________________________
With the news over the weekend that Bristol-Myers Squibb is buying out Inhibitex for a huge, jaw-dropping premium, I would be remiss if I did not delve into INHX‘s business model and focus. Inhibitex is a smallish biotech firm centered around dealing with viral infections, but its focus looks to be on chronic infections caused by Hepatitis C Virus (HCV). With such a huge premium being paid from BMY, it would behove you to look at other biotech firms that deal with HCV.
Inside The PPT service, we have a great keyword search function that allows members to pinpoint their research, thus working smart. Members of 12631 can check the main blog inside 12631 for my post inside the service with more specific ideas and strategies as to how to prepare for possible pin action plays on the Inhibitex news this coming week.
One idea that looks good regardless of pin action is Achillion Pharmaceuticals. As you can see below on the daily chart, the setup is enticing on its own merits of the bullish price action and volume pattern. Also note that, on the whole, the biotech ETF chart (IBB) is as impressive as any sector right now.
________________________
________________________
$APRI should be next to announce major deal…possibly as early as tomorrow:
http://www.thestreet.com/_yahoo/story/11362077/1/apricus-misses-promised-drug-launch-target.html?cm_ven=YAHOO&cm_cat=FREE&cm_ite=NA
Article dated Jan 2, 2012:
In an email, Apricus spokesman Ed Cox said the company “will be publicly allowed to disclose on our new partner for Vitaros in Canada in the coming few days.”
$APRI is presenting at big biotech showcase tomorrow in San Fran:
http://finance.yahoo.com/news/Apricus-Biosciences-CEO-Dr-pz-1302725416.html?x=0
Could be a good time to make this major announcement!
By the way, this is also my stock for the stock of the year contest…
small float, only ~21MM shs o/s and ~10% of the float is short.
FWIW, dinosaurs don’t do drugs.
-DT
Ha!
Good look.