Ackman is going to take this company private with a group of investors. Makes no sense to remain a publically traded company right now. The stock already dropped 50% prior to this "new" phildor news. Phildor is a fraction of the revenue, so they potentially misstated a fraction of a fraction of shares. I'm going to jump in tomorrow on the weakness.
IMO, the CVS news is much bigger
lot of idiots out there. The CVS is a bigger deal. More bad news that's going to let everyone buy this stock on the cheap. I hope that they don't get bought out at $50, that would be tragic, since they are worth way more than that currently. This is a great example of how inefficient the market is. None of the recent news affecting VRX has anything to do with CXRX. They don't use specialty pharmas.
My guess is that Ackman and a bunch of his cronies are going to take this stock private since it's become so cheap. The lower this goes, the more likely that scenario plays out. The only reason these stories are blowing up is because they are publicly traded. Stock already went down almost 50% on the phildor news. Phildor only represented a fraction of their sales.
What a joke.
indeed. VRX at current pricing is trading at 9.5 times earnings for next year. CXRX is trading at 4.5 times earnings for next year, minus any of the pricing risk and political risk. They are a freaking Generic drug company!!!!!
they completely sold out of the first round of TE sticks. I think we are at a point of major overreaction to something everyone has been asking for since 2010-11. Good riddance to Darren.
If it was trading at the same valuation VRX currently has, it would be a $60 pus stock.
I think they are setting Karen up for success, so she can take the credit on tomorrow's conference call. New beginning for the company, under new and better leadership. There is no way they don't clear $75 million in sales, should be more like 85 million.
If it was a bad quarter, why wouldn't Darren have left already? They just announced the earnings date. I'm sure this has been in the works for a while, and now they are going to let Karen enjoy one of the best quarters in the companies history.