MYL - Embedded Expectations Analysis - 2020 01 28
ï€ Mylan N.V. (MYL:USA) currently trades well below corporate averages relative to UAFRS-based (Uniform) Earnings, with a 7.9x Uniform P/E, implying expectations for profitability to fall to historical lows. In addition, management may be concerned about their merger with Upjohn, cost and revenue synergies, and their biosimilar launchesï€ Specifically, management may lack confidence in their ability to deliver sustainable and more predictable results following their merger with Upjohn, and they may be exaggerating the cost and revenue synergies between the two companies. Moreover, they may lack confidence in their ability to integrate Upjohn, continue to rationalize their product portfolio, and offset LOE headwinds. Furthermore, management may be concerned about their launch of a Herceptin biosimilar, the progress of their EYLEA biosimilar candidate development, and the impact of dated Wixela inventory on gross margins. Finally, they may lack confidence in their ability to sustain recent Wixela market share growth and convert the Neulasta market to biosimilars
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