UPDATE: Oppenheimer Assumes Medicines Company at Perform Rating on Valuation

In a report published Friday, Oppenheimer analyst Akiva Felt assumed coverage on Medicines Company (NASDAQ: MDCO) with a Perform rating.

In the report, Oppenheimer noted, “We are assuming coverage of The Medicines Company (MDCO) with a Perform rating as we believe current valuation levels accurately reflect our expectations for MDCO's commercial and development assets. In the face of declining PCI/PCTA procedures, we believe further Angiomax growth will largely be driven by price increases vs. increased penetration. However, we expect Angiomax to provide solid cash flows to fund BD activities. MDCO's lead development assets, Cangrelor and Oritavancin, may face hurdles to attain management's peak penetration estimates. While the Phase 3 data sets for both assets were promising, we believe commercial uptake may be somewhat challenging owing to a largely overcrowded market (Oritavancin) or one that is dominated by well performing generics (Cangrelor).”

Medicines Company closed on Thursday at $33.00.