1.gsk opiate business
4. Merck derma 3 asset
7. 4% stake increase in taro achieved using taro share buyback
Taro's only purchase novexatin has still not moved to phase 2b nearly 1.5 years since its acquisition.
Arguably taro shareholder who has been the biggest beneficiary is sun and Mr. S.
Imo Tarprofitsprofits have kept sun stock high enough which they have usedprofitably in recent buyout of ranbaxy. Also taros cash bolsters suns balancesheet so it can take on debt and make acquisitions still be under leveraged
This is getting ridiculous. $250-$300 stock trading at $140. Only 1 shareholder couldcould be very elated at this
As I have repeatedly highlighted they need to present this story in good light at investment conferences where market makers go like market peers prgo, mylan and actavis do
that is some good news.
example look at ANAC. does it deserve $2.5b market cap? 1 onychomycosis product inferior to novexatin (we will know novexatin topline data hopefully end of the year)
here is a quote from almost a year ago from ontario newspaper
The province is contributing $7 million toward the $247 million project, which will increase Taro's plant capacity by 50 per cent and potentially double the number of products it brings to market. Integrating R&D into the manufacturing process will help the firm boost efficiently and stay competitive.
Through this project, Taro will anchor its facility in Ontario, keeping highly-skilled jobs in the province, reducing supply chain and transportation costs, and ensuring it remains a major life sciences manufacturer in North America.
my speculations (pure speculations and guess), it is possible that they are increasing capacity to supply to other markets
I also believe integrating RandD to manufacturing and increasing speed to market, could greatly increase Taro's competitive advantage.
Ironically this is happening in the market where
1) IPOs are hot...many many egs including godaddy which is up 35%
2) Biotech n pharma stocks are heavily overvalued. Eg: Look at ANAC ..boasting $2.5b mcap with 1 commercial prod n no profits. CEMP trading $1.2b wo p3 data
3) M&A is hot and deal financing is easy to raise
makes me feel there is someother factor here at taro for it to make lows with its strong fundamentals and performance ?
What a mediocre investment it has been over a year in the biggest biotech bull market taro is up ~20%?
$750m cash accumulation over 4 years has not earned anything meaningful over the last 3 years. now ironically n sadly this gunpowder can be used against us.
1.they need only 48 patients for this trial
2. also for the primary outcome, it is Only 28 days.
wondering if they will be able to release any prelim data when they conduct the call in May ? anybody?
interesting. not aware the suits are still pending...its been more than a year. I hope something good comes out of it. IMHO (and also commonsense would say based on "offers") at least one or two minority nominee by a majority nominated board will lend credence to majority-nominated board.
i guess taro is up 28% (not 20% like i mentioned in prior post) in the last year. Compare it with nasdaq biotech index fund IBB up 40% in 260 days.
One reason why this stock trades at these valuations is absence of big stakes by mutual funds.....other small or mid caps have mutual funds in em. Mfs are long term and don't trade in and out like hedgies ( eg bluemountain
QUOTE Bloomberg reported that analysts have said Mylan's bid values Perrigo at 26 times earnings before interest, taxes, depreciation and amortization, which may be too low. Bloomberg stated that its data shows other buyers may be willing to pay more than 30-times EBITA. And it reported that Mylan, which reported $7.7 billion in sales in 2014, "would be a nice fit for Teva Pharmaceutical Industries Ltd."
why not put cmpny on block?
•Some of the top investors at Mylan (NASDAQ:MYL), including hedge fund Paulson & Co, are encouraging its board of directors to consider a takeover proposal from Teva Pharmaceutical (NYSE:TEVA), Reuters reports.
•Yesterday, Teva unveiled an unsolicited $40B takeover proposal for the Pennsylvania-based company, saying the acquisition would create an entity with more than $30B in annual revenue, add to earnings in the first year and generate $2B in annual savings.
valuations are very good for selling at this time. Bloomberg is stating there are buyers at 30X EBITDA for PRGO, a generic pharma.
I strongly believe the scarcity value of taro has increased after the proposed consolidation. Why not put cmpny for sale and capitalize on the rich valuations buyers may offer now ? Anyone?
precisely the point. I believe teva maybe willing to offer taro $300 per share. And it could be win-win-win situation for all. plus with teva , there maybe no ftc concerns (no or less overlap). I just hope some institutional shareholders take this point to our board. better days ahead for everyone
Isn't this strange? Competitor PRGO offered 26X EBITDA. Bloomberg states there will be buyers at 30X EBITDA. There is not single investor or analyst who has come and talked about implications for Taro(trades at 11X EBITDA)..be it how recent mkt positively impacts valuation or how much buyers maybe willing to offer taro if it is put on block.