BOE Research Services, Inc. has upgraded VIVUS, Inc. (NASDAQ: VVUS) to a Buy rating. VIVUS, Inc. reported revenue of $4.44 million for the third-quarter, an 82.6% year-over-year decline.
The company reported R&D spending of $17.17 million, a 10.2% year-over-year increase. The company also reported a sharp increase in interest expense to $1.27 million, which was largely due to the Deerfield financing costs. The company had a net loss of $0.30 per share in the quarter.
According to BOE Research Services, the continuous stream of positive news flow from VIVUS’s pipeline should generate interest in the company. The company has managed to double its cash balance to $200 million following the recent share issuance.
The company is trading at a 36% discount, according to BOE Research Services. According to the research firm, the company commands a Buy rating due to the positive risk to reward ratio at current levels.
