Of course, a more convincing demonstration of neutrality would have been to simply leave the recommendation unchanged. I think the arbitrageurs had settled the price here at 52, anticipating offers in the 55-60 area. Sometimes those evil geniuses at G-S just do stupid stuff.
Come to think of it, no one with a brain in his/her head (or more correctly, no one with $1,000,000 to gamble) would do anything that stupid. At best, I'd guess that you bought some cheap puts. If so, I think you bought them too soon.
Shorting a much ballyhooed stock which has just made a new high going into the sessions where they'll be peddling the next round of options strikes me as foolhardy. Where are your stop losses? I'd set them at no higher than 100.60.
Well, seeing that the stock rallied strongly on options expiration, I would be a bit cautious at this point. Not that there are huge amounts of money at stake, but because it makes sense whether you're buying 10 shares or 10,000. The stock may advance to 100 (or beyond) on Monday as folks roll over into the next round of options, essentially betting on it to go over 100, or to 105 or 110 in the next month. Then I would expect it to fall back a bit. Personally, I think that it will move back to 97.50. So, I would put in a limit order for 5 shares @ 97.50 (mark the order "GTC" or "good til cancelled"). If the stock moves below 97.50 that during the next weeks, you'll get your shares. If that happens, I might put in a similar order for your other 5 shares at, say, 96.75. Of course, if the stock shoots straight through 100 to 110 and stays there, I will have given you very poor advice.
The Europeans have a fairly rational way of looking at drug prices: QALY, or quality-adjusted life years. Essentially, a formula which estimates how many years a drug adds to patient's lifespan and what is the quality of those years. A $60,000 drug which only adds three months of poor quality to a terminal cancer patient would be less attractive than a $60,000 drug which might add 5 years of marginally higher quality for many and 3 years of dramatically higher quality for some. Under this yardstick, Sovaldi is not as expensive as many other drugs.
Yes, Martin is down to a mere 4.4 million shares. And Bischofberger is only holding 2.2 million. I would also point out that, given California tax law, it's sensible to sell your shares as soon as you exercise the option.
It's obviously worth north of $4 right now. Yes, they sat on the bid until the civilians threw in the towel. And guess who picked up those positions. As I've said before, I don't trade options, but sometimes I'm tempted. The most you could have lost was 12 cents on that one.
You are all much more knowledgeable about the intricacies of option trading than I am. Which is why I never trade them, although I am often tempted. Those Aug95calls were selling for 12 cents just a few days ago, which is testimony to how effectively they were sitting on the bid. I just look at the nearest major options pricing for clues to what the MM's might be up to. I added GILD shares a couple of weeks ago on the premise that they would take it up close to 95 before expiration. I planned on selling them today, but will now obviously hold on to them. Even if this were to fall back to 95 tomorrow -which I don't believe it will do now - folks will be rolling over into the Sept 97.50's and 100's. This should take the price up to at least 97.50 over the next month. I have been very lucky with this stock. I entered at a split-adjusted price of about 37 in late 2012 and rode it up to 83 in late February of this year, when I guessed that the biotechs were correcting. I fished around for a bottom, making 3 points and losing a couple of points, and finally reestablished my position at 66-67 and added on progressively. I now own a lot more of it than I'd planned to, but frankly see very little else in this market that's nearly as attractive.
The final collapse of DNDN has spurred this poor devil to new excesses of invention: 6 lies in 2 sentences.
Yes, they once again look stupid. It's as if your real estate broker, right after you've given him the listing, ran an ad describing it as "overpriced".
That short-lived spike on Monday, which looked like an attempt to sell stock to the shorts, in actuality would have done them a huge favor if they'd covered and held the stock. This looks like it wants to settle in at 52 for today. Now we are in the hands of the arbitrageurs, which is fine with me.
You seem to be ignoring the fact that Gilead has already faced this problem with Truvada and other HIV drugs. India has a very competent generic drug industry. Basically, if you charge a high price for a lifesaving drug, they will just make it themselves. Better to license it for co-manufacture or cut the price. The alternative garners you a heap of negative publicity and, in the end, no profit.
Well, I had counted on them taking it up close to 95 last week. But now that everyone has given up on that scenario, I wouldn't be surprised to see it happen this week. They were sitting on the bid @ 93 and 93.25 today. Let's see where they open it tomorrow. I'm guessing above 93.50.
93.50 puts them in play, I think. Wouldn't be surprised to see it go there today, even in the face of a declining market. (The deterioration of the 10 year today pushing it down, IMO.)
Yes, and now that everyone is giving up on them, they will be bought by the large holders. Watch even the Aug95's today, which have gone from .12 to .16 over the last hour.
Are you referring to Nero, the Indian Prime Minister, or Nehru, the Roman emperor?
Somehwere in India, a snake charmer is reading about an evangelist in West Virgina who died after being bitten by a rattlesnake which he had draped around his neck and thinking, "Holy Krishna, these people are ignorant!"
If you clowns lived in India, you would be railing against the various preferences which are provided for the lower castes. (Yes, there is a longstanding policy of "affirmative action" in emplyment and education.). Incidentally, the current prime minister of India, Nahendra Modi, is a low caste Ghanchi. But feel free to disregard facts. If it's not on Fox News, it can't be true.