Deutsche Bank Lowers Its PT On Nektar Therapeutics To $14 Following Earnings Report

With a steadily growing royalty stream from 9 products, 6 programs in late-stage development, and a significant early stage pipeline comprised of 9 candidates, Nektar Therapeutics NKTR looks increasingly well positioned to participate in a number of potentially lucrative therapeutic markets in the years to come. Nektar reported a Q4 net loss per share of ($0.11) on revs of $45.3M vs Deutsche Bank's estimates of ($0.10) and $44.7M. Slightly higher revs and lower R&D expense were offset by lower gross margins and higher interest expense. The company ended Q4 with $316M in cash and short-term investments, excluding $220M in net proceeds from the January follow-on offering. Reflecting on management's 2011 guidance, Deutsche Bank is increasing its loss per share projection to ($1.43) vs ($0.82) previously. Moreover, given updated progress for NKTR-102, NKTR-061, and PEG-Factor VIII, the commercialization timelines for these programs appear to have been pushed out relative to prior expectations. It now projects “break out” EPS of $1.06 in 2015. Deutsche Bank lowers its PT from $16 to $14 and has a Buy on NKTR NKTR closed Tuesday at $9.73