NEW YORK (GenomeWeb News) – Shares of Myriad Genetics climbed more than 17 percent today after the firm reported fourth-quarter earnings that beat analysts' consensus estimate, and the company's shares received an upgrade from an investment bank.
Myriad reported after the market closed yesterday that its Q4 revenues increased 33 percent to $86.1 million and its net income was $23.6 million, or $.24 per share, down from the fourth quarter of 2008, but beating analysts' consensus estimate of $.22 per share. It also said in a statement accompanying its financial results that it was comfortable with analysts' estimates for fiscal-year 2010. Analysts, on average, expect 2010 revenues of $389.8 million and EPS of $1.42.
The results led investment bank Canaccord Adams to increase its rating on Myriad's stock from "hold" to "buy," with a price target of $35.
The Salt Lake City-based molecular diagnostics firm had announced in early July that its fourth-quarter and full-year 2009 molecular diagnostic revenues were going to be lower than previously expected. As a result, its shares sank around 18 percent at the time.
In mid-afternoon trade today, Myriad's shares were up $4.50 at $30.38.