SGMO up 20% this morning based on success of genomic program in HIV. SGPG has exclusive partnership to utilize SGMO's gene Rx in hemophilia, etc. Looking like a wise partnership move by Shire
Sold the calls on the brief recovery from that huge drop this morning. Was planning to roll out the calls to Oct expiry but decided to sit and wait out the action today... glad I did.
Been watching the SHPG options and see some activity on the 180 strike calls exp Jul2014... looks like buying since it's close to the ask (along with some selling at the 190/195 strikes). Damm I wish there were LEAP's available on this ticker.
I went longer yesterday. Now levered with some July calls and my core stock holding. Dam I wish LEAPS were available for this stock.
All systems go for 2014
@@@@British drugmaker Shire (SHPG) beat Wall Street's Q4 estimates Thursday morning and said its CFO will step down. Its shares were up nearly 1% in early trading in the stock market today, near 157 and hitting an all-time high for the sixth day in the past seven trading sessions.Shire's profit rose 36% over the year-earlier quarter to $2.26 a share, beating consensus by 24 cents. Sales rose 12% to $1.33 billion, topping analysts' $1.28 billion. The company said 2014 sales growth should be in the mid- to high teens (current consensus is 17%) and that earnings growth should be similar to last year's 23%, implying upside on analysts' estimate of $9.14 a share.
so no bonus application for this ADHD drug... oh well there's still a chance it'll work for bing eating. Anyway, Mr.Market appears to be taking it all in stride.
@@@@Shire plc (LSE: SHP, NASDAQ: SHPG) announces top-line results from two pivotal Phase 3 investigational studies evaluating the efficacy and safety of Vyvanse® (lisdexamfetamine dimesylate) Capsules (CII) versus placebo as an adjunctive treatment for major depressive disorder (MDD) in adults who inadequately responded to antidepressant monotherapy with a SSRI or SNRI. Vyvanse did not meet the primary efficacy endpoint versus placebo for either study. The safety profile for Vyvanse in these two studies appears to be generally consistent with the known profile established in studies in adults with Attention-Deficit/Hyperactivity Disorder (ADHD). Based on these clinical trial results, Shire will no longer pursue this clinical development program. "While this news in major depressive disorder is disappointing for patients and Shire, we will later in the year be filing with the FDA for a new indication for Vyvanse in Binge Eating Disorder in adults, and Vyvanse is an effective and leading treatment for ADHD," said Flemming Ornskov, M.D., Shire's Chief Executive Officer
I sold 20% of my holdings today. The runup over the last few months was amazing... I wonder if it can be sustained.
* Shire : FBR raises price target to $156 from $137; rating market perform
* Shire : Susquehanna raises target price to $175 from $160; rating positive
Gotta admit I'm surprised about the stock action on this news though... almost a complete writeoff so shortly after the acquisition and it's a pretty big hit too... you'd figure it would be dropping not going up.
The new CEO appears to be taking actions quickly and decisively.
@@@@@LONDON (The Deal) -- Irish pharmaceuticals company Shire (SHPG_) said on Friday it had arranged to hand its Dermagraft skin substitute to Organogenesis and take a $650 million loss on the disposal, which unwinds a major part of an acquisition it made less than three years ago. "Following the new strategy we outlined during the first half of last year, Shire has had a renewed focus on operational discipline," said Shire CEO Flemming Ornskov, referring to a reorganization which pooled the R&D functions of three units into a central entity. "As such, we have been prioritizing investments that are of the greatest strategic, clinical and commercial value to our company. Dermagraft no longer meets these criteria and this divestment will allow us to focus our resources on other projects," he added in the statement. Organogenesis, of Canton, Mass., will pay Shire nothing up front but agreed to hand over up to $300 million in milestone payments related to sales targets between now and 2018.Shire will record the $650 million loss in its 2013 fourth quarter.
So is 2014 the year that a very big fish like BMY finally bites and buys SHPG? Back in May when that rumor surfaced SHPG was trading ~90. At a 50% premium BMY could have got it back then for ~140 where it is now. Hey BMY, I'll take the 50% premium now thanks :)