3.05k followers • 31 symbols Watchlist by Yahoo Finance
Follow this list to discover and track stocks that have set MACD bullish crosses within the last week. A bullish crossover occurs when the MACD turns up and crosses above the signal line. Our algorithms use 12,26,9 as MACD parameters. This list is generated daily and ranked based on market cap. This list is generated daily, ranked based on market cap and limited to the top 30 stocks that meet the criteria.
AbbVie stock has sported an attractive dividend yield since its 2012 spinoff from Abbott. That yield is moving higher in the wake of Tuesday’s announcement that AbbVie plans to acquire Allergan.
On June 21, CenturyLink stock closed the trading day at $11.34. On the downside, the company’s immediate support lies near $11.26, while $11.42 could act as an immediate resistance level on a daily basis.
(Bloomberg) -- AbbVie Inc. has agreed to pay $63 billion for rival drugmaker Allergan Plc, the latest merger in an industry where some of the biggest companies have been willing to pay a high price to resolve questions about their future growth.Allergan will get $188.24 a share in cash and stock, according to a statement announcing the deal, a 45% premium to its closing price on Monday. AbbVie declined as much as 15% to $65.56, the biggest intraday drop since 2015. Allergan shares climbed as much as 30%.The proposed takeover offers a solution to long-standing challenges at both companies. AbbVie gets a set of products big enough to diversify its revenue from Humira, the rheumatoid arthritis injection that is the world’s biggest-selling drug worldwide, with about $20 billion in sales last year. Allergan, which is heavily reliant on the wrinkle reducer Botox, will get a profitable exit for shareholders after a four-year slide.“This is a good alternative for Allergan versus the current share price,” said David Maris, an analyst with Wells Fargo.The expected cost savings from the deal will buy both companies more time but not solve their long-term issues. Both of their blockbuster drugs have begun to face pressure: AbbVie may be nearing the limits of how far it can boost Humira’s price as cheaper competitors come to market, a problem Allergan is already grappling with as more alternatives to Botox emerge.The companies have developed several potentially promising medicines for a range of diseases, though so far none have convinced investors that they can attract the vast pool of patients that take medications like Humira.The drop in North Chicago, Illinois-based AbbVie’s shares Tuesday is a sign that the takeover may not sail through without challenge. Earlier this year, Bristol-Myers Squibb Co. faced opposition from some top investors to abandon its $74 billion acquisition of Celgene Corp. The deal eventually won the backing of a majority of shareholders, but Bristol-Myers shares are still trading well below their pre-deal value.Size ScrutinyOn a conference call announcing the deal, AbbVie Chief Executive Officer Richard Gonzalez, who will lead the combined company, said the transaction should ease concerns about future competition to Humira, adding that the drug is lucrative enough to bankroll the purchase of its eventual successor.“This is a transformation transaction that provides important strategic benefits for both AbbVie and Allergan,” Gonzalez said. “This will have a profound impact on AbbVie’s overall growth story.”Gonzalez said on the call with investors that the transaction “isn’t highly dependent on pipeline.”The deal is evidence that even the world’s biggest drugmakers believe they can get bigger. Along with Bristol-Myers’s deal for Celgene, Japan’s Takeda Pharmaceutical Co. earlier this year completed a $62 billion takeover of Shire Plc. A combined AbbVie and Allergan will have sales of about $48 billion, the companies said in a statement, making it one of the biggest in the industry.The combinations have also begun to attract the notice of antitrust authorities. On Monday, Bristol-Myers said that it had agreed to divest one of Celgene’s top products, the psoriasis pill Otezla, in order to appease regulators at the U.S. Federal Trade Commission. While there are few major areas of overlap between Allergan and AbbVie, the deal is almost certain to get a careful look from regulators.One drug considered to be a contender to replace some of Humira’s sales over the long term is AbbVie’s Skyrizi, a new psoriasis treatment that many patients may find more convenient than Humira, as it needs to be injected less frequently.“Patients love Skyrizi, it’s a big contender,” said Mark Lebwohl, the Waldman Chair of Dermatology at the Icahn School of Medicine at Mount Sinai in New York. “It’s four shots a year and appears to be incredibly effective. AbbVie already knows how to sell this drug.”Back to the U.S.The deal will return Allergan to the U.S., at least for tax purposes. While the company is run from New Jersey, it moved its domicile to Dublin in 2015 via another merger, partly to take advantage of lower corporate rates abroad. The 2017 U.S. tax overhaul cut corporate levies to 21% from 35%, which reduced incentives for companies to relocate overseas.AbbVie currently pays far less in tax than that, however, and has said it will have an effective rate of 9% this year. It has projected its effective rate will rise to 13%.Allergan CEO Brent Saunders had spent months turning over plans for the drugmaker’s future as its stock price dropped from a 2015 peak of almost $340. Those options included selling off the company’s gastrointestinal drugs or women’s health unit, which would have left it more focused on its profitable medical aesthetics line that includes Botox.AbbVie said it expects at least $2 billion in annual pretax synergies and other cost reductions in year three of the deal.Allergan holders will receive 0.8660 AbbVie shares and $120.30 in cash for each share they hold. AbbVie will take on Allergan’s debt, which totaled about $24 billion at the end of the first quarter.Two Allergan directors, including Saunders, will join AbbVie’s board after the purchase is completed, according to the statement. Gonzalez said on the call that he intends to stay with the company at least through Humira’s loss of exclusivity in the U.S.The deal is expected to close in early 2020, the companies said.Morgan Stanley & Co. acted as AbbVie’s financial adviser and Kirkland & Ellis LLP and McCann FitzGerald were legal advisers. JPMorgan Chase & Co. was AbbVie’s financial adviser, and Wachtell, Lipton, Rosen & Katz and Arthur Cox gave legal advice.(Updates shares trading in second paragraph.)\--With assistance from Marthe Fourcade, Liana Baker and Cynthia Koons.To contact the reporters on this story: Rebecca Spalding in Boston at firstname.lastname@example.org;Riley Ray Griffin in New York at email@example.comTo contact the editors responsible for this story: Drew Armstrong at firstname.lastname@example.org, Timothy Annett, Mark SchoifetFor more articles like this, please visit us at bloomberg.com©2019 Bloomberg L.P.
Teva and Mylan stock were both up about 2.5%. Other specialty and generic drugmakers did even better. Mallinckrodt and Bausch Health sported gains of nearly 3% and 6%, respectively.
(Bloomberg) -- AbbVie Inc.’s deal to buy Botox maker Allergan Plc for $63 billion is reviving excitement on Wall Street for makers of specialty and generic drugs, at least for today.For now, investors are shrugging off concerns surrounding the opioid crisis and highly leveraged balance sheets to rush back to drugmakers ranging from flailing Teva Pharmaceutical Industries Ltd. to Endo International Plc in the aftermath of AbbVie’s deal as they position for the next multi-billion dollar deal.Shares of drugmakers jumped early Tuesday, led by a 4.7% advance for Endo and a 3.2% gain for Teva. Peers like Mallinckrodt Plc, Mylan NV, Bausch Health Co, Perrigo Co., and Jazz Pharmaceuticals Plc traded higher as the market saw small losses.The relief rally couldn’t be better timed for an industry that has seen share prices crater to five- to 20-year lows across the board as concerns from opioid liability to sinking generic drug prices and pressures from the White House pushed investors to the exits. But with valuation being the main driver for potential investor interest, Barclays analyst Balaji Prasad advised investors to “resist the temptation” in a note earlier this month.The announcement split Wall Street analysts with Cantor analyst Louise Chen saying the deal brings Perrigo into light as a potential target “given their move toward pureplay consumer and an activist shareholder in the stock.” While Citi’s Andrew Baum disagreed, calling the deal more AbbVie specific “rather than heralding a broader wave of large cap M&A across the sector.”It’s worth noting that the large cap-skewed Nasdaq Biotechnology exchange-traded fund, (IBB), rose 0.9% after the open, while the equal-weighted SPDR S&P Biotech ETF (XBI) gained close to 1% in a sign that investors are expecting a further uptick in deal volume for the blossoming biotech sector. Biogen Inc. -- one of the drugmakers that investors now think may fit the profile of a company looking for a rescue -- outperformed, climbing 4%.(Updates share movement in third paragraph, adds analyst commentary in final paragraph.)To contact the reporter on this story: Bailey Lipschultz in New York at email@example.comTo contact the editors responsible for this story: Catherine Larkin at firstname.lastname@example.org, Scott SchnipperFor more articles like this, please visit us at bloomberg.com©2019 Bloomberg L.P.
The biopharmaceutical company AbbVie plans to acquire Allergan, the maker of Botox, for approximately $63 billion in cash and stock.
(Bloomberg) -- The lifeline thrown to Allergan Plc investors looks like a loss for one investing legend -- and a gain for another.Seth Klarman’s Baupost Group stands to lose about $100 million based on AbbVie Inc.’s offer price for the botox maker. David Tepper’s Appaloosa Management would gain about $87 million, according to regulatory filings.Baupost owned 4.8 million Allergan shares at the end of the first quarter at a cost basis of $208.61, data compiled by Bloomberg show. Under the deal announced Tuesday, investors in the company would get $188.24 a share in cash and stock.Klarman initiated the position by purchasing a $461 million stake in the first quarter of 2016. Back then, Allergan was on the verge of a merger with Pfizer Inc. That deal fell apart and the shares plunged 22% during the final nine months of 2016.Tepper’s Appaloosa held a stake of 3.13 million shares in the first quarter at a cost basis of $160.61 a share.That gain didn’t come easy. Over the last year, Tepper has waged an activist campaign against Allergan, calling for the company’s board to separate the chairman and chief executive officer roles. Tepper has also been critical of the company’s strategy.Representatives for Baupost and Appaloosa weren’t immediately available to comment.To contact the reporter on this story: Brandon Kochkodin in New York at email@example.comTo contact the editors responsible for this story: Alan Mirabella at firstname.lastname@example.org, Vincent BielskiFor more articles like this, please visit us at bloomberg.com©2019 Bloomberg L.P.
(Bloomberg Opinion) -- When the maker of the top-selling arthritis drug says it’s buying a leader in anti-wrinkle treatments, you’d be forgiven if your initial response to the news was that it seems like a match made in heaven. But take a closer look, and AbbVie Inc.’s $63 billion purchase of Botox maker Allergan Plc isn’t such a perfect fit. AbbVie is desperate for diversification as sales of its $19 billion arthritis blockbuster Humira begin to slow; in Allergan, it has the opportunity acquire a rival at a relative bargain. Even at a 45% premium to Allergan’s closing share price Monday, AbbVie is paying a fraction of what the drugmaker was worth just a couple of years ago, and Botox is still growing.The deal is projected to net big synergies: AbbVie projects cost savings from the combination will plump up its bottom line by $2 billion within three years. But AbbVie's most significant problem isn't the next few years. It's figuring out how to grow when Humira's sales take a real dive starting in 2023. It’s not clear that Allergan will be much help there, and the early reaction from AbbVie shareholders suggests they have doubts:The long-term outlook for Botox is a matter of debate. The toxin, which is used to both smooth wrinkles and treat migraines, has impressive brand recognition and a solid grip on the market. But a cheaper competitor on the market from Evolus Inc. was recently approved, and another from Revance Inc. has produced compelling data and is on the way.On top of that, there’s a new class of preventative migraine drugs on the market, which could pressure Botox’s market share from a different angle. Botox has held up so far. But these pressures are only going to increase over time, and its best days of growth are likely in the past. There’s a decent chance that its sales will flatten just as Humira’s begin to crater when biosimilar copycats hit the U.S. market in 2023.Then there’s the question of what AbbVie gets outside of Botox from Allergan’s pharmaceutical business. The fit is questionable; AbbVie is principally focused on cancer and drugs for inflammatory conditions like arthritis. Allergan doesn’t add anything significant there. So is the quality. Aging products, questionable deals, and research failures have battered Allergan’s stock to the point where investors have been calling for a breakup of the company or a change in management. Allergan has a few growing marketed products, including gastrointestinal drug Linzess and anti-psychotic treatment Vraylar. But there’s little in its late-stage development pipeline to get excited about, especially given its poor recent track record in R&D. Allergan adds little in the way of the research capability required to discover new medicines, and that’s by design. The company has deliberately focused on acquiring assets that others have developed. AbbVie’s acquisition track record since it separated from Abbott Laboratories in 2013 is shaky. Pharmacyclics Inc. netted it half of a good cancer drug at a bruising price, and its $5.8 billion acquisition of Stemcentrx Inc. looks like a complete flop. The company’s biggest deal yet may not improve its reputation.To contact the author of this story: Max Nisen at email@example.comTo contact the editor responsible for this story: Beth Williams at firstname.lastname@example.orgThis column does not necessarily reflect the opinion of the editorial board or Bloomberg LP and its owners.Max Nisen is a Bloomberg Opinion columnist covering biotech, pharma and health care. He previously wrote about management and corporate strategy for Quartz and Business Insider.For more articles like this, please visit us at bloomberg.com/opinion©2019 Bloomberg L.P.
According to analysts’ consensus, CenturyLink (CTL) stock has a mean target price of $12.77 and a current market price of $11.35, which suggests an upside potential of 12.5% in the next 12 months.
Allergan shareholders will receive 0.8660 of an AbbVie share and $120.30 in cash, with the transaction expected to complete in early 2020. “We tend to view this transaction as AbbVie specific rather than heralding a broader wave of large-cap M&A across the sector,” said Citigroup. Cantor Fitzgerald said it was “unlikely that anyone else will step in to bid for Allergan at this point”.
Credit Suisse (CS) expects the deal to boost service offerings to asset managers and distributors, and lead to 0.5% increase in return on tangible equity for 2019.
Investors target stocks that have been on a bullish run lately. Stocks seeing price strength have a high chance of carrying the momentum forward.
In the first quarter of 2019, streaming platform Hulu added 3.8 million subscribers in the US, more than twice as many as Netflix's (NFLX) 1.74 million. Hulu’s subscriber base has now increased to 28 million, up from ~25 million in January 2019.
On June 20, CenturyLink was trading at a 12-month forward PE ratio of 8.60x. Charter Communications and Comcast’s 12-month forward PE ratios were 38.15x and 13.65x, respectively.
On June 20, AT&T;’s 14-day relative strength index score was 59, which indicates that the company’s stock isn't oversold or overbought. T-Mobile and Sprint’s 14-day RSI scores were 62 and 64, respectively.
It's only natural that many investors, especially those who are new to the game, prefer to buy shares in 'sexy' stocks...
It's only natural that many investors, especially those who are new to the game, prefer to buy shares in 'sexy' stocks...
(Bloomberg) -- Sign up for Next China, a weekly email on where the nation stands now and where it's going next.The U.S. blacklisting of Huawei Technologies Co. and other top Chinese tech companies is making it trickier for some mobile industry professionals to get down to business.The June 26-28 Mobile World Congress Shanghai, China’s largest forum for the mobile industry, is scheduled to start amid almost daily salvos from the Trump administration aimed at Huawei and other technology companies in the world’s largest mobile phone market.The Trump administration’s blacklisting of Huawei has dominated global industry discussions in past months, as it threatens to upend supply chains and disrupt the global roll out of fifth-generation technology -- an infrastructure spending spree worth hundreds of billions of dollars. U.S.-Chinese tensions are escalating just as carriers around the world such as China Mobile Ltd. and China Telecom Corp. -- set as keynote speakers at MWC Shanghai -- choose equipment vendors for the 5G networks expected to support technologies from remote surgery to automated factories and driverless cars.“It’s quite a sensitive moment,’’ said William Chou, managing partner of Deloitte Private in Beijing, and a scheduled speaker at the conference’s key Global Device Summit session. He said it’s unlikely Huawei and ZTE will want to show off all their latest devices at MWC Shanghai given how the perception that they are ahead of global rivals has fueled tension.The focus will instead be on 5G applications and how the vastness of China’s market is likely to drive development, Chou said.“We really need to understand the market, putting aside the political agenda,” said Chou. “Business is still business, and particularly in this telco area -- telcos and device manufacturers -- they all need to work together.”The Shanghai event is modeled after a bigger annual industry show in Barcelona. This year’s gathering in Spain was also squarely focused on Huawei and China, a nod to the country’s rising global importance and to how the Washington-Beijing dispute is creasing the business environment.“The danger for international companies, especially American companies, is that they are ceding these opportunities to influence the marketplace to non-American companies, which can have knock-on consequences that could be far greater than some had anticipated,’’ said Jake Saunders, a vice president at ABI Research, and a scheduled speaker and moderator at the conference.A two-hour flight away in Osaka, Huawei is also likely to be on the agenda for a meeting between the presidents of China and the U.S. at the G-20 summit.Last week, President Donald Trump said he had a “very good telephone conversation” with President Xi Jinping and said talks will resume before the two meet at the June 28-29 summit. It’s not clear if Huawei was part of their call, but it’s an issue Trump himself has said could be on the table.Trump last year reversed a similar ban on Huawei rival ZTE at Xi’s request. Getting that kind of result now would be significant for Xi because the company is exponentially more important than ZTE, said Samm Sacks, cybersecurity policy and China digital economy fellow at New America.People familiar with the matter on Tuesday said China is considering adding U.S.-based delivery firm FedEx Corp. to its list of so-called unreliable entities. FedEx drew the ire of Chinese officials after Huawei said that documents it asked to be shipped from Japan to China were instead diverted to the U.S. without authorization.What Bloomberg Intelligence says:“China’s early, widespread 5G deployment would entitle it to the spoils of first-mover advantage, including an edge in setting global standards. An aggressive infrastructure and network build-out will be required for a swift rollout, fueling demand for telecom site resources and equipment.”--Denise Wong, BI Infrastructure analyst--Click here for the researchHuawei itself will be out in force at the Shanghai show, based on the lineup at the MWC website this week. Deputy Chairman Ken Hu is scheduled to deliver a keynote and the speaker’s list includes 17 names from the company, including Chaobin Yang, president of Huawei’s 5G product line; Kevin Ho, president of handsets, and Hua Liang, chairman of the Huawei board.As delegates and speakers head to Shanghai, Huawei is said to be preparing for smartphone shipments outside China to drop by between 40 million and 60 million this year. That outlook highlights the uncertainty gripping the company, a Chinese national champion accused by the U.S. of aiding Beijing in espionage -- something Huawei has repeatedly denied.Still, the Shanghai show is on track as planned to draw more than 60,000 attendees from over 110 countries and territories along with about 550 companies, GSMA, the industry group that produces the event, said in an email.Stockholm-based Ericsson AB, a key 5G equipment supplier, is scheduled to field 11 speakers at the event, including Chief Executive Officer Borje Ekholm and Chief Technology Officer Erik Ekudden. Nokia Oyj, another top gear manufacturer, has eight speakers listed on the program website.(Updates with possibility FedEx would be added to China’s list of unreliable entities in 11th paragraph. The date of the show was corrected in a previous version of this story.)To contact the reporter on this story: Dave McCombs in Tokyo at email@example.comTo contact the editors responsible for this story: Sam Nagarajan at firstname.lastname@example.org, Edwin ChanFor more articles like this, please visit us at bloomberg.com©2019 Bloomberg L.P.
(Bloomberg) -- Royal KPN NV Chief Executive Officer Maximo Ibarra is leaving the Dutch phone company less than two years into his job to run Comcast Corp.’s Italian pay-TV unit, according to people familiar with the matter.Ibarra, 50, is set to be named CEO of Sky Italia as soon as Tuesday, the people said, asking not to be identified as the appointment hasn’t been announced. Shares of KPN fell as much as 4% in early trading in Amsterdam.The resignation announced by KPN on Tuesday surprised some analysts given Ibarra’s short tenure, despite Italian newspapers having reported that he was a leading candidate for the Sky role. KPN is now searching for a successor to replace the Colombian-Italian executive, its first foreign CEO, when he leaves on Sept. 30.A spokesman for Comcast referred questions to a Sky representative in London, who declined to comment. Ibarra couldn’t be reached for comment on Tuesday.Ibarra had ambitions to put KPN back on the acquisition trail, people familiar with the matter said ahead of his April 2018 arrival. But a big KPN deal hasn’t happened and he has focused on cutting jobs and simplifying the company’s IT systems, while KPN contends with a tough competitive landscape in the Netherlands that’s spurred mergers among rivals.The departure is a loss for KPN, which will probably appoint an external successor, ABN Amro analyst Konrad Zomer said in a note. He doubted Chief Financial Officer Jan Kees de Jager would become CEO, while calling him “very solid,” and said other board members and senior management might not have the right profile.What Bloomberg Intelligence Says“The resignation of CEO Maximo Ibarra -- while executing his midterm plan unveiled in November -- will dent confidence in KPN’s ability to return to sustainable Ebitda growth. The management-team reshuffle could also create a window of opportunity for a takeover attempt, in our view.”--Erhan Gurses, Telecom analystClick here to view the researchKPN stock surged in late January after people familiar with the matter said Canada’s Brookfield Asset Management Inc. was in early-stage talks to make an offer for company. The fate of those talks is unclear and the Dutch government has since tightened its control over foreign takeovers.The shares are up about 11% since Ibarra took charge, compared with a 10% decline in the Stoxx 600 Telecommunications Index.“The supervisory board regrets but respects Maximo’s decision and accepts his resignation,” Chairman Duco Sickinghe said in a statement from KPN.The company said Ibarra will step down for “pressing family reasons” and that he’s moving back to Italy to take up a new executive position. KPN said the departure isn’t connected to a network outage in the Netherlands that lasted for hours on Monday, knocking out emergency phone services.“I regret the timing, but family reasons gave me no choice. I will dedicate myself the coming months to secure a seamless transfer to my successor,” Ibarra said in the statement.By leaving so soon, Ibarra forfeits a one-time payment of 200,000 euros ($228 million) in cash and 200,000 euros in shares that was subject to a retention period, according to publicly-disclosed details of his contract that were confirmed by a KPN spokeswoman.Broadband PushHis telecommunications experience could help Comcast with plans to offer high-speed broadband in Italy through a deal with fixed-line operator Open Fiber SpA. Sky, mainly a satellite broadcaster in Italy, faces mounting competition from Netflix Inc. and Amazon.com Inc.’s Prime Video service.Ibarra ran the Italian business of Veon Ltd., renamed from VimpelCom Ltd., before joining KPN and oversaw one of Europe’s biggest telecom tie-ups -- the 2016 merger of VimpelCom’s Italian wireless network with the local unit of CK Hutchison Holdings Ltd.(Updates with analyst comments from sixth paragraph.)\--With assistance from Sonia Sirletti.To contact the reporters on this story: Daniele Lepido in Milan at email@example.com;Ellen Proper in Amsterdam at firstname.lastname@example.orgTo contact the editors responsible for this story: Rebecca Penty at email@example.com, Frank ConnellyFor more articles like this, please visit us at bloomberg.com©2019 Bloomberg L.P.