If your here only because of the buyout prospects you are an entirely different Investor than I. My first shares cost me about $4 considering the two splits they have had in 5 years. The average analyst target is $50 not $40, your not trying to mislead are you? If you had been in this stock for more than a couple of weeks you would know the analyst are always behind on that number and its meaningless.
What happens if they play hardball and the buyers give up? Than we hold a company with predicted 30 % a year growth and several possibilities in the pipeline. Care to name another company with similiar PE and growth projections?
Stock is up 900% in the last five years. You don't think that's a good track record? A year or two ago I read an article that listed it in the top ten stocks for returns over a ten year period.
Every small to medium size bio is a takeout possibility and rumors are common. It can boost the share price for a time but in the long run its still the companies progress that will either support that price or not. MDVN has done a great job in developing itself and has a very bright future. They certainly do lack in the area of self promotion and their investors relations is zero. I have attempted to call and email them a number of times and get no answer and no reply.
Convincing shareholders to take a $52.50 buyout when the stock is currently at $60 will be quite a feat. Lowball offers tend to alienate sellers.
They received a big milestone payment for achieving a certain amount of sales last year. I believe it was 170 million and paid in the fourth quarter. Their first quarter is traditionally low. They explain it every year but I don't follow the lingo, sounds like a common issue with prescription drugs. JNJ already released their sales and the numbers for Zytiga were lackluster so there is hope Xtandi has picked up the slack. I would look for a beat and the earnings call should be very interesting.
Clearly they will listen to offers they feel are reasonable. Sanofi, instead of acting like a spurned child, should make another offer. Of course they started so low and are now making threats so perhaps they will not answer their calls.
Yes those big holders are very upset at the 950% return in the last five years. Of course people who show up late to the party such as yourself worry about minute to minute profits.
U.S. cancer drug maker Medivation Inc (MDVN.O) has decided to explore a sale following a $9.3 billion acquisition offer from France's Sanofi SA (SASY.PA) and interest from other companies, people familiar with the matter said on Monday.
Pfizer Inc (PFE.N) and Amgen Inc (AMGN.O) are among the companies that have signed non-disclosure agreements with Medivation, which allow them to obtain confidential information about the company, the people said.
Sanofi made its bid for Medivation public on April 28, complaining that the San Francisco-based company was refusing to engage in negotiations. There is still no certainty that Sanofi's competitors will press ahead with bids for Medivation, the people cautioned.
The sources asked not to be identified because the deliberations are confidential. Medivation, Sanofi, Pfizer and Amgen declined to comment.
(Reporting by Greg Roumeliotis, Carl O'Donnell and Lauren Hirsch in New York and Pamela Barbaglia in London; Editing by James Dalgleish)
Absolutely agree. They did not want to sell but with Sanofi threatening them they thought they would at least pick their acquirer. Sanofi became rather pushy and obnoxious ( of course they are French) so good riddance to them.
Dr Hung's future is bright. First of all he owns 100 million in stock. I imagine there are some options as well. He also has the midas touch. I would love for him to somehow maintain one of the other compounds to develop. If he starts another public company I will seriously consider following him although I would not blame him if he bought an island and sipped champagne all day..
Clearly you have no clue. They are in discussion with two companies, at no time did they say they would not entertain a reasonable offer, and they turned down a ridiculously low bid from a third. Now explain again how you lay blame on the board that is performing their fiduciary duties, what is it you are blaming them for? Turning down Sanofi? Seeking full value for the company they represent.
They do want to go it alone as they feel they can deliver more value that way, that doesn't mean they won't entertain serious inquiries which they are now doing. They were not actively seeking a sale so when someone came in with a lowball offer they blew them off. That happens in the sale of any product. If someone knocks on your door and offers you a lowball price for your house, which is not for sale, do you invite them in for negotiations? I still await your explanation for how the board blew it. It seems they have already gotten the price up another billion and a half over Sanofi's offer.
It all depends on if there is more than one interested (and serious) bidder/buyer. With only one I would look for $70 with two or more $75+. If they all back out I would see dropping to low 50's with a long steady climb over the next year or two up to $70 on its own.
Not much of a pipeline? MDVN has two other late stage drugs as well as potential expansion of their approved blockbuster. You're not going to get something promising for cheap. GILD needs to ramp up as its revenue going forward is flat.
Current revenue is already prices into stock. Most Investors look towards the future and expect growth. The larger the company the more difficult it is to have meaningful growth. The five year forecast for GILD is flat and compared to most every index, sector or biotech stock it looks like dead money. If its a dividend you seek perhaps a nice utility company, even they show a bit of growth potential.