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Fly News Breaks for August 26, 2016
INSY
Aug 26, 2016 | 08:58 EDT
Janney Capital analyst Ken Trbovich said he thinks it is "highly unlikely" that Illinois' Attorney General will succeed with her proposal to ban Insys Therapeutics from doing business in the state, pointing to the fact that a similar attempt by Massachusetts in 2014 was struck down by a federal judge. This story, and the trading in its wake yesterday, clearly indicate Insys has headline risks from ongoing state and federal investigations, acknowledged Trbovich, but he thinks the risk will be eliminated by a settlement for an amount the company can manage from its existing cash. The analyst keeps a Buy rating and $22 fair value estimate on Insys shares, which fell about 4.6% yesterday to close at $14.98.
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