Emergent Biosolutions Inc. (NYSE:EBS) announced that the U.S. Department of Health and Human Services (HHS) issued two solicitation notices with respect to the development and procurement of anthrax vaccines for the Strategic National Stockpile (SNS). The company believes that taken together, these two solicitations represent the government’s intent to establish and maintain a stockpile of anthrax vaccines capable of protecting 25 million people through the continued procurement of 29.4 million doses of BioThrax® (Anthrax Vaccine Adsorbed), the only anthrax vaccine licensed by the U.S. Food and Drug Administration (FDA), and the advanced development and procurement of up to 27 million dose regimens of a next generation anthrax vaccine. The company believes its next generation anthrax vaccine candidate, NuThrax™ (anthrax vaccine adsorbed with CPG 7909 adjuvant), with its intended two-dose schedule, satisfies all the requirements set forth in the HHS solicitation. The timing and requirements set forth in the two solicitations issued by HHS fully align with the anticipated licensure of the company’s new large-scale manufacturing facility, Building 55, where both BioThrax and NuThrax are expected to be manufactured. The company intends to respond to both solicitations to meet the government’s timeline of completing the BioThrax procurement contract award in September and timely completion of a next generation anthrax vaccine advanced development contract award.
“Emergent is pleased to be uniquely positioned to respond to both solicitations issued by HHS that represent the U.S. government’s intent to continue to procure BioThrax and to further develop and procure a next generation anthrax vaccine for inclusion into the SNS,” said Daniel J. Abdun-Nabi, president and chief executive officer of Emergent BioSolutions. “We believe our vaccine candidate, NuThrax, may be distinctly suited to satisfy all of the requirements of the HHS solicitation for a next generation anthrax vaccine. Taken together, we believe the quantities outlined in the two solicitations express the government’s intention of establishing and maintaining a stockpile of anthrax vaccines capable of protecting 25 million people.”
Emergent Biosolutions Equity Analysis
Emergent Biosolutions Inc. (NYSE:EBS) opened trading today as $31.33 and is trading in the range of 29.20-39.21 today. Emergent Biosolutions’ current market cap stands at $1.26 Billion.
Compared to other peers in the Biotechnology sector, Emergent Biosolutions has outperformed in terms of quarterly revenue growth year over year at 0.74 vs. the industry average of 0.19. Emergent Biosolutions’ earnings per share is currently at 1.87, which surpasses the sector average of -0.39.
Emergent Biosolutions is currently covered by 6 Wall Street analysts. The mean target price is $44.20 according to First Call. This presents a solid upside to the current price of the equity. The Mean Recommendation sits at 1.7 which is based on 2 Strong Buy and 4 Buy ratings.
The most recent analyst actions consisted of Chardan Capital Markets initiating the stock on April 15th and Singular Research initiating coverage with an initiation rating back in March.
The current quarter EPS consensus estimate is -0.03 with revenue estimates of 114.62M. Sales are expected to drop at a 9.10% rate. Emergent Biosolutions reported actual earnings last quarter of 0.16 which beat the -0.07 consensus estimate, a 328.60% surprise.
Emergent BioSolutions Inc. is a biopharmaceutical company that offers specialized products to healthcare providers and governments to address medical needs and emerging health threats. The Company develops, manufactures and delivers a portfolio of medical countermeasures primarily for government agencies in the areas of biological and chemical threats and emerging infectious diseases (EID). It also develops and commercializes therapeutics in areas of hematology/oncology, transplantation, infectious diseases and autoimmune disorders. Its two operating divisions include Biodefense and Biosciences.