A lot of push and pull on this stock - I guess the push back down is the shorts trying to get out a good price before ZIOP goes to 20 - and this is probably the last few days to do so, and then other good news may come out.
Wow...next time I look to buy a pharma company I best do my due diligence of potential deals that they are considering which looks like a hail mary play to stay in the game - that said, while I think this sell off is due to most thinking 1) they over paid for PCYC significantly - if and that is a big if - that it produces the results that it set out to do so, then it should be able to recover - the only short term recovery I see in this stock is if analysts come out and due an analysis of this deal more thoroughly and conclude that though it was clear over paid, it was necessary to stay in the game ....this was my worst pick of the year - biggest lost in shortest period of time too...
Despite the dovish stance - Bonds are at multi-year highs - TLT is 8 pts away from its high again, and though the cry that negative rates in EUROPE will cause inflow into bond market - I do not see that happening, if best, they will put it in depressed equities first or U.S. global equities first - TLT moved a remarkable 4 points in 3 days - which is nearly unheard of for this ETF movement - if it does attempt a new high, I feel that it may touch 120 first before doing so - could be wrong but that is my analysis. Plus every Bull Bond is out there pushing bonds on the same principle - so too many pushing onto one side sets up typically for a move to the downside first.....remarkable last three days though.
Now that we witnessed pretty much all who is going to sell - and see support around 44-45, you can understand weak hands selling into the close, there is no doubt that G-PRO links up with TWITTER or FB or another social media site - and cross-sells - 44-45 is a good deal - but don't get upset with me when it is back at 80 and you refused to buy in after today's 11% on sale gift.
not sure how it would work - but makes for an interesting combo - or if FB buys it.
Attach your data to this enormous generalization that the vast majority of people in the US have heart disease or will as well as the global population - I am not disagreeing with you, I am saying back up what you say with actual data - then perhaps, EW will meet its number. People can still change and often due to a health scare - regardless of their age in life.
The growth of EW is based on its heart valve product but it also assumes with an aging baby booming populations that all will have some level or a greater level of heart disease. I would be curious to know what if people are not eating as much red meat, or their heart is in better shape, far better, than would require the use of any type of valve - so while the company is indeed interesting, it is banking on the fact that millions of people will eat poorly and end up with heart disease requiring some level of treatment that EW offers. We respectfully disagree. People are far more aware of what they eat, and Americans are getting healthier - in the interim, we would rather look at health company that focuses on stem cell research - that is the way of the future - EW NEEDS people to be ill and poor eaters - and therefore, at this time, we would consider analyst' numbers based on poor eating being a U.S. and global epidemic -- in order for EW or even MDT to make their numbers in their future.
The other issue with EW - is that another company could come along and make a compatiable heart device and that competition (which is probably being developed right now) - once made public, will at the very least, bring EW back down to reality. EW does not have a lock on the device that they create, but at the moment, it is one of the better selling devices out there. So, the barrier of entry is easy, but the question remains, can a similar device be made by a competing company. My guess is Yes.
EW appeared to present a strong quarter, but has a history of having amazing weeks followed by consolidation and going lower - retest in this case in the 105-100 region, before considering what is legit. We are not saying that this stock could go higher, but for reference, take X (U.S. Steel), which when it was allegedly firing on all cylinders went from 28-46 and then back down to 30 - that was after MS and others were calling for 60 PT, here we have MS calling for 120 PT, when in fact, today, we were less than 2.5 pts away from their PT. My thesis is that EW is both a buy and a sell. Today, was a mix of short covering and good earnings, some wanted in, and some need to cover, that perhaps shorted it at 98 - thinking the retest would be closer to 80 -- which it where the stock may have gone if they had missed earnings - that being said, we would not at all be surprised to see a retreat back to 105-100 area in the next two weeks, followed by a stronger finish (maybe 120 plus) before year end.
Zillow will revert at the very least to 100 by end of July. Nothing but a mark up for fund managers who all jumped in to say they were in the "hot" real estate stock for their clients - gains booked - some will be taken today. We expect as a steep of a decline as incline. Yet, we will see. Lots of trickery out there.
This is typical Wall Street - now the entire group of institutions are ganging up on this stock saying its fair valuation is 33, but the S&P without QE fair valuation is 1000, the point is watch the option market today, because in the short term, there are a lot of option call buyers at the Jan(2) weekly 68 strike, and even more on the Jan 80 (regular expiration). I have no doubt that this stock will be volatile.....but I am not convinced it is going to 33, I think more like 58, and then buyers will step back in and drive it back to 75 to 80 before earnings. Just my view from the side now.