On Friday, I wrote an article, 3 Biotechs That Were Crushed This Week And Why. I've decided to follow it up with an article about little Biotech's more stable and profitable older sibling: Big Pharma.
In a space that will likely continue to consolidate next year as it endures increasing regulatory scrutiny while fighting global governments' efforts to cut spending costs on healthcare, I have identified 3 big pharmas that have performed quite nicely over the last 30 days and have both market and sector outperforming potential for next year.
1. Bristol-Myers Squibb Company (NYSE:BMY)
Bristol-Myers Squibb is a company that is engaged in the discovery, development, licensing, manufacturing, marketing, distribution and sale of pharmaceutical products on a global basis.
Over the last 30 days, the stock has risen more than 14.5% from its low of $30.10, which was set on November 25th, to its new 52 week high of $34.50, which was forged on Friday. The stock seems to have a full head of steam headed into the new year.
What's been happening at Bristol-Myers Squibb over the last 30 days?
- 11/16: Meta-Analysis of Clinical Data on Cardiovascular Safety Presented for Investigational Compound Dapagliflozin in Adult Patients with Type 2 Diabetes
- 11/17: Bristol-Myers Squibb Foundation Awards $2.34 Million in Grants to Help Prisoners with Mental Illness Return to Community
- 11/28: ONGLYZA® (saxagliptin) Approved for Use in Europe as Combination Therapy With Insulin (With or Without Metformin) in Adults With Type 2 Diabetes
- 11/29: FDA Accepts ELIQUIS® (apixaban) New Drug Application for Review for the Prevention of Stroke and Systemic Embolism in Patients with Atrial Fibrillation
- 11/30: Alvin Ailey American Dance Theater Premieres Home, A New Work Inspired by the Winning Photos and Essays from the 2011 REYATAZ® (atazanavir sulfate) "Fight HIV Your Way" Contest, an Initiative of Bristol-Myers Squibb
- 12/02: Bristol-Myers Squibb Enters Clinical Collaboration Agreement with Tibotec Pharmaceuticals for Phase II Combination Study in Patients Chronically Infected with Hepatitis C
- 12/06: Bristol-Myers Squibb Announces Dividend Increase
- 12/08: New Data Show Investigational Compound Dapagliflozin When Added to Glimepiride Maintained Reductions in Blood Sugar Levels in Adults with Type 2 Diabetes Over 48 Weeks of Treatment
- 12/13:Simcere and Bristol-Myers Squibb Enter Innovative Partnership to Develop Cardiovascular Compound
2. Eli Lilly and Company (NYSE:LLY)
Eli Lilly is a company that discovers, develops, manufactures and sells products in one business segment, pharmaceutical products. It also has an animal health business segment.
The stock is up more than 16.75% from its 30 day low of $35.46, which hit the tape on November 25th, rising to its new 52 week high of $41.43, which was set on Friday. Eli Lilly is another Big Pharma that looks to close the year out on a strong note.
What's been happening at Eli Lilly over the last 30 days?
- 11/17: Lilly Provides Additional Funding to Infectious Disease Research Institute to Identify New Tuberculosis Therapies
- 12/01: Lilly Announces First and Only International, Prospective Observational Study Designed to Understand Barriers to Progression of Insulin Treatment, Eli Lilly and Company Named a Top Global Company for Leaders
- 12/09: Lilly for Better Health™ Expands Website to Include Spanish Health Information and Interactive Tools
- 12/12: Lilly Oncology Reveals Findings From Study of JAK2 Inhibitor for Blood Cancers at ASH Meeting, Katherine Baicker Elected to Lilly Board of Directors, Lilly Declares First-Quarter 2012 Dividend
- 12/14: Lilly Recognized as One of the Best Places to Work for LGBT Equality
- 12/16: Lilly Sets Dates and Conference Calls for 2012 Financial Guidance and Fourth-Quarter 2011 Financial Results Announcements
3. Mylan Inc. (NASDAQ:MYL)
Mylan is a generic and specialty pharmaceutical company, which provides products to customers in more than 150 countries and territories.
During the last 30 days, MYL has surged more than 22% from its low of $17.22, which was recorded on November 22nd, to its one month high of $21.07, which was set on Friday. The stock currently trades about 18% below its 52 week high of $25.46, set in late April.
What's been happening at Mylan over the last 30 days?
- 11/21: Mylan Announces Settlement Agreement for its First-to-File Generic Version of Vivelle-Dot®
- 11/28: Mylan Receives Approval for Generic Version of Zinecard® for Injection
- 12/01: Mylan Committed to Expanding Access in Developing Countries to High Quality, Affordable HIV/AIDS Treatment, Mylan Launches Generic Version of Caduet® Tablets, Mylan Confirms First-to-File Patent Challenge Relating to Generess™ Fe, Mylan Receives Tentative FDA Approval Through PEPFAR for First Heat-Stable, Fixed-Dose Combination of Atazanavir Sulfate and Ritonavir Tablets for HIV/AIDS
- 12/02: Mylan Launches Generic Version of Cyklokapron® Injection
- 12/12: Mylan Names John Thievon President of Dey Pharma
- 12/16: Mylan Launches Generic Version of Toprol-XL® Tablets
I believe all three of the above names are worth considering for a well balanced and diversified 2012 portfolio and I plan to monitor them closely in hopes of exploiting any good buying opportunities that present themselves
Disclosure: I am long LLY.