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Rod Raynovich
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Rod Raynovich is an entrepreneur and executive with a focus on life science companies and medical technology trends.He has over 30 years executive experience including Abbott and JNJ and has been involved three successful start-ups. He has a B.S, from Penn State University and an MBA from... More
My company:
Raygent Capital
My blog:
  • Look For Biotech Rally Today Sparked By Merck $3.9B Acquisition Of Idenix... Update-1 2 comments
    Jun 9, 2014 6:52 PM | about stocks: ACHN, GILD, IDIX

    Update-1.... 45 Minutes Before the Close 6/9...Risk On

    Biotech stocks soared today right at the open after news of $3.9B Idenix (IDIX deal news was out. The XBI was up 5.4% on good volume. The XBI is more equal weighted and sensitive to mid and small cap stock moves. The PBE another more speculative ETF was up 7.5%. Large cap biotechs were weaker and Gilead (NASDAQ:GILD) was down over 4% on expected HCV drug competition in the long term. Most stocks in the Rayno Life Science Portfolio were up with smaller caps leading the way:

    ACHN, AMRI, SGEN and SQNM. PCYC was up 3.6% to $96.93.

    Earlier this year there was a lot of hype on M&A potential without any significant deals although "inversion" deals like Pfizer (NYSE:PFE) going after Astra Zeneca (NYSE:AZN) and Valeant (NYSE:VRX) going after Allergan (NYSE:AGN) . This Merck (NYSE:MRK) deal shows greater impact on the overall biotech market and trading because it is lower in the food chain and strategic in nature. For example the speculation on the next HCV play is revving up with one of our picks Achillion (NASDAQ:ACHN) up 50% to $4.33.


    Idenix (NASDAQ:IDIX) Stock Up 234% in Pre-Market

    HCV data brings round of bidders for Phase 2 HCV pipeline.

    Achillion (ACHN) also up 31% in pre-market to $3.78.

    Update later. Expect small and mid cap biotech rally.

    Disclosure: I am long GILD, ACHN.

    Stocks: ACHN, GILD, IDIX
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  • Colby4691
    , contributor
    Comments (20) | Send Message
    Long $ACHN Heard Cramer and Adam Feuerstein are positive also JNJ looking could push it much higher tomorrow.
    9 Jun 2014, 07:23 PM Reply Like
  • Rod Raynovich
    , contributor
    Comments (68) | Send Message
    Author’s reply » Yep a rally in PM. XBI is outperforming because value now is shifting to smaller cap companies.
    10 Jun 2014, 08:56 AM Reply Like
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