Jefferies Financial Group Inc.Too Many Adverse Factors Downgrade Icon PLC (ICLR.US) Rating to "Hold"

Analyst David Windley of Jefferies Financial Group Inc. has downgraded the rating of Icon PLC (ICLR.US) from "buy" to "hold" and has lowered the target price from $220 to $175. Windley currently believes that Icon PLC is facing too many unfavorable factors, therefore no longer recommending the stock, even though the stock price is "cheap," performance expectations may still be lowered again. Jefferies Financial Group Inc. states that ongoing channel surveys show that Icon PLC's wallet share is decreasing, weakening the momentum gained from winning four collaboration agreements since the merger with PRA Health. Jefferies Financial Group Inc. also indicates that cancellation orders from customers in the third quarter may be close to $1 billion, and this number may remain high in the fourth quarter. Icon PLC is a clinical research organization that provides outsourcing R&D services to the biotechnology, pharmaceutical, and medical device industries. The company focuses on managing, developing, and analyzing clinical development projects. The company's business spans across Ireland, other regions in Europe, and the United States.