Dmitry Vinogradov Barclays downgraded Pacira BioSciences (NASDAQ:PCRX) to equal weight from overweight following the U.S. FDA's recent approval of a generic version of the company's best-selling drug, Exparel (bupivacaine liposome). The firm cut its target price to $25 from $38 (~15% upside based on Wednesday's close). Barclays noted that 78% of the company's revenue comes from Exparel. A decision on a case challenging the drug's composition of matter patent is expected by August 1. Analyst Balaji Prasad said that even if Pacira loses, it would likely appeal the decision or seek injunctive relief to block an immediate generic launch. Although there are other patents protecting Exparel, he added that \"it is reasonable to assume that sooner or later these patents are likely to be challenged too -- with frequent headline risks casting a prolonged overhang on the stock.\"