(ABBI) - next year's estimates have risen 14.9% to $1.16 per share. The stock is attractively valued at 20.7x next year's estimates

Abraxis BioScience, Inc. (ABBI) has exceeded estimates in 11 out of the past 16 quarters. Earnings estimates have been moving solidly higher. Over the past 60 days, this year's estimates have increased 11.7% to 86 cents per share, while next year's estimates have risen 14.9% to $1.16 per share. The stock is attractively valued at 20.7x next year's estimates, below the long-term growth rate of 22.50%, giving the stock a PEG ratio of 0.92. Full Analysis Abraxis BioScience, Inc. operates as a biopharmaceutical company in North America. It develops, manufactures, and markets injectable products for the treatment of cancer and various life-threatening diseases. The company, using nab platform, developed ABRAXANE product, for the treatment of metastatic breast cancer. The company reported earnings of 37 cents per share for the first quarter, above last year's 33 cents per share. Net sales increased 19 percent to $143.8 million compared with net sales of $120.7 million in the 2005 first quarter. On April 18, 2006 subsequent to the end of the first quarter, APP completed the merger with its parent company, American BioScience, to form Abraxis BioScience. "This has been a transforming quarter for Abraxis BioScience, a quarter that reaffirms our commitment to establishing a company with a unique business model that is poised to be a leading player in this competitive marketplace," said Patrick Soon-Shiong, M.D., chairman and chief executive officer of Abraxis BioScience. "We've moved ahead on all facets of our business. We have completed our merger, announced significant agreements with AstraZeneca that not only double the number of sales representatives selling ABRAXANE and increases the promotional investment for ABRAXANE but also significantly increase our current injectables business, and added to our manufacturing capabilities with the purchase from Pfizer of a European and US compliant manufacturing complex in Puerto Rico. All of these events continue to support our strategic plan to build Abraxis BioScience into a global company focused on critically ill patients." In April, AstraZeneca inked a $200 million deal with Abraxis BioScience to co-promote their cancer drug Abraxane in the United States. AstraZeneca also announced that it was selling its U.S. anesthetics and analgesic products to Abraxis for $350 million. Subject to approval by U.S. regulators, AstraZeneca said it will pay $200 million to Abraxis for co-promotion rights for 5 1/2 years. AstraZeneca will provide sales representatives to support Abraxane and will fund half of the promotional and advertising program. The company has exceeded estimates in 11 out of the past 16 quarters. Earnings estimates have been moving solidly higher. Over the past 60 days, this year's estimates have increased 11.7% to 86 cents per share, while next year's estimates have risen 14.9% to $1.16 per share. The stock is attractively valued at 20.7x next year's estimates, below the long-term growth rate of 22.50%, giving the stock a PEG ratio of 0.92. Note: The Zacks Rank is a very sensitive indicator that can change frequently for an individual stock. The ranks are updated every Monday morning on Zacks.com. As such, it is prudent to check the site for the latest Zacks Rank on the stocks highlighted in this section. Simply click the link for the stock or enter the symbol in the ticker entry box in the upper left hand corner of the web site. Content Courtesy: Zacks Investment Research #1 Ranked Stocks Highlight Archive To truly take advantage of the Zacks Rank, you need to first understand how it works. That is why we created the free special report: Zacks Rank Guide: Harnessing the Power of Earnings Estimate Revisions. Blog Home