Wuxi Pharmatech Inc.'s Strong Performance Increases Estimates

Oppenheimer published its quarterly update on WuXi Pharmatech Inc. WX yesterday and they have increased estimates as well as the price target. Oppenheimer increased their 2011 revenue and EPS estimates by 2.3% and 7.8%. This comes after WX reported 3Q10 revenue of %83.8M which was 5.5% higher than the Street's consensus estimate. Oppenheimer writes, "We believe WX remains a distant leader in China's growing CRO market, well positioned to benefit from global healthcare players' increased outsourcing trend, MNCs' strategic focus shift to China and rising demand for downstream services deriving from the evolving new business model "Made in China, for China." WX maintains an Outperform Rating and has an increased price target of $19.00 from $18.50.