IDPH announced a stock split when the stock was around 120 the last time. Now the stock is at 140 and it makes sense that IDPH should announce a split if they want to keep the stock rolling forward. Other biotechs such as Medimmune and Immunex are doing splits and so it would make sense for Idec to do the same.
Besides, a high stock market valuation (or strong stock performance, if you prefer) helps to attract and retain top talent. And provides the currency to make strategic acquisitions. I would be very surprised if the company does not use a stock split to propel its stock higher. And if IDEC does not make an acquisition in the next few months.
I understand the sentiment on this board for another split. But IDPH's management has been consistent in managing this company in the way that has made the most business sense, without undue concern for what the stock price is doing. Indeed, I suspect that IDPH's management is even a bit uncomfortable with the present lofty valuation of the stock, given that a portion of it has to do with the popularity of the biotech group, as opposed to current or even projected earnings. This is not to say the company will not perform exceedingly well in the future - it is just that it is easier to exceed market expectations if the bar is not set too high. So I would be really surprised if a split is announced so soon after the last one. I would also be surprised if an acquisition was announced, given IDPH's propensity for developing internal value. However, I am almost ALWAYS surprised by mergers and acquisitions, as they typically occur in places that I am not looking (and don't occur where I am). There are several attractive, 2nd tier biotech companies with extremely promising pipelines that would make a good fit to IDPH, so a well-considered acquisition that fits the company business could be a major positive for the future.
Corrchess, I agree---- even though a split makes us feel good, it is kinda early. Let the stock rise and hold for a while. Us long term holders feel better about that than the gratification of a stock split. What do you think D. Sage Bye