Had a call today because I had not voted my proxy which I had just received. Anyone else? I can't remember a call for previous proxies. Just seemed odd.
Shire has lined up a $5 billion credit facility from banks led by Citigroup to finance a takeover offer for NPS Pharmaceuticals, an American developer of a new drug for sufferers of a debilitating bowel condition.
Looks like they beat by a penny. Strong net asset value too. Should move us up today.
S&P CAPITAL IQ UPGRADES TO BUY FROM HOLD ON VALUATION APOLLO INVESTMENT SHARES
(S&P Capital IQ) Print
We are raising our target price by $0.50 to $9 approximately in line with peers and AINV's recent net asset value with a slight discount to the stock's historical valuation. As a closed-end investment company, AINV has an attractive dividend yield at 9.8%, above peers. Even though it has become more challenging to find high yield investments, we believe AINV can find attractive risk adjusted returns to maintain a weighted average yield on its total debt portfolio above 11%. Also, the firm has broadened its investments to senior secured loans and energy investments.
Apollo Investment Corp. (NASDAQ: AINV) was raised to Overweight from Equal Weight at Barclays.
S&P CAPITAL IQ LOWERS OPINION ON SHARES OF BB&T CORP TO HOLD FROM BUY
(S&P Capital IQ) Print
We lower our 12-month target price by $5 to $40, 13.4X our 12-month forward EPS estimate of $2.99 and 2.1X tangible book value per share, multiples slightly above BBT's historical and peer multiples. BBT posts Q1 EPS of $0.69 vs. $0.29, matching our and Capital IQ consensus forecasts. On Q1 results, we see loan growth as not strong enough to offset downward pressure on net interest margin, leading to below-peer revenue growth in '14. We lower our '14 estimate to $2.89 from $3.07. Also, earnings are more dependent on reserve releases than at peers, a negative in our view.
In a report published Thursday, Stifel analyst Amir Arif downgraded the rating on Suncor Energy (NYSE: SU) from Buy to Hold, and removed the $36.00 price target.
In the report, Stifel noted, â€œWe are downgrading SU from Buy to Hold on fair valuation. With the name having essentially reached our target price and now trading at 5.1 2014 EV/EBITDA and 90% of risked NAV, we believe the name is fairly valued in the near term. With the company already showing a greater willingness to return some free cash flow to shareholders (increasing dividends, share buybacks) and with near term production growth already defined (2-3 years), we do not see any company specific drivers to cause a relative outperformance and the name should move with crude oil in the near term. Bottom line, with no company specific drivers expected in the near term and the stock at fair value we are downgrading from Buy to Hold.â€
Suncor Energy closed on Wednesday at $35.31.
Bank of America Reiterates Neutral Rating on Apollo Investment Following FYQ1'14 EPS Report
11:16a ET August 8, 2013 (Benzinga) In a report published Thursday, Bank of America analyst Kenneth Bruce reiterated a Neutral rating and $9.00 price target on Apollo InvestmentÂ (NASDAQ: AINV).
In the report, Bank of America noted, â€œAINV reported FYQ1'14 operating EPS of $0.25, above our $0.20 estimate and Street consensus at $0.20, driven by higher investment income offset by yield compression. Higher dividend income and Other income helped fuel the beat vs. our forecast. AINV's portfolio appreciated nicely and investment activity was robust, with gross fundings reaching their second highest level ever. At the same time, the portfolio yield fell after being stable the last three quarters. Net asset value (NAV) also declined to $8.16 from $8.27, in part due to a $96M realized loss. AINV's FYQ1'14 results show some nice progress, given the healthy investment activity, portfolio growth and better credit, but we remain concerned about falling asset yields. Maintain Neutral.â€
Apollo Investment closed on Wednesday at $8.05.
S&P MAINTAINS STRONG BUY OPINION ON SHARES OF NPS PHARMACEUTICALS
(S&P Capital IQ) We keep our 12-month target price at $14. Q4 net loss of $0.14, vs. $0.10 loss, is narrower than our $0.17 loss view on lower costs. We narrow our '13 loss forecast $0.08 to $0.19, and raise '14's estimate by $0.18 to $0.43 EPS. Despite recent volatility, the shares remain significantly undervalued, in our view. Although we see limited visibility into the nascent Gattex launch until the second half of '13, we are encouraged by reports of favorable payor reception of Gattex's premium price. With $100M in cash, we see NPSP as solidly funded to execute on the Gattex launch.
Sentiment: Strong Buy
Bought some today thinking that the selling was the panic variety. The yield alone is worth taking a shot at these shares. Share price should go up once the panic subsides. Good news is no loss of life & environmental damage seems minimal.
Prudent move to decrease divvy to .20. I'm surprised by the NAV decrease. More prepayments than new loans but loan demand appears to still be there. If someone can listen to the CC please post anything new.
Good info. Much better thought out than the Jeffries analyst. Good time to lock up some shares for long term.
I saw the downgrade Friday on my TD Ameritrade account. I would expect further selloff Monday after S&P's action regarding USA. May buy some more at the right price.