« Mark on Mark | Main | Controversial Pop-Up Advertiser Dies »

Latest Stories

• Excel Wankers and Recession Averages
• Sorry, New York is Closed. Check Back Later.
• Catching Falling 2009 Earnings Estimate Knife
• Survivorship Bias in Global Markets
• Talking Positions on a Lazy-ish Retirement Portfolio

March 31, 2006

Biovail's Anti-Analyst Tactics Work

Biovail's anti-analyst tactics are apparently working: Banc of America analyst David Maris has dropped coverage. Here is the note from BofA announcing the decision:

Banc of America Securities LLC is terminating coverage of Biovail Corporation (BVF), effective immediately.  On Friday, March 24, 2006, a putative class action lawsuit was filed in the United States District Court, District of New Jersey, naming Banc of America Securities LLC (BAS) among several defendants in connection with research coverage of Biovail Corporation.  While BAS whole-heartedly supports David Maris and the integrity of his research, BAS has elected to terminate coverage of BVF.

These recommendations should not be relied on going forward.

David Maris, the primary analyst responsible for preparation of this research report, is currently named among 22 defendants in a civil action filed in the Superior Court of Essex County, New Jersey by Biovail Corporation and Biovail Pharmaceuticals, Inc. in connection with Mr. Maris’ research coverage of the company.  Mr. Maris is also a defendant in the pending litigation against BAS, cited above.

Valuation and Target Price Analysis: Our target of $27 applies a 40-50% discount multiple (11x) to the sector average (20x) to our 2006 estimate of $2.46.

[via Wall Street Folly]

Sphere It   |   Digg it   |   Bookmark it   |   Stumble it   |   Facebook it