JPMorgan downgrades Amag to Underweight on product uncertainties
JPMorgan analyst Jessica Fye downgraded Amag Pharmaceuticals to Underweight from Neutral and lowered her price target for the shares to $18 from $20. The analyst sees "uncertainties across multiple product lines" that she believes will lead the stock to underperform following Amag's Q3 results and preliminary negative 2019 profit view. Supply issues add a wrinkle in the Makena outlook, Fye tells investors in a research note. The analyst admits, however, that the company's ultimate 2019 financial results "may not be quite as bad as feared" and that the stock is "fairly washed out." Nonetheless, Fye views Amag as a "show me" story with 2019 set up as an investment year.