Morgan Stanley Initiates EW Rating For AMAG

Morgan Stanley has issued an Equal-Weight Rating and $17 PT for AMAG Pharmaceuticals (NASDAQ: AMAG).

Morgan Stanley writes, "We are assuming coverage of AMAG with an EW rating and $17 PT. Feraheme, an intravenous iron (IVFe) approved in ‘09 to treat iron deficiency anemia (IDA) associated with chronic kidney disease (CKD), is AMAG's sole value driver. We model ~$130mn peak US Feraheme sales. Feraheme faces a number of growth hurdles going forward, and until we see a sig. inflection in sales, we would remain on the sidelines."

AMAG closed at $17.11 yesterday.