Personally, I think even 7% capacity growth is going to be difficult for them unless a whole lot of pilots miraculously appear.
The fact that all of the airlines jumped at precisely the same moment suggests a "fat finger" event to me. Some trader accidentally entered a buy order for a few million shares of same airline ETF. Just guessing, but in my IRA, I'm selling into this.
Someone here is posting that this is due to the Southwest Chairman saying they planned to cap capacity growth at 7%, But that news is almost a week old. Still trying to find out what is happening.
In any event, an unpleasant surprise for all of those who short the airlines as a hedge against oil.
I don't see any announcement about May load factors or traffic, so perhaps this has something to do with restrictions on foreign carriers?
What you say is generally true. Particularly when a large number of options are about to expire near a popular strike, they will tend to get dragged toward that price. This doesn't require manipulation on the part of the MM's. The options holders themselves create this phenomenon as they try to take their profits. (The knowledgeable ones usually having already taken their profits well in advance of the expiration.) However, in the case of EXEL, this effect should be slight. The only substantial options position, the 3.50 calls, represents less than 1% of the float. Meanwhile, 25% of the float is short. If the stock were to gain some upwards momentum, I think, the washing out of the short position would more than offset the "max pain" effect.
Wasn't Rasmussen the pollster who predicted a big win for Romney? I'd say that demographics is not his strong suit.
Useful objective analysis. I own both ZSPH and RLYP, but am relatively overweight RLYP. I am thinking of readjusting the balance here.
Frankly, I didn't even know that Menieres trial data was in the offing. I wouldn't look for it to go up to 28 real soon. I added a few more shares today at 23.58. I wouldn't be surprised to see it drop back down to that level again, and if it does I'll add some more.
Well, I would stick my toe in cautiously for some additional shares here. But I wouldn't double down just yet.
Terrible news. At this rate, they may not be able to pay off all their debt in 2015. Although, on the plus side, the recent weakness has lowered the p/e to a fairly reasonable 4.3.
Excellent analysis. Instead of anticipating a quick double on a buyout - which I don't think was realistic, given the multitude of HepC players - we now have the prospect of a longer term play. Fine by me.
Well, look at it as a secondary priced at 12.25. It may not get all the way up there right away, but it should move closer to 12 than 10, I believe.
Once again, in the interests of accuracy, I have to point out that Rep.Waxman was largely responsible for the Orphan Drug Act and the Ryan White CARE Act which mandated treatment for HIV. Without the latter, Gilead could not have prospered as it has. He was also instrumental in the expansion of Medicare and Medicaid, which has helped enrich the healthcare industry. The fact that he is retiring and is now positioning himself as a advocate of affordable healthcare - no doubt anticipating some nice lobbying assignments for HMO's - should not diminish the fact that he helped make it unaffordable.
JNJ is buying 18 million shares @ $12.25. It seems to me like the opportunity to buy shares from disappointed longs at 10 - 10.40 is attractive. I think this may open closer to JNJ's price tomorrow.