2 Biotech Lead 'Best Ideas List For 2012' (VPHM, MNTA)

2012 is already seeing a wave of biotech mergers and many are expecting more mergers and more positive developments in the emerging-pharma sector.  We have featured many top analyst favorite picks and highest upside candidates in biotech for 2012, but Zacks Investment Research has two of its “12 Stocks for 2012” listed in the emerging-pharma sector. Momenta Pharmaceuticals Inc. (NASDAQ: MNTA) and Viropharma Inc. (NASDAQ: VPHM) were on this list, making biotech literally one-sixth of the best ideas for the year.

Momenta specializes in the characterization and process engineering of complex molecules and it is called “up and coming with strong profitability, a clearly inexpensive stock price relative to its industry, increasing sales and income, and analyst stock upgrades.” FULL NOTE ON MOMENTA

Viropharma is into therapeutic products that address serious diseases.  Zacks noted that it is expecting better sales that boosted its stock.  It also noted analyst upgrades and said, “Profitability and margins remain strong and the annual sales should make profits higher as well.” FULL NOTE ON VIROPHARMA

Read Also: Top Analyst Biotech Stocks For 2012

As far as how this compares, see below:

• Momenta shares are at $19.20 against a 52-week range of $10.15 to $21.00, and analysts have a consensus price target of $21.50.
• ViroPharma shares are at $28.00 against a 52-week range of $14.62 to $29.10, and analysts have a consensus price target of $32.15.

JON C. OGG