New User:

-or-
Username:
Password:
Forgot your password?

Stock Market & Financial Investment News

News Breaks
June 10, 2014
12:13 EDTABBV, MRK, GILD, IDIX, ACHNAchillion surges after FDA lifts hold, buyout speculation continues
Shares of hepatitis C treatment maker Achillion (ACHN) are rising dramatically for a second day after Merck (MRK) yesterday announced that it would acquire another company in the space. Meanwhile, Achillion announced today that it had received favorable news from the FDA about resuming certain clinical trials and added that it had begun a Phase I trial of one of its hepatitis C, or HCV, treatments, ACH-3422. WHAT'S NEW: Achillion is rallying for a second straight day after Merck announced that it had acquired Idenix (IDIX). Like Achillion, Idenix is a smaller company that has developed HCV treatments and, also like Idenix, one of Achillion's HCV treatments is a nucleotide. Achillion earlier today announced that the FDA had removed its clinical hold on sovaprevir. As a result of the FDA's decision, Achillion will be able to conduct clinical trials of the drug, the company stated. The FDA placed a hold on the drug last year after a number of patients developed elevated liver enzymes while taking it. Also today, Achillion announced that it had begun dosing patients with ACH-3422 in a Phase I clinical trial. ANALYST REACTION: In a note to investors earlier today Edward Tenthoff, an analyst at research firm PiperJaffray, wrote that today's news positions Achillion as a takeover target. Additionally, the company could develop a nucleotide HCV treatment that is competitive with Gilead's successful Sovaldi, Tenthoff wrote. However, Tenthoff believes that potential buyers of Achillion may wait for more data on its products to be unveiled later this year before looking to bid. The analyst kept a Neutral rating on the stock. WHAT'S NOTABLE: Gilead and AbbVie (ABBV), whose stocks fell yesterday after Merck announced its acquisition, were defended today by RBC Capital and BMO Capital, respectively. RBC Capital expects sales of Gilead's Sovaldi to come in well above consensus estimates for 2015, potentially enabling the company's EPS to reach $8-$10. The market expects the sales of all HCV treatments to drop significantly in 2016, but the firm does not agree with this outlook and kept an Outperform rating on Gilead. Meanwhile, BMO Capital defended AbbVie. BMO still believes that the size and durability of the HCV market and AbbVie's franchise are underappreciated. The firm sees Merck as a significant competitor in HCV, but added that the potential of the assets it acquired from Idenix is "uncertain and somewhat risky." BMO kept an Outperform rating on AbbVie and continued to identify it as a top pick. PRICE ACTION: In early afternoon trading, Achillion surged 54% to $6.54. The stock had advanced more than 47% yesterday. Also near noon, Gilead rose 0.7% to $79.54, while Abbvie fell 0.9% to $53.38.
News For ACHN;GILD;ABBV;IDIX;MRK From The Last 14 Days
Sign up for a free trial to see the rest of the stories you've been missing.
1 | 2 | 3 | 4 | all recent news | >>
December 8, 2014
16:24 EDTMRKOn The Fly: Closing Wrap
Stocks on Wall Street were lower amid another drop in crude oil prices, which tumbled to five-year lows. The market opened slightly lower following weaker than expected data from China and Japan, with nothing of note on the domestic calendar to get buyers involved in the day’s activity. Near noon, the averages gained downside momentum and though the market pared its losses several times, it was never able to gain any steam to pull the indexes back into the green. ECONOMIC EVENTS: In the U.S., no major economic data was released. In Asia, Chinese exports rose 4.7% from a year earlier in November, which missed the consensus estimate for an 8% increase. Chinese imports fell 6.7% from the prior year last month, compared with projections for a 3.8% increase. Additionally, Japan's revised third quarter gross domestic product estimate showed the economy shrank more than initially thought, with growth contracting an annualized 1.9%. COMPANY NEWS: Shares of Cubist Pharmaceuticals (CBST) surged $26.24, or 35.29%, to $100.60 after Merck (MRK) agreed to acquire the maker of next-generation antibiotics for $102 per share in cash, or $8.4B and the assumption of $1.1B in debt. A number of other antibiotic makers also climbed, including Tetraphase (TTPH), which rose $2.45, or 8.82%, to $30.24, and Cempra (CEMP), which advanced $1.64, or 11.37%, to $16.06, while shares of Merck finished fractionally higher, adding 39c, or 0.63%, to $61.88 following the deal announcement. MAJOR MOVERS: Among the notable gainers following their presentations at the American Society of Hematology, or ASH, annual meeting were Calithera Biosciences (CALA), which gained $2.38, or 22.52%, to $12.95, and Acceleron Pharma (XLRN), which jumped $5.11, or 13.6%, to $42.67. Among the noteworthy losers was McDonald's (MCD), which fell $3.70, or 3.84%, to $92.61 after the Dow member reported a 2.2% decline in global same-restaurant sales in November. Additionally, the fast-food giant warned that its fourth quarter results would be hurt by its sales pressures, supplier issues in China and a stronger U.S. dollar. Also lower were shares of Liquidity Services (LQDT), which plunged $2.77, or 27.0%, to $7.49 after the company disclosed that Wal-Mart (WMT) had terminated a deal to provide it with surplus merchandise. INDEXES: The Dow fell 106.31, or 0.59%, to 17,852.48, the Nasdaq dropped 40.06, or 0.84%, to 4,740.69, and the S&P 500 slipped 15.06, or 0.73%, to 2,060.31.
16:24 EDTMRKAmgen initiates new combination trial for talimogene laherparepvec with KEYTRUDA
Subscribe for More Information
16:00 EDTGILDOptions Update; December 8, 2014
Subscribe for More Information
13:12 EDTMRKMerck paid full price but made good deal for Cubist, says UBS
Subscribe for More Information
12:40 EDTMRKOn The Fly: Midday Wrap
Subscribe for More Information
12:25 EDTMRKAntibiotic makers rise after Merck agrees to buy Cubist
Subscribe for More Information
11:49 EDTACHNAchillion December volatility elevated
Subscribe for More Information
10:02 EDTGILDGilead presents follow-up data from Zydelig registrational studies
Subscribe for More Information
08:32 EDTACHNTrout Group to hold events at ASH 2014
Subscribe for More Information
08:30 EDTMRKMerck says deals with Cubist includes $250M break-up fee clause
Subscribe for More Information
08:21 EDTMRKMerck says looked at all risks, including patent litgation, before Cubist deal
Subscribe for More Information
08:11 EDTMRKCubist volatility elevated into Merck acquiring for $8.4B in cash
Subscribe for More Information
08:08 EDTMRKMerck says about $9.5B of debt to be issued related to Cubist deal
Subscribe for More Information
07:35 EDTMRKAdvaxis reports FDA acceptance of IND application for ADXS-PSA combination trial
Subscribe for More Information
07:13 EDTMRKMerck to host conference call
Subscribe for More Information
07:01 EDTMRKMerck to acquire Cubist for $102 per share in cash, or $9.5B
Subscribe for More Information
07:00 EDTMRKMerck to acquire Cubist for $102 per share in cash
Subscribe for More Information
06:12 EDTACHNStocks with implied volatility above IV index mean; LULU ACHN
Stocks with implied volatility above IV index mean; lululemon (LULU) 53, Achillion (ACHN) 216 according to iVolatility.
December 7, 2014
16:29 EDTMRKMerck in discussions to buy Cubist for $7B, Bloomberg reports
Subscribe for More Information
12:58 EDTMRKMerck presents KEYTRUDA data at ASH
Subscribe for More Information
1 | 2 | 3 | 4 | all recent news | >>

Sign up for a free trial to see the rest of the stories you've been missing.

I agree to the theflyonthewall.com disclaimer & terms of use