“Belviq approval is a big win, but is likely fairly valued in the stock at current levels,” wrote JMP Securities analyst Jason Butler, who thinks a fair value for the stock based on Belviq sales expectations is $10.
How this basher calculate the sales from the drug and it is not sold yet.
He just want to bring it to $10 by all means because that is what they want.
JPM just lost $9 billions in trading risky assets. what does that tell you???
Don't trust them.
people, stop complaining and buy if you think the price is too low. I bought my calls back aif the price goes lower, I might buy more stock. Ultimately, they have to execute and ARNA has no commercial track record, and Eisai is not Pfizer, so it's not like there is no risk here. In the longer run they will either be acquired, or valuation will be besed on the present value of future earnings at the appropriate discount rate.
JPM needs to make up their $9 Billion dollar loss from recent bad investments on hedging. They were most likely short on ARNA too.
ARNA sales in revenue will be in the billions of dollars. Ad national sales and it could go beyond you imagination.
All the banks, news media and hedge funds favored VVUS and never wanted ARNA to become the leader. This is one thing they could not control...
"ARNA the 1st Diet drug FDA approved in 13 years".
I personally believe JPM is behind this mess. JP Morgan announces the day before ARNA ADCOM they have lost billions in a hedging fund. Everyone else has a target price of over $20 on this stock but JPM has $10. JPM was betting on VVUS being approved and ARNA denied. They are going to announce very soon that they lost another $9 billion on hedge funds.