Stock Update: Avanir Pharmaceuticals Inc (NASDAQ:AVNR)

Avanir Pharmaceuticals Inc (NASDAQ:AVNR) said it priced a new stock offering worth about $200 million.The company is selling 18.2 million shares for $11 each. It will use the proceeds to fund the marketing of its drug Nuedexta and future clinical trials, and launch its experimental migraine drug AVP-825 if that product is approved by federal regulators. Avanir Pharmaceuticals Inc. expects $200.2 million in proceeds before discounts and expenses. The underwriters of the offering have the option to buy another 2.7 million shares in the next 30 days.Stock PerformanceTaking a look at the company’s recent performance, Avanir Pharmaceuticals Inc (NASDAQ:AVNR) reported third quarter earnings for fiscal 2014 on August 5^th. The company reported actual earnings per share of $-0.08 against the consensus Street estimate of $-0.08. Avanir Pharmaceuticals posted revenue of $28.60 million against estimates of $29.46 million. Avanir Pharmaceuticals is currently valued at $2.02 billion and closed the last trading session at $11.78. The stock has a 50-day moving average of $7.38 and a 200-day moving average of $5.39.

Is this a Buying Opportunity?There are currently four analysts that we track that cover the stock. Of those four, all have a Buy rating. On a consensus basis this yields a score of 3.00 and a Buy. The combined price objective of these covering analysts is $14.53, which represents a 26.49% difference to the last closing price. The most recent analyst activity consisted of Mizuho boosting their price target on the company. Mizuho has a price target of $16 which represents an upside of 39% from the last closing price. On the date of the report, the stock closed at $12.49.Another research firm weighing in recently was Jefferies Group who also upgraded their rating on the stock. On Sept 15^th Jefferies Group upgreaded their price target on the stock from $5 to $17, or a 47% upside to the current price. On the day of the report, AVNR shares closed at $12.49.Company ProfileAvanir Pharmaceuticals Inc (NASDAQ:AVNR) together with its subsidiaries, is engaged in acquiring, developing, and commercializing novel therapeutic products for the treatment of central nervous system disorders primarily in the United States. It primarily offers NUEDEXTA, a dual N-methyl-D-aspartate receptor antagonist and sigma-1 agonist for the treatment of pseudobulbar affect; and Docosanol 10% cream, an over-the-counter product for the treatment of cold sores. The company”s clinical development stage products comprise AVP-923, which has completed Phase II clinical trials for the treatment of central neuropathic pain in patients with multiple sclerosis; is in Phase II clinical trials for the treatment of agitation in patients with Alzheimer’s disease; and is in Phase II clinical trials for the treatment of levodopa-induced-dyskinesia in Parkinson’s disease, as well as completed Phase III trials for the treatment of patients with diabetic peripheral neuropathic pain