic Market Potential: ANIP's generics business potentially drives growth through its robust U.S. manufacturing infrastructure and prudent inventory management. By capitalizing on supply disruptions among competitors, the company boosts its production volumes, enhances pricing and improves profit margins. The recent approval of four abbreviated new drug applications (ANDAs), including Colestipol Hydrochloride and Nitrofurantoin Oral Suspension, by its strong R&D organization demonstrates ANIP’s commitment to expanding its generics portfolio, thereby driving growth in this segment.
Encouraging Guidance for 2023: On its second-quarter earnings call, ANI Pharmaceuticals revised its 2023 earnings and revenues guidance. This was due to continued strong performance across all business segments. ANIP expects adjusted non-GAAP diluted EPS in the range of $3.62-$4.11, indicating growth of 166-202% from the previous guidance. Net revenues are expected in the range of $425-$455 million, indicating growth of 34-41% from the previous projection, primarily driven by Cortrophin Gel.
ANI Pharmaceuticals, Inc. Price and Consensus
ANI Pharmaceuticals, Inc. price-consensus-chart | ANI Pharmaceuticals, Inc. Quote
Other Stocks to Consider
Some other top-ranked stocks in the same industry are Anika Therapeutics ANIK, Annovis Bio ANVS and Corcept Therapeutics CORT, each carrying a Zacks Rank #2 at present. You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
In the past 90 days, the Zacks Consensus Estimate forAnika Therapeutics has narrowed from a loss of $1.41 per share to a loss of $1.32 for 2023. The bottom-line estimate has narrowed from a loss of 79 cents to a loss of 64 cents for 2024 during the same time frame. Shares of the company have lost 41.5% year to date.
ANIK’s earnings beat estimates in one of the trailing four quarters and missed the mark in the remaining three, delivering an average negative surprise of 32.12%.
In the past 90 days, the Zacks Consensus Estimate for Annovis Bio has narrowed from a loss of $4.89 per share to a loss of $4.38 for 2023. The bottom-line estimate has narrowed from a loss of $3.18 to a loss of $2.77 for 2024 during the same time frame. Shares of the company have lost 14.8% year to date.
ANVS’ earnings beat estimates in three of the trailing four quarters and missed the mark in one, delivering an average surprise of 13.40%.
In the past 90 days, the Zacks Consensus Estimate for Corcept’s earnings has gone up from 62 cents per share to 78 cents for 2023. The bottom-line estimate has also improved from 61 cents to 83 cents for 2024 during the same time frame. Shares of the company have rallied 62.7% year to date.
CORT’s earnings beat estimates in two of the trailing four quarters and missed the mark in the other two, delivering an average surprise of 6.99%.
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Corcept Therapeutics Incorporated (CORT) : Free Stock Analysis Report
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ANI Pharmaceuticals, Inc. (ANIP) : Free Stock Analysis Report
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