I would like to hear from people who have an interest in Glax Wellcome. My wife urged me to invest in the company when it was around $22.00. I finally bought shares at about twice the price. I hate it when she is right!!!!!!
Like the last response, I have owned GSK for a very long time. At one point, several years ago, the stock hit $70 per share. I was tempted to sell it then, but hung on because I was an employee of the company and knew there would be long term benefits to owning the stock. I regretted that decision since.
I have now watched GSK stock stagnate and I mean really stagnate for several years. But then I started to have some fun with my stock position based on some great advice from a person who posts here once in a while...BUFFIN...BUFF explained that GSK is a channel stock and was perfect for playing the Covered Call game. So I learned about selling Covered Calls and have been doing that over the past few years. I have since reduced my holdings of GSK by 2/3 and have a few shares left that I still play the options game with. I think my time of owning GSK stock will be over in a month as the last covered call I sold has a strike price of $40. I may cave in and keep my stock by buying back the $40 call, but right now, I am thinking, I've had enough of this stagnating stock. It's not much fun anymore.
I am in the same boat. My wife is an RN and heard about Glaxo before the merger with Wellcome. I could have gotten in at around 13, but I followed my broker's advice and not my wife's. I kick myself now. I did get in at around 35 though. My wife says that she thinks they will split. My btoker says "no". Who should I believe?
Buy!Buy!Buy! Remember when Merck went into the 20s with it pain killer. People with who are diabeic have more Heart attacks any way. This drug save lives. Glaxo is a great company.
I own the stock
I bought at 25, 36, 41 with dividend reinvestments I'm watching the value accumulate. I first bought on aids treatment research that I had read. I guessed right on this one! I'll sell 1/2 if it reaches the high 50's or 37, keeping the rest for posterity.
Glaxo is in a solid spot right now. I have invested plenty over the past year and it has really paid off. I bought back when it was half the price at what it is now. Then again when it was in the 30's. I am positive it will hit the 50's by early next year. Smart move pal - just don't panic with the market's volatility. Glaxo is a leader in R&D and started way before all the others realized they were no longer competing with only their patents.
As a doc, it seems like a good company at a reasonable price.Welcome's AZT and 3TC have become two of the standard 3 drug cocktail that is state of the art and standard of care for AIDS, which now is supposed to be treated full bore from the time of diagnosis.
Even if you buy generic AZT, they still sell you 3TC because without it the virus quickly becomes resistant to AZT. Wellbutrin is the under-rated antidepressant people were afraid to use for years since early reports of seizures. However, the FDA is showing confidence by permitting Glaxo to sell it as a treatment for quitting smoking (for which it seems to do much better than nicotine patches) and psychiatrists have used it for years as the anti-depressant of last resort -- the drug often works
on depression when nothing else will.A new slow release preparation further educes any risk of seizure -- I think other doctors will come back to using it too. And antidepressants are still one of the biggest categories in general use. Glaxo's stock dropped a couple bucks the other day on the British withdrawl of troglidazone (WLA's new drug for diabetes) which Glaxo plans to co-market. At first blush, the liver business looks way overblown -- one death and about 1% incidence of reversable enzyme
abnormalities in just about a million patients.The drug does something for diabetes that no other drug does -- and will allow a lot of people to avoid the hated insulin syringe. How they get five bucks a pill sort of beats me, but hey, -- and there's a new study showing how good Glaxo's serevent inhaler is (the one the HMO's have kept off most of our market). Glaxo is not the zantac dependent, one drug outfit it once was.