Biotech Updates

Analyst: Akshay Srivastava
05/12/16

Biotech/Pharmaceuticals

Merck(MRK):

-       Merck announced their earnings this week, they were slightly disappointing reflecting lower sales than were expected.

-       This caused a slight decrease in the stock, so now Merck is trying to emphasize their Acquisition activities; their trying to get market share for their new hepatitis C drugs.

-       Merck is down but still showing signs of rebounding

Gilead(GILD)

-       Gilead also released disappointing earnings this week

-       Caused a pretty significant drop in their stock, people are recommending to buy Gilead right

-       Fun Fact: Bernie Sanders is supporting an act that limits the prices companies like Gilead can charge in California that would cripple their drug industry, caused a bit of an investor spook.

-       Gilead is doing poorly right now they’re down because of earnings and the recent attacks on the pharmaceutical market in general.

Teva(TEVA)

-       Teva also disappointed on their earnings(seeing a common thread in this market?), however they are quickly rebounding this week.

-       The reason for this is that their earnings reported that their primary source of revenue, the generic drugs, are suffering.

-       TEVA dropped but is bouncing up this week

IHF

-       Our favorite ETF is failing us!

-       Okay not really, but IHF isn’t doing so hot this week, dropped around 3 points

-       This isn’t serious, they’re a good ETF, just reflecting the bad times in the industry right now.