I smell an acquisition coming. The action just flat out just doesn't add up. The stock went under 45 almost touching it's 52 week low the middle of last week. From there it rose steadley to around mid 46. Over the weekend two very good releases come out about superior stents and trilipix. Propel the stock to 48.75. From there it closes down on that very same day (with the rest of pharma) and the market ends the day with a 80 pt gain. Yesterday the market gains 150 and ABT closes down again possibly on the Cellgene warning (if thats what you want to call it)but ABT leads the WSJ money flow /buying on weakness at the end of the day. Then comes today an upgrade, a mild one at that, but at the end of the day an upgrade by citi, up to 47 in the premarket and to close right back to where it was mid of last week before all the good news??? And CELG up two dollars?? And Boston Scientific who was on the losing end (badly) of the stent release up today???? I don't know this sure feels like somebody knows something thats coming down the pike. You know how the individual investor, the small fry is the last to know.To go from yesterday at the end of the day leading the moneyflow to nobody wanting to touch it today after an upgrade just doent make any sense what so ever. I felt great picking this up at 45.22 last week and going into dividend and earnings now I feel like I am being set up for a major fall. Anybody have thoughts on earnings / guidance?
Yeah,, I do.
Read my posts and get education.
It's just ABBOTT at its best:
POS of a stock that never ceases to disappoint.
I have been saying it for years but jackasses will believe what they want to believe....
Just my thoughts.
I don't like all this volume and ending down for the day.
Granted stocks go up and down and tomorrow could very well
be a plus for the closing price.
It has closed from 47.70 on Friday to 46.70 Monday to close
at 45.38 today.
Volume is key, to me it looks like dumping.
The next 10 business days will give a clearer picture.
I think t he street was very worried to hear that ABT was looking at WYE when PFE wanted to buy WYE. Of course, this worry is gone now. Another worry is ABT was about to buy some one else. However, the only company I think ABT is interetsed is Solvay which is put up for sale this week. ABT may be tempted to buy it since ABT has worked closly with Solvay on a drug called Trilipix. IN fact the drug was recently approved. What it is not clear is the details of the agreement between ABT and Solvay. Another important development is ABt has been developing a combination pill with Trilipids with AZN's Crester. The combination pill has shown great promise, and ABT and AZN plan to file FDA approval later this year. ANother big unknown is the detaisl of this agreement between ABt and AZN.
I guess ABT may be or may not be interested in buying Sovay, depending on the detaisl of the two agreements ABt has with Solvay and ABT with AZN. I personallt feel, if price is not too high, ABT should buy Sovay since the combination pill of Trilipids and Crester may have market potential of up to $5 billions a year. However, if ABT is able to own the combination pill without paying for the Solvay, then ABT will probabnly bid for it.
I think the market is way over reacting to the Solvay bid. Aafter all, Solvay is very small, when compared to WYE. Suppose it is 7 billions, ABt shouls be able to pay for it with a combination of cash, debt and stock. Even with all cash and debt, ABT should be able to do it, since they can alwasy sell some of their food business for some quick cash.
In summary, market is way over-reacting to the potential ABT bid for Solvay and the shares should be at least 50! Great buy here! These are just my thoughts.