Exelixis, Inc. – Nasdaq: EXEL
Genentech’s announcement to stop charging Exelixis, Inc. some expenses under their collaboration agreement sent EXEL shares almost 15% higher today. Exelixis Inc. is a San Fransico, CA-based biopharmaceutical company that develops molecular therapies with the potential to improve the treatment of cancer.
Exelixis and Genentech have shared promotional costs since commercial activities were initiated in early 2013. As detailed in previous regulatory filings, Exelixis charged its Profit and Loss Statement approximately $38 million for promotional costs through the third quarter of 2016. With the new approach that Genentech has adopted unilaterally, Exelixis’ liability for promotional costs will be reduced to approximately $15 million for the same period. Exelixis Inc. will not have to pay$18.7 million in disputed costs, and Exelixis will receive $7.1 million for expenses they had already paid – plus interest.
Six firms follow Exwlixis, INC. All six rate shares of EXEL as a “String Buy” The consensus price target is $21.
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|Last Price a/o 4:00 PM EST||$ 17.58|
|Average Volume||5.98 million|
|Market Cap||$4.93 Billion|
|Shares Outstanding||280.3 million|
|Share Float||260.59 million|
|Short Interest Ratio||2.84|