Bausch Health Companies (BHC, Financial) and its subsidiary Salix Pharmaceuticals have successfully defended against a legal challenge brought by Norwich Pharmaceuticals. The U.S. District Court for the District of Columbia has denied Norwich's request for a preliminary injunction, effectively treating it as a motion for summary judgment, in their lawsuit against the U.S. Food and Drug Administration (FDA).
Norwich sought a court order declaring the FDA's decision to grant tentative approval to their Abbreviated New Drug Application (ANDA) for XIFAXAN 550 mg. They claimed the FDA's actions were arbitrary and capricious, particularly in relation to their failure to declare that Teva Pharmaceuticals USA (TEVA) had forfeited its 180-day exclusivity period.
Norwich aimed to compel the FDA to grant final approval for its version of XIFAXAN 550 mg and argued that the FDA's current stance would prevent them from marketing their product until at least June 29, 2028, contingent upon Teva's planned product launch in January 2028.
The District Court's ruling favored the FDA, Salix, and Teva, dismissing Norwich's claims and closing the case. Bausch Health expressed satisfaction with the court's decision and emphasized their commitment to ensuring continued patient access to XIFAXAN.
Wall Street Analysts Forecast
Based on the one-year price targets offered by 6 analysts, the average target price for Bausch Health Companies Inc (BHC, Financial) is $8.58 with a high estimate of $12.00 and a low estimate of $7.00. The average target implies an upside of 66.83% from the current price of $5.15. More detailed estimate data can be found on the Bausch Health Companies Inc (BHC) Forecast page.
Based on the consensus recommendation from 6 brokerage firms, Bausch Health Companies Inc's (BHC, Financial) average brokerage recommendation is currently 3.2, indicating "Hold" status. The rating scale ranges from 1 to 5, where 1 signifies Strong Buy, and 5 denotes Sell.
Based on GuruFocus estimates, the estimated GF Value for Bausch Health Companies Inc (BHC, Financial) in one year is $8.80, suggesting a upside of 71.04% from the current price of $5.145. GF Value is GuruFocus' estimate of the fair value that the stock should be traded at. It is calculated based on the historical multiples the stock has traded at previously, as well as past business growth and the future estimates of the business' performance. More detailed data can be found on the Bausch Health Companies Inc (BHC) Summary page.
