Piper Sandler analysts lowered their price target for Collegium Pharmaceutical (NASDAQ:COLL) to $37 from $39 while maintaining their Neutral rating. This adjustment follows Collegium’s second-quarter 2024 results, which saw adjusted diluted EPS of $1.62 on revenue of $145.3 million, slightly surpassing consensus estimates. The company continues to guide 2024 sales in the range of $580 million to $595 million for its pain management business.
The analyst’s revised outlook also factors in Collegium’s recent acquisition of Ironshore, incorporating Jornay PM and its associated commercial expenses into future estimates. While the anticipated EBITDA accretion from the acquisition is acknowledged, the analysts remain cautious about the stock due to upcoming patent expirations. The loss of exclusivity for key products such as Nucynta ER in December 2025, Nucynta IR in January 2027, and Belbuca in January 2027, as well as the patent expiration for Jornay PM in 2032, presents potential risks that could impact Collegium’s long-term financial performance.