I own 5k shares at around 1.90 and well don't expect much chance to recover that price anytime soon. Oil will rebound from here, but the outlook for the next year or two is not good. The hedges will become less valuable after this year as previously they were hedged at 80 and 90 vs today's prices. Also, a reverse split to occur in the next 6-12 months. I'm thinking this is a sell on the next runup towards $1. I'm just glad my position is small in nature so I've been patient. But, still I think $5k is better now than waiting for $3k in a year. Thoughts?
I don't know..check your diaper. In all seriousness, this stock is doing as expected which is why I got out a while ago. It will continue to slide down over time as all small biotechs do until and if they deliver. Nothing is wrong here vs when the stock was at 5 or 6 or #$%$ just time and more cash burn. A year from now stock could easily be sub $3 or plus $10. More likely bet is sub $3, but if you get lucky plus $10. This is that kind of stock, not a safe steady company.
I knew PGH would pass PWE, but this is not what I had in mind lol. Reverse split will most likely happen, but that is no big deal. The big issue is how long can PGH survive if oil stays sub $40 or even sub $50? Hedges help, but debt and losses will mount. It's getting to the point where they are almost better off shutting down production, and selling off all its assets.
If PWE is $1.35 virtually with little hedging then PGH is worth $2 at least. This anomaly will self correct with either a major pullback in PWE or huge runup in PGH or some combo of 2. Trade accordingly...
That is not good..$44.20 for a stock that was in the $70s and had an offer close to $90. How this can trade at $44 or whatever it does is beyond my understanding. I see earnings above $4 and growth in the mid teens and would expect a PE of 15-20, and it's under 10. I don't see how this continue. Either earnings have to drop or price makes no sense.
The good news is shareholders won't tolerate a stock under $60 for long so either current mgmt makes it happen or they will be ousted. By rejecting the Teva deal they are saying we are worth more than they offered . So any share price below the offer will bring resentment from shareholders. Some of us are willing to wait and see what happens in the next 6-12 months. But, if the stock is not close to $70 within the next year I think current decision makers will need to be replaced. If they can deliver $100 stock in 3-5 years they get to stay. Otherwise changes will happen and buyout could be back in play.
The stock will set a new 52 week low in the next few months. This climb doesn't really make sense other than maybe because of all the sales people believe they will liquidate the company and look at the book value. If that happens that could yield some gains. I don't see that happening and I think they are selling their best assets to pay down debt and stay afloat. Hardly, a sound long term strategy. I own PGH which is also getting hammered, but they are hedged and not forced to sell their best assets yet.
I supported Mylan in their decision to fend off Teva bid, and pursue Perrigo. However, how can they expect to get a deal done with a meaningless premium they offered to Perrigo. I'm a little bit ticked off now..I'm willing to forgo the quick buck off the Teva deal because they felt going for Perrigo was the right direction. What kind of offer is this, and what is the real plan here. Bottom line is they turned down over $80 a share and now stand at under $50. The only way they could do this is if they felt the stock would be worth much more than $80 in the next year or two. Otherwise, there was no reason to fend off Teva. I'm going give this until next week, but mgmt have some explaining to do.
I bought at what I thought was a bottom..1.91..so all the way down from $3 every drop could be a bottom..you never know. Personally, I'm thinking of selling and taking my small loss. Not sure this has hit bottom yet.
I thought it would bounce once it hit under $2, but to see it go down this much seems irrational. Company is trading as if it's about to go out of business which is not going to happen. So if you have the stomach add here. I went a safer route and added MYL today instead. But, looks very tempting to buy at these levels.
It's not likely, but you never know. What I do know is that ABT trades at almost same price as MYL even though they have almost half the EPS and less growth. Granted not the same animal, but sure seems to me MYL is a steal at these levels.
Sentiment: Strong Buy
I would only trade stocks like this for a quick buck. I find stocks with microcaps under $100 are usually not worth the risk. If you want speculation with a little more substance I would consider SGYP or ONTY.
Look the strong market was holding this above $5 for the last month or two. The recent pullback has sent this back to $5, and I believe the near term bottom is around $4.50 at worst. Again, the stock will continue to trend downward until results of most recent tests are known. Then if they are strong stock will pop up nicely and could become a strong stock again. Stocks like ECYT trade on momentum and testing data. The fact that ECYT is under $5 does not mean it is bad news. It just is how biotech stocks trade when they are in this window.
I still like ECYT and hold a small position. It is speculative in nature so don't look at this as a secure investment like I feel MYL is and why I backed up truck on that today and not ECYT. That said if things go well ECYT will be worth well north of $10 in 2-3 years. Take a look at a stock like CMRX and these 2 stocks were close to same value 1 1/2 ago and if ECYT realizes its potential could trade with this sort of market cap. Of course if the results are not strong enough than it will trend towards $4 or lower. Clearly, the risk reward is favorable at these levels and I would consider adding some here if it's in your risk profile to do so.
I guess if you feel management is making the wrong decision than it probably doesn't make sense to hold on to shares long term. I initially bought on the buyout offer. However, I feel that rejecting the offer indicates management feels the company is worth more than $88 per share. So I see shares trading down under $60 and feel it's a great opportunity to get shares at a super discount. Teva would not have offered this much money if Mylan wasn't worth at least that amount. The share price may not reflect $88 today or even in 6 months, but I believe at these prices the stock is a great buy and will reward investors nicely over time. If management increases the Perrigo offer and feels it is the right decision I will support it myself.