Mine is ProFunds Biotechnology UltraSector Inv (BIPIX). GILD #1 holding 12%.
I also have a couple of less exciting biotech MFs and GILD as a standalone, buying on the dips.
Appreciate the summary and go-forward thoughts. Since volume and market share is the new game to drive profits, I was wondering how the Medicaid penetration was. Any information on historical performance or guidance?
Regarding the share price, we seen this movie before. GILD continues to provide nice accumulation buy points over and over again and it continues to see increasing resistance up to the $110 level. I sold a good portion of my position at $106 (bought $79) but now plan to actively play these dips in my retirement account. I'm now a buyer between 95 and 100. Where do you think the new bottom is?
As always, thanks Traderrook and Beeperboy...I appreciate your contributions.
Suggest a broader healthcare play to mitigate some of the risk. healthcare, healthcare IT and associated industries (healthcare facility REITs, medical devices etc.) should remain strong this year IMO.
If you are asking yourself if you have too many shares, you have too many shares. Your gut says sell apparently. GILD earnings time is not for the weak...always unpredictable and usually the action is not supported by the numbers unfortunately,
The only thing you can count on with GILD post-earnings is that they are unpredictable. This is highly manipulated with extreme institutional ownership. Any uptick will be 3-4 pts max and it will close maybe 2 ticks higher.
Agree a divi makes sense given the cash on hand. They will probably start out modest when they decide to move forward. Regarding earnings and valuation, GILD has never "behaved" like the others. Blow out earnings do not always trigger an uptick....we all know that this is a highly manipulated stock with extreme institutional ownership. The best strategy over the last 6 months is active trading (unfortunately I didn't do that). I decided to cash out a portion of my GILD position late last week at $106 (bought at $79). I'm still highly invested in the company though with a significant mutual fund position (FBIOX. BIPIX primarily). Given the unpredictable behavior even with great earnings, this is how I am mitigating my risk. I still believe in GILD long term and will be increasing my position on the dips.
I should have included Traderook in the list. Thanks for the reply. Sorry for the whining....this is the only board that i regularly visit anymore and the pumpers and shorties got to me. BTW, im'm in at $79 and believe this is a good long term investment. Really a crapshoot though regarding post earnings PPS performance. Thanks again all.
...what happened to Sr Cosa, Aka, Raliegh and the others that provided good analytically based positions? What happened to those that analyzed the script numbers? Seems all we have now are pumpers and shorts that do nothing but lay out extreme predictions that have absolutely no basis. I really appreciated the work of those good folks. Current board score: D
Interesting that the discount is in the form of a rebate. This allows ABBV to book the full revenue but have an offsetting expense. This approach ultimately lowers their bottom line. Medicid programs already get a substantial discount on all their drugs....I wonder if this rebate is on top of the required discount. If so, ABBV's profit will be almost nothing.
You really think the market will react to the president bloviating over new taxes and wealth redistribution that has zero chance of being realized?
Per Mark Schoenbaum of Evercore ISI:
Week ending 1/2/15...
Harvoni 6,100 (+13.4%) Sovaldi 2,377 (+17.6%) TRx: 8,477 (+14.5%)
In comparison TRx for ABBV combo came in at 50.
You can draw your own conclusions.
I'll be out of this madhouse after some of the overselling is done and the SP recovers a bit. High 90s would be acceptable. I'm in at an avg price of $79 but was still buying well over $100. The ABBV news was a game changer...I have to rethink everything now. GLTA
Prime Therapeutics manages drug benefits for 25 million Americans on various Blue Cross and Blue Shield plans.
David Lassen, Prime's chief clinical officer, said his company has been "actively in negotiations with both drug manufacturers" and "would be open to the possibility" of giving one of the drugs exclusive access to its formulary for genotype 1 patients.
"We are evaluating all aspects of the opportunity as we speak," he said. The company will make a decision by mid- January at the latest, he said. He would not reveal details of which way the company was leaning on how to cover the drugs.
Sentiment: Strong Buy