Halozyme falls after Morgan Stanley downgrades

Shares of biopharma co Halozyme Therapeutics HALO.O fall 4.5% to $47.98

Morgan Stanley downgrades HALO's rating to "equal-weight" from "overweight"; cuts PT to $62 from $73

The U.S. Centers for Medicare and Medicaid Services (CMS) draft may impact HALO's drug pricing, posing a headwind for hyaluronidase products, brokerage says

CMS said on Monday it would announce a list of 15 drugs eligible for a third round of Medicare price negotiations by early February next year

HALO utilizes hyaluronidase enzymes to develop injectable versions of various drugs

Brokerage says the draft guidance could sway industry incentives and pose a meaningful headwind for hyaluronidase combination products for HALO

Halozyme has risen ~5% YTD, as of last close