Apr
MabCure, Inc. (MBCI.OB)
Another day…another BioTech firm! I have found another biotech firm that I believe shows real promise: MabCure, Inc. (MBCI.OB)
MBCI is developing unique (their words) and highly specific monoclonal antibodies (MAbs), which they are developing as diagnostic tools, imaging agents, and drugs to treat lethal cancers, such as ovarian and prostate cancers. Initially, MabCure’s is focusing on developoing its novel MAbs as diagnostic tools for the detection of ovarian and prostate cancers at an early stage, when these diseases are still localized and highly curable.
The potential for such a tool is enormous. My stepmom died in 2009 of Pancreatic Cancer. She died within EIGHT days after diagnosis. She was an incredibly healthy woman who had a ticking time bomb inside of her. No one knew and we lost her too soon and too young. I see, from my own life, how early detection can save lives. I am not clear from their PR’s or the website just how far they are away from getting FDA approval for their initial product, but I have contacted the company to get more info. They have no stateside IR contact…so, I will wait and hope they respond to my email.
The company announced some financing news that should carry them for the next few quarters. It is not a true raise, but rather a tranche-based $10 MM raise . They have an agreement with a firm for up to $10 MM in equity financing at the current market prices. Their recent PR about the good results from ongoing tests and studies is encouraging. MBCI presented a paper at a recent convention said an experimental test successfully used antibodies to detect ovarian tumor cells in the blood with 94% accuracy. MBCI said its monoclonal antibodies produced no false positives — that is a huge endorsement of the efficacy of their technology. (Read PR here)
In the meantime, I have MBCI on my radar.
MBCI Chart Study
MBCI offers several attractive data points:
- The stock is trading at its 2011 lows
- MACD is slightly bearish with no real momentum
- Oversold Stochastics could add some impetus to a rally
I don’t see much further downside on the stock….selloff volume has been light, there are no negative news story to explain the latest dip, it is a biotech so its continuing losses and no revenues are to be expected.
It is interesting that its 52-wk. low and high happened within one week of the other: The low was 21 cents on July 22nd and the high was 87 cents just 7 calendar days later. I would have loved to be on that ride!
Let’s see if MBCI can do it again!
Here is what I am looking at for entry/exit points:
Last Close: $.30
Buy Opinion: $.28 – $35
Short Term Target $0.50
Long Term Target: $1.00+
Good Luck and Great Trading,
Jeffrey Dean
Disclosure: No Positions
About InvestorSoup
InvestorSoup.com is committed to provide intelligent commentary and solid analysis of small cap stocks, micro-cap stocks, hot penny stocks and helping investors make informed decisions. Our focus is primarily on the underserved OTC stocks market, or “penny stock” market, which has traditionally been shunned by Wall Street. There are many hot penny stock opportunities present in the OTC market everyday and we seek to exploit these hot stock gains for our members before the average daytrader is aware of them.
Disclaimer
DO NOT BASE ANY INVESTMENT DECISION UPON ANY MATERIALS FOUND ON THIS REPORT. We are not registered as a securities broker-dealer or an investment adviser either with the U.S. Securities and Exchange Commission (the “SEC”) or with any state securities regulatory authority. We are neither licensed nor qualified to provide investment advice. Neither InvestorSoup.com nor its affiliates have a beneficial interest in the mentioned company; nor have they received compensation of any kind for any of the companies listed in this communication. The information contained in our report is not an offer to buy or sell securities. We distribute opinions, comments and information free of charge exclusively to individuals who wish to receive them.
Feb
Winning Brands is currently a penny stock that has flirted with sub-penny stock status very recently and then seemed like it was going to be dollar stock…all in the space of a few weeks.
As you will see in the accompanying chart, Winning Brands, Inc. (WNDB) has been on a roller coaster ride of late.
I would look for some more confirmation that the stock is basing here at these levels. It is highly volatile and appears to be under accumulation.
Winning Brands is one of those “take it on faith” stocks….because, there is not a great deal of information available about them other than some PR, a website and a few filings. They have made claims that they are going to be fully reporting. I have talked to the company and they say that they are working aggressively towards that goal.
The company itself has a complete line of eco-friendly cleaning products that they are selling through retail outlets worldwide. I have some experience in retail and while it is important for WNBD to get broad distribution, it is also important that they back up sales with ads, buzz, point-of-sale promotions….all stuff that costs money that WMBD doesn’t have yet.
They are on a fund raising campaign and will need every penny to make a splash in the market. I did a very unscientific study and called my local paint store that carried WNBD’s products. The counter person, at first, didn’t even know they carried it. I insisted because I saw it on the site and she then located it. I was hoping for a “gee whiz” testimonial about how this was the greatest product ever. But, I didn’t get that.
That is, however, what WNBD needs to achieve….. A buzz that will carry the name of the company and its products to the four corners of the globe, literally. Their “Extreme Home Makeover” tie-in is great, but where are the Billy Mays-type infomercials? According to a December PR, they are working on a Direct Response ad program. If that gets seen, it could be HUGE for the company.
WNBD might be a good little trader. It is building a following from what I read on the boards and it has a “story to tell”. Any break below $.01 and the stock should be avoided. But, if it can hold this level, then it might be a good entry point. News and rumor are going to drive this company’s stock.
Be fast, be nimble with WNBD.
Good luck and good trading,
Jeffrey Dean
Note: Yahoo! Finance lists the name of WNBD as Global eTutor, Inc. Google Finance and Pinksheets.com list it as Winning Brands, Inc. This must be one of those corporate shells issues.
*******************************************************************
Dec
Microvision (MVIS) has big plans
Posted by (0) Comment
Reading a chart is sometimes like telling fortunes by reading tea leaves. You may have a rare insight into a person or a situation by reading the leaves….or, you could just be full of crap!
I don’t think I am full of “it” when I recommend my members take a look at Microvision, Inc. (MVIS). As recently as two months ago, the company’s stock hit a 52-week high of $5.75. The stock couldn’t maintain its momentum and began to give most of the gain back and then recently announced a discounted equity offering that “finished ‘em off”. It is a good thing to raise capital, but MVIS set the price for the stock with an offering priced at $3.00 (all to one institutional investor, by the way) and that predictably drove the price to that level. It has recovered slightly, but still hovers around $3.19 as of Friday.
MVIS, especially with the latest capital raise, will have a strong balance sheet. Even before this raise, the balance sheet was in good shape: Good ratios, little or no debt, cash-in-the-bank, etc… However, they are going to need every dollar with the burn rate that they are experiencing. Great technology, but markets are only just beginning to be tapped and they are still in a big R & D push.
MVIS, the company, offers a technology platform that enables next generation display and imaging products. Their main markets are displays in vehicles, projectors, wearable displays and bar code scanners. I recommend that traders check out the MVIS Website. They have some cool technology that they think will be the standard in the years to come.
I also like the chart. The stock has taken its beating with the bad news (to traders) about the capital raise and the technical indicators are looking more favorable.
MVIS is a good radar stock, IMO. The stock should be avoided for any break below the $3.05 range, but I don’t believe that it will break down. The fact that an institutional investor is willing to pony up $9.3 MM for stock in a company that doesn’t make a profit, but has nice technology (and 115 patents at last count), is pretty impressive.
Long term this might be a good stock to own, but since I live in the short-term world….look for a ‘pop” in the near term.
Do your due diligence, but I like what I see with MVIS
Good luck and good trading
*****************************************************************************************************
DO NOT BASE ANY INVESTMENT DECISION UPON ANY MATERIALS FOUND ON THIS REPORT. We are not registered as a securities broker-dealer or an investment adviser either with the U.S. Securities and Exchange Commission (the “SEC”) or with any state securities regulatory authority. We are neither licensed nor qualified to provide investment advice. Neither InvestorSoup.com nor its affiliates have a beneficial interest in the mentioned company; nor have they received compensation of any kind for any of the companies listed in this communication. The information contained in our report is not an offer to buy or sell securities. We distribute opinions, comments and information free of charge exclusively to individuals who wish to receive them.
Dec
Will Iridex (IRIX) crack?
Posted by (0) Comment
I was doing some sector research tonight and came across a company that has a VERY interesting Chart: Iridex Corporation (IRIX). It just hit a 52-week high yesterday of $3.34 and the rise has been very steady and very strong over the past month. Trading off a base of around $2.20, it has offered patient investors a one-month gain of over 50% and a 52-week gain of 227%.
And, what is not to like about IRIX? It is turning a profit, has cash-in-the-bank, has manageable debt and good coverage ratios. As a recovering CPA, I actually am very impressed with the company. Investors seem to be, too. For a small cap (around $25MM) and tiny float of around 5.9 million shares, IRIX has really performed.
Iridex, the company, is a a global leader in developing, manufacturing, and marketing innovative and versatile light-based medical systems and delivery devices. They offer laser based solutions for multiple specialties including Aesthetic Medicine, Ophthalmology, Veterinary, and Otolaryngology.
My question is when will the stock chart crack? I am seeing a chart that is very overheated, has seen tremendous (for it) buying volume over the past month (i.e. rarely a down day). See the chart for yourself:
This is a low-volume stock that has had a very prolonged run. Will it crack? I don’t know, but it bears watching. The low volume and small float is worrisome to traders like me (I never like to get caught in a stock). So, be careful.
There are two ways to play this stock: 1. Short – look for the break below the 50-day MA or weakness in the MACD or, 2. Long – This stock is building an audience and buyers are believing in management and its prospects are looking too good.
If I was a betting man (I guess I am), I am thinking that IRIX should be watched for a near-term correction.
Good luck and good trading
******************************************************************************************************
DO NOT BASE ANY INVESTMENT DECISION UPON ANY MATERIALS FOUND ON THIS REPORT. We are not registered as a securities broker-dealer or an investment adviser either with the U.S. Securities and Exchange Commission (the “SEC”) or with any state securities regulatory authority. We are neither licensed nor qualified to provide investment advice. Neither InvestorSoup.com nor its affiliates have a beneficial interest in the mentioned company; nor have they received compensation of any kind for any of the companies listed in this communication. The information contained in our report is not an offer to buy or sell securities. We distribute opinions, comments and information free of charge exclusively to individuals who wish to receive them.
Nov
A Sticky Situation: PTMD
Posted by (2) Comment
Protectus Medical, Inc. (PTMD) is kind of a corny name….get it? Protect Us!
But, it does fit in very nicely with their mission and their main product: a self-sheathing safety syringe.
PTMD is a long-term project, IMHO. The company came public in September backed by a strong PR program. I mean, they were taking ads out in Barron’s….for goodness sake. The stock came out at one dollar traded up to $1.70 on very strong volume and it has been a long, slow slide ever since. Sellers have dominated and the stock has gotten knocked down to one-fifth of its high.
Does that mean that we should forget about them? Are they done? I don’t think so.
I did lots of research, called the IR people, read boring 10-Q’s and came out of it with an upbeat opinion of PTMD. But, let’s talk about the negatives first:
Going Concern: Like every under-capitalized company, PTMD has got cash flow problems. I take it for granted that they are looking for capital and that was confirmed by the IR people.
No manufacturing and No revenues: When I first did an alert on PTMD, it appeared that they were a great deal closer to actually manufacturing their “revolutionary device”. It is still going to be some time in 2010 before they have units ready for sale. The company is looking for both domestic and overseas production for their syringes.
Sellers are in control: It appears from PTMD’s chart that sellers are firmly in control and the downward pressure on the stock price is unmistakable! When will the stock reach “sellers exhaustion” is difficult to guess (but it could be soon, IMO)
Now the positives:
The product: My sister is a registered nurse and, ironically, we have had conversations about needle sticks. It is one of the most worrisome aspect of any medical professional’s job. I can not speak to the efficacy of their product. All I know is what I read on their site. PTMD has taken steps to safeguard their technology both domestically and globally with an aggressive patent program. Needle sticks is a problem in the medical profession and PTMD appears to have a viable product. They have a video on their site showing the syringe in action(and how it compares with others on the market): PTMD Syringe Very interesting viewing!
“Hospitals must take the safest device” : During my conversation with the IR people, they said something that I wrote down about hospitals taking the safest device. What PTMD is offering, once it is on the market, could “sell like hotcakes”. Frost and Sullivan, a market research firm, states that:
“Safety issues concerning regular syringes are driving the adoption of retractable syringes across the world. For instance, nearly 5.6 million healthcare workers in the U.S. suffer as many as 800,000 sharps injuries-mostly with needlesticks-each year. At this rate, around 2,100 health care professionals are likely to incur a needlestick-related injury every day. On an average, one out of every seven workers is accidentally struck by a contaminated sharp/needle and only one out of three incidents is reported. Companies participating in the world retractable syringes market are making use of these staggering statistics to convince end users on the advantages of using retractable syringes and thereby, increase their market penetration.” source: Frost and Sullivan
I have not taken the time nor do I have the expertise to know if PTMD’s syringe is the best one available on the market, but they certainly believe so.
The Price – I was shocked when the IR people told me the costs of syringes. A single syringe costs as low as 17 cents to as high as 75 cents…..what syringe companies lose in price they make up in volume, I guess. One of the “knocks” that I have read against other “safety syringes” on the market are their cost. PTMD is aware of this and plans on pricing their syringes on the lower end of that range (approx. 20 to 23 cents). They believe that will alleviate the price objection when they are working with hospitals on accepting their syringes.
The Chart – The “falling knife” has landed…I think. Since I own shares in PTMD, I have been watching it since almost the beginning. What was a short term trade for me turned into a long term hold (Didn’t follow my own rules about stop losses). Since I am in it, I think that now is a better time to watch PTMD.
PTMD might be prime for a short term bounce, but I would watch it long term to see if it can execute on its strategy. It’s all just “smoke and mirrors” until they get their syringes on the market, but I think the potential of the stock makes is something that should be on the trading radar. The stock is still trying to find a bottom, but IMO it’s not that far off.
Disclosure: Long PTMD
Oct
I find banks really boring. It doesn’t help that I used to work at a bank and when I was a CPA, I used to audit banks. Every day on the bank audit it was like pouring hot coffee in my lap….excruciatingly painful.
Doing my nightly chart scans, I came across a bank that has an interesting chart, seems to be faring reasonably well financially and is a multi-billion dollar bank selling for around $5.
The bank is Marshall & Isley Corporation (NYSE: MI) I know! A NYSE stock on my little blog. It calls itself a diversified financial services corporation, but scratch the surface and it says “bank”. I like the chart and think it should be watched for some more bounces, but I also like the news.
MI seems to be very handy at raising capital. They are getting oversubscribed for their issues (2 so far this year) and they are using some of those funds to pay off their dreaded TARP loans. MI is not out of the woods yet. They continue to post operating and net losses and still have the same issues that face all banks these days, but they have done a good job cleaning up their balance sheet. Their “mark to market” adjustment was only $1.5 billion! That is a lot of bad loans!
The chart:
As you can see from the chart, the pressure on the stock is to rise. The Stochastics are deeply oversold, but now turning up. The MACD is bearish, but the histogram indicates the lessening of the bearish trend. It is still well below the zero line and I would like to see the MACD give more positive indicators before trusting it too much. Both up and down volume have picked up lately….maybe it is under accumulation again. You can see from the chart how far it has fallen from its recent high.
Much of this “evidence” of a bounce is anecdotal. Yesterday, the stock was up 10%. I would watch it to see if that trend continues.
Good luck and good trading
**********************************************************************
DO NOT BASE ANY INVESTMENT DECISION UPON ANY MATERIALS FOUND ON THIS REPORT. We are not registered as a securities broker-dealer or an investment adviser either with the U.S. Securities and Exchange Commission (the “SEC”) or with any state securities regulatory authority. We are neither licensed nor qualified to provide investment advice. Neither InvestorSoup.com nor its affiliates have a beneficial interest in the mentioned company; nor have they received compensation of any kind for any of the companies listed in this communication. The information contained in our report is not an offer to buy or sell securities. We distribute opinions, comments and information free of charge exclusively to individuals who wish to receive them.
Oct
Anything RAD about Rite Aid?
Posted by (0) Comment
I have a Rite Aid near my home that I have stopped in to on several occasions. I can tell you I am in no hurry to go back. The store looks old and tired and is not laid out very well. The store personnel didn’t seem to care that I was even there.
I don’t know if my local store is a valid indicator of the state of Rite Aid Corporation around the country, but my experience seems to be indicative of RAD’s larger problems. Customers are staying away in droves. Whether it is strictly the economy or other issues,
Financially, their balance sheet is still a mess. Their income statement, while showing signs of improvement (sales holding steady, operating profits the last two Q’s) still doesn’t contain lots of good news. RAD Corporate issued a corporate update (considerably more upbeat than my quick analysis) – you can read it by clicking HERE
I did not come to kill Rite Aid as a stock or a company, but my belief is that the company is not “out of the woods” yet.
However, as a chart play, there might be a reason to look at RAD.
My chart analysis shows me that:
- The stock is sitting near a good support level
- Accum/Dist indicates that the stock may be in accumulation again
- Stochastics indicate that RAD is oversold
- Bearish MACD signal is lessening
See for yourself!
To my mind, RAD is a short-term play only. Big profits were made in its 2009 run from 20 cents to over $2.00. I don’t know if RAD has that kind of move again or not (I kinda doubt it), but watch for any surges. I would never recommend buying RAD on the HOPE that it will go up, but if the chart is any indicator then there MIGHT be a bounce in it.
Good luck and good trading
Oct
AOB – Time for a second look
Posted by (0) Comment
I did a blog on American Oriential Bioengineering back in April of this year. I have been familiar with AOB for quite a few years….trading in and out of it profitably several times. Back on April 27th of 2009, I did a blog saying that I was bullish on the st0ck. It was a good call….AOB was not a one day rocket, but a position trade that delivered solid gains for patient traders. Here is a link to my April 27th blog
I think that it might be time to look at AOB again. As strange as this sounds, I “trust” the company. Their financial condition hasn’t changed much since I blogged about them previously. It is a profitable company that has strong financials (cash-in-bank, good ratios, etc…). The only fly in their ointment continues to be their debt (over 115MM last Q). However, they have strong cash flow and no liquidity concerns.
Let’s take a look at their chart:
- Stock is oversold
- MACD is neutral and below zero line. If it turns up and then crosses the zero line, it becomes bullish in a hurry
- It looks like sellers and profit takers are out (AOB had a high short sellers ratio in September)
- Volatile Stock….a trader’s best friend
AOB may not be a double or a triple, but I think that AOB is a stock that my members should take a look at. The chart is favorable, the rumors of a impending financing is positive, the company makes money and has lots of money in the bank….all good things.
Good luck and good trading
*********************************************************************************************************
DO NOT BASE ANY INVESTMENT DECISION UPON ANY MATERIALS FOUND ON THIS REPORT. We are not registered as a securities broker-dealer or an investment adviser either with the U.S. Securities and Exchange Commission (the “SEC”) or with any state securities regulatory authority. We are neither licensed nor qualified to provide investment advice. Neither InvestorSoup.com nor its affiliates have a beneficial interest in the mentioned company; nor have they received compensation of any kind for any of the companies listed in this communication. The information contained in our report is not an offer to buy or sell securities. We distribute opinions, comments and information free of charge exclusively to individuals who wish to receive them.
Jul
Labopharm Inc. (NASDAQ: DDSS)
Labopharm Inc. (DDSS) is an international specialty pharmaceutical company focused on improving existing drugs by incorporating its advanced controlled-release technologies. The Company develops products internally in order to enter into strategic alliances or licensing agreements with national or international pharmaceutical companies that have the necessary resources and distribution networks to market and sell its pharmaceutical products.
The Company offers once-daily formulation of the analgesic tramadol under the Ryzolt brand name for the treatment of severe chronic pain in adults. Labopharm’s products in pipeline include once-daily formulation of Trazodone, a serotonin antagonist reuptake inhibitor for the treatment of depressive disorder. Its product candidates in clinical development based on Contramid platform comprise twice-daily formulation of tramadol plus acetaminophen to address acute pain; and Abuse Deterrent Platform to provide safer medications through resistance to the uncontrolled release of the active ingredient after actions, such as breaking, chewing, crushing and heating, or consumption with alcohol. Its product candidates in clinical development based on the Polymeric Nano-Delivery System platform comprise lipid-and preservative-free formulation of the intravenous anesthetic agent propofol; and SN-38, which is the active metabolite in the prescribed intravenous colon cancer drug irinotecan.
The Company was founded in 1990 and is headquartered in Laval, Canada.
Share Statistics Jul-20-09 |
2007 |
2008 |
%Chg |
Q1 2008 |
Q1 2009 |
% Chg |
||
|
Symbol
|
DDSS |
Revenue, CAD Mn |
19.0 |
22.0 |
15.8% |
3.2 |
5.0 |
56.3% |
|
Current price
|
$2.00
|
Gross marg. |
62.1% |
73.6% |
1,150 b.p. |
71.9% |
71.8% |
-10 b.p. |
| 52wk Range: |
$0.32-$2.95 |
Oper. margin |
-5.3% |
-184.5% |
n/m |
-290.6% |
-160.7% |
n/m |
| Avg Vol (3m): |
451,409 |
Net margin |
-192.6% |
-185.0% |
n/m |
-302.5% |
-160.7% |
n/m
|
|
Market Cap.
|
$113.7M |
|||||||
| Dil. Shares Outst. |
56.83M |
EPS, CAD |
-0.64 |
-0.72 |
n/m |
-0.17 |
-0.14 |
n/m |
Financial Summary
DDSS’ revenue for Q1 2009 increased 56.3% to CAD5.0 million from CAD3.2 million for Q1 2008. Revenue from sales of the Company’s once-daily tramadol product for the first quarter of fiscal 2009 increased to CAD3.8 million from CAD2.2 million for the first quarter of fiscal 2008. Net loss for the first quarter of fiscal 2009 was CAD8.0 million, or CAD0.14 per share, compared with CAD9.7 million, or CAD0.17 per share, for the first quarter of fiscal 2008.
Cash, cash equivalents and marketable securities at March 31, 2009, were CAD 35.9 million compared with CAD44.9 million at December 31, 2008. At March 31, 2009, the Company had a debt of CAD29.9 million and an accumulated deficit of CAD265.5 million.
|
Canadian Dollar |
# of Estimates |
Mean |
High |
Low |
1 Year |
|
SALES (in millions) |
|||||
|
Quarter Ending Sen-09 |
1 |
9.10 |
9.10 |
9.10 |
– |
|
Quarter Ending Dec-09 |
1 |
11.60 |
11.60 |
11.60 |
– |
|
Year Ending Dec-09 |
7 |
31.11 |
34.60 |
23.66 |
40.57 |
|
Year Ending Dec-10 |
5 |
63.06 |
92.20 |
46.47 |
57.26 |
|
Earnings (per share) |
|||||
|
Quarter Ending Sen-09 |
2 |
-0.09 |
-0.09 |
-0.10 |
-0.12 |
|
Quarter Ending Dec-09 |
2 |
-0.06 |
-0.06 |
-0.07 |
-0.10 |
|
Year Ending Dec-09 |
7 |
-0.45 |
-0.38 |
-0.54 |
-0.35 |
|
Year Ending Dec-10 |
4 |
0.10 |
0.19 |
-0.03 |
-0.05 |
Analyst Consensus
Analysts polled by Thomson Reuters expectDDSSto “Outperform,” with three analyst recommending the stock a “Buy,” the same number as three months ago; one analyst expecting the stock to “Outperform,” the same number as three months ago; three analysts rating the stock a “Hold,” the same number as three months ago; and one analyst rating the stock with “Outperform,” the same number as three months ago.Thomson Reuters pooled analysts anticipate revenue of CAD31.11 million and a net loss per share of CAD0.45 for the fiscal year 2009.
Investment Highlights
In late 2008, FDA approved DDSS’ once-daily formulation of the analgesic tramadol – Ryzolt. The Company’s marketing partner for its product in the United States, Purdue Pharma L.P., launched Ryzolt tablets in May 2009, these being the second once-daily tramadol therapy to reach the U.S. market. DDSS’ once-daily tramadol product is being commercialized globally and to date has been launched in 15 countries, including Canada, Brazil South Korea, Australia and the five largest individual markets in Europe. In addition, it has received regulatory approval or is under regulatory review in 29 countries and the Company has established marketing partnerships for its product in 38 countries. Meanwhile, DDSS’ product (marketed under the brand name Tridural in Canada) was ranked number one among tramadol products in terms of new-to-brand prescriptions in Canada for the first quarter of 2009.
In September, 2008 DDSS submitted a New Drug Application to the U.S. Food and Drug Administration (FDA) for Trazodone (DDS-04A), a once-daily serotonin antagonist reuptake inhibitor (SARI) that provides an effective alternative in the treatment of major depression. On July 20, 2009, the Company received a complete response letter from the FDA, which states that theFDA will not approve its application for the antidepressant Trazodone in its present form as a result of deficiencies at the active pharmaceutical ingredient (API) manufacturing facility. The API manufacturer, Gruppo Angelini, has said that the observations raised by the FDA are not critical.
Recently, DDSS amended its debt facility agreement with Hercules Technology Growth Capital Inc. Under the amended agreement, DDSS has extended the date required to begin repaying the loan to July 1, 2010, from July 1, 2009, and the maturity date of the loan has been extended to June 1, 2012, from December 1, 2011. In consideration of the revised repayment terms, DDSS will not draw down the remaining USD 5 million of the USD 25 million facility. DDSS also entered into a CAD 2.6 million credit facility with the National Bank of Canada (the ABCP Facility).
Depression therapy is one of the largest drug therapy markets in the world today. More than 120 million people around the world suffer from depression. The World Health Organization predicts that, by 2020, depression will be the second-largest cause of the global health burden. According to a report by AdvanceTech Monitor, the market for antidepressant drugs continues to grow, although the rate of growth has slowed down in recent years due to generics competition. Global sales of branded antidepressants rose over USD 20 billion in 2008.
The worldwide market for tramadol is estimated to be valued at USD 1.3 billion, and IMS Health estimates that the worldwide sales volume of tramadol has grown at a compounded annual rate of 14% over the past five years. Pain affects an estimated 76 million Americans and the annual cost of chronic pain in the United States is estimated at USD 100 billion, including healthcare expenses, lost income and lost productivity. The United States is the world’s largest market for tramadol products with sales for the 12-month period ended September 2008 of more than USD 650 million resulting from more than 25 million prescriptions, which have grown at a compounded annual rate of 11% over the last five corresponding periods.
Technical Analysis
The Company is trading near its lower Bollinger Band. This suggests that the stock price is low relative to its recent price action.
Comparative Analysis
The Company is traded with premium to peer P/S multiples. The Company continues to prepare for the commercialization of its novel antidepressant and intend to launch in the U.S. market as soon as possible after it receives approval. With approval of their once daily tramadol in the United States, and pending approval of Trazadone, DDSS could move to profitability in a short time period.
| Company Name | Ticker | Price per | Mrkt. Cap. | P/E | P/S | ||
| Jul-20-2009 | symbol | Share, $ | $ Mn | 2009 | 2010 | 2009 | 2010 |
| DepoMed. Inc. | DEPO | 3.38 | 173.1 | n/m | n/m | 3.96 | 2.69 |
| Biovail Corp. | BVF | 13.75 | 2,180 | 9.23 | 8.49 | 2.74 | 2.55 |
| Watson Pharmaceuticals Inc. | WPI | 33.00 | 3,480 | 13.64 | 13.41 | 1.28 | 1.23 |
| Impax Laboratories Inc. | IPXL | 7.56 | 458.6 | 44.47 | 15.12 | 1.81 | 1.49 |
| Piedmont Natural Gas Company Inc. | PNY | 16.03 | 557.6 | 11.53 | 13.94 | 0.74 | 0.91 |
| QLT Inc. | QLTI | 2.66 | 145.3 | 16.63 | 14.00 | 1.25 | 1.27 |
| Median | 13.64 | 13.94 | 1.55 | 1.38 | |||
| Labopharm Inc | DDSS | 2.00 | 113.7 | n/m | n/m | 3.66 | 1.80 |
Source: Thomson Financial, Yahoo! Finance, Analyst estimates.
Insider Trading Activity
Net Share Purchase Activity
| Insider Purchases – Last 6 Months | ||
| Shares | Trans | |
| Purchases | n/a | n/a |
| Sales | n/a | n/a |
|
Net Shares Purchased(Sold) |
n/a | n/a |
| Total Insider Shares Held | n/a | n/a |
| % Net Shares Purchased (Sold) | n/a | n/a |
| Net Institutional Purchases – Prior Qtr to Latest Qtr | |
| Shares | |
| Net Shares Purchased (Sold) | n/a |
| % Change in Institutional Shares Held | n/a |
Data provided by Thomson Financial
DO NOT BASE ANY INVESTMENT DECISION UPON ANY MATERIALS FOUND ON THIS REPORT. We are not registered as a securities broker-dealer or an investment adviser either with the U.S. Securities and Exchange Commission (the “SEC”) or with any state securities regulatory authority. We are neither licensed nor qualified to provide investment advice.
The information contained in our report should be viewed as commercial advertisement and is not intended to be investment advice. The report is not provided to any particular individual with a view toward their individual circumstances. The information contained in our report is not an offer to buy or sell securities. We distribute opinions, comments and information free of charge exclusively to individuals who wish to receive them.
Our newsletter and website have been prepared for informational purposes only and are not intended to be used as a complete source of information on any particular company. An individual should never invest in the securities of any of the companies profiled based solely on information contained in our report. Individuals should assume that all information contained in the report about profiled companies is not trustworthy unless verified by their own independent research.
Any individual who chooses to invest in any securities should do so with caution. Investing in securities is speculative and carries a high degree of risk; you may lose some or all of the money that is invested. Always research your own investments and consult with a registered investment advisor or licensed stock broker before investing.
Information contained in our report will contain “forward looking statements” as defined under Section 27A of the Securities Act of 1933 and Section 21B of the Securities Exchange Act of 1934. Subscribers are cautioned not to place undue reliance upon these forward looking statements. These forward looking statements are subject to a number of known and unknown risks and uncertainties outside of our control that could cause actual operations or results to differ materially from those anticipated. Factors that could affect performance include, but are not limited to, those factors that are discussed in each profiled company’s most recent reports or registration statements filed with the SEC. You should consider these factors in evaluating the forward looking statements included in the report and not place undue reliance upon such statements.
We are committed to providing factual information on the companies that are profiled. However, we do not provide any assurance as to the accuracy or completeness of the information provided, including information regarding a profiled company’s plans or ability to effect any planned or proposed actions. We have no first-hand knowledge of any profiled company’s operations and therefore cannot comment on their capabilities, intent, resources, nor experience and we make no attempt to do so. Statistical information, dollar amounts, and market size data was provided by the subject company and related sources which we believe to be reliable.
To the fullest extent of the law, we will not be liable to any person or entity for the quality, accuracy, completeness, reliability, or timeliness of the information provided in the report, or for any direct, indirect, consequential, incidental, special or punitive damages that may arise out of the use of information we provide to any person or entity (including, but not limited to, lost profits, loss of opportunities, trading losses, and damages that may result from any inaccuracy or incompleteness of this information).
We encourage you to invest carefully and read investment information available at the websites of the SEC at http://www.sec.gov and FINRA at http://www.finra.org.
Jul
Johnson & Johnson NYSE: JNJ)
Johnson & Johnson (JNJ) engages in the research and development, manufacture and sale of various products in the health care field worldwide. Its Consumer segment provides products used in baby care, skin care, oral care, wound care and women’s health care fields, as well as nutritional and over-the-counter pharmaceutical products under Johnson’s, Aveeno, Clean & Clear, Neutrogena, Roc, Lubriderm, Listerine, Reach, Carefree, Stayfree, Splenda, Tylenol, Sudafed, Zyrtec, Motrin Ib and Pepcid AC names.
The Company’s Pharmaceutical segment offers products in various therapeutic areas, such as anti-infective, antipsychotic, cardiovascular, contraceptive, dermatology, gastrointestinal, hematology, immunology, neurology, oncology, pain management, urology and virology.
Its products include Remicade, a biologic to treat Crohn’s disease, ankylosing spondylitis, psoriasis, psoriatic arthritis, ulcerative colitis and rheumatoid arthritis; Topamax, for adjunctive and monotherapy use in epilepsy, as well as for treating migraines; Procrit that stimulates red blood cell production; Risperdal oral, a medication to treat the symptoms of schizophrenia, bipolar mania and irritability associated with autistic behavior in indicated patients; Risperdal Consta, an injectable, and Invegatm Extended-Release tablets to treat schizophrenia; Levaquin and Floxin, anti-infective products; Concerta, a product for treating attention deficit hyperactivity disorder; Aciphex/Pariet, a proton pump inhibitor; and Duragesic/Fentanyl Transdermal, a treatment for chronic pain.
JNJ’s Medical Devices and Diagnostics segment offers circulatory disease management, orthopaedic joint reconstruction and spinal care and sports medicine, surgical care and women’s health, minimally invasive surgical, blood glucose monitoring and insulin delivery, and diagnostic products, as well as disposable contact lenses.
The Company was founded in 1886 and is based in New Brunswick, New Jersey.
|
Share Statistics 17-Jul-09) |
2007 | 2008 | % Chg | Q1 2008 | Q1 2009 | % Chg | ||
| Symbol | JNJ | Revenue, $M | 61,095 | 63,747 | 4.3% | 16,450 | 15,239 | -7.4% |
| Current price | $59.23 | Gross marg. | 70.9% | 71.0% | 0.0% | 71.1% | 70.8% | -0.3% |
| 52wk Range: | 46.25 – 72.76 | Oper. margin | 21.7% | 26.6% | 4.8% | 26.6% | 28.0% | 1.4% |
| Avg Vol (3m): | 13,654,300 | Net margin | 17.3% | 20.3% | 3.0% | 20.2% | 21.1% | 0.8% |
| Market Cap. | 163.21B | |||||||
| Dil. Shares Outst. | 2.76B | EPS, $ | 3.63 | 4.57 | 25.7% | 1.17 | 1.15 | -1.7% |
Source: Reuters.com, SEC Filings.
Financial Summary
JNJ reported sales of $15.2 billion for the second quarter of 2009, a decrease of 7.4% as compared to the second quarter of 2008. Net earnings and diluted earnings per share for the second quarter of 2009 were $3.2 billion and $1.15, respectively.
The Company confirmed its earnings guidance for full-year 2009 of $4.45 – $4.55 per share, which excludes the impact of special items.
| SALES (in millions) | # of Estimates | Mean | High | Low | 1 Year Ago |
| Quarter Ending Sep-09 | 11 | 15,153.40 | 15,383.00 | 14,802.00 | 16,112.00 |
| Quarter Ending Dec-09 | 11 | 15,509.80 | 15,971.00 | 15,094.00 | 17,131.00 |
| Year Ending Dec-09 | 15 | 60,909.10 | 61,520.00 | 60,000.00 | 66,230.70 |
| Year Ending Dec-10 | 15 | 63,860.90 | 66,379.00 | 62,047.00 | 70,105.00 |
| Earnings (per share) | |||||
| Quarter Ending Sep-09 | 17 | 1.13 | 1.17 | 1.06 | 1.17 |
| Quarter Ending Dec-09 | 14 | 0.99 | 1.04 | 0.93 | 1.15 |
| Year Ending Dec-09 | 20 | 4.52 | 4.55 | 4.48 | 4.71 |
| Year Ending Dec-10 | 20 | 4.89 | 5.03 | 4.77 | 5.16 |
| LT Growth Rate (%) | 10 | 8.33 | 12.50 | 6.00 | 8.71 |
Source: Reuters.com
Analyst Consensus
Analysts polled by Thomson Reuters expect JNJ to “Outperform,” with 10 analysts recommending the stock a “Buy,” up from seven analysts three months ago; three analysts expect the stock to “Outperform”; seven analysts rating the stock a “Hold,” up from six analysts three months ago. Thomson Reuters pooled analysts anticipate revenue of $60,909 million and EPS of $4.52 for the fiscal year 2009.
Investment Highlights
JNJ handily beat Wall Street’s restrained expectations for Q2 2009, as it reduced spending on sales, administration and research by about 13% and production costs by 6%.
Zeltia SA and JNJ are Confident that Yondelis, a drug for ovarian cancer, will get regulatory approval despite a surprise setback in the U.S. in July. An advisory panel to the U.S. Food and Drug Administration recommended Yondelis should not be approved, saying risks of heart and liver toxicity outweigh its limited ability to keep ovarian cancer in check. As Zeltia’s partner, JNJ has two months to present new toxicity data on Yondelis to help clear doubts on the drug’s safety before the FDA decides whether to give it the green light in September. Even if the FDA does not endorse Yondelis for ovarian cancer, the European Medicines Agency (EMEA) could still approve the drug in September.
Gilead Sciences Inc. and JNJ plan to develop the second once-daily pill for treating HIV. The new antiretroviral drug would contain JNJ’s experimental non-nucleoside reverse transcriptase inhibitor known as TMC278, and Truvada, a pill that combines Gilead Sciences’ Viread and Emtriva. JNJ, which already is studying the use of Truvada and TMC278 together in its phase III program, said it will remain responsible for commercialization of TMC278 as a single product and will have the right to promote the combination product in Japan and low-income countries.
During the Q2 2009, the U.S. FDA approved JNJ’s SIMPONI™ (golimumab) for the treatment of adults with moderately to severely active rheumatoid arthritis in combination with methotrexate, active psoriatic arthritis with or without methotrexate, and active ankylosing spondylitis. The FDA also approved the Supplemental New Drug Applications (sNDAs) for the use of RISPERDAL® CONSTA® (risperidone) Long-Acting Treatment as both monotherapy and adjunctive therapy to lithium or valproate in the maintenance treatment of Bipolar I Disorder. The Drug Enforcement Administration (DEA) issued its final ruling and placed NUCYNTA™ (tapentadol) CII immediate release tablets for the relief of moderate to severe acute pain in patients 18 years of age or older into Schedule II of the Controlled Substances Act. The product is now available to patients.
The Company also announced a definitive agreement to acquire Cougar Biotechnology, a development stage biopharmaceutical company with a specific focus on oncology, for approximately $1.0 billion in a cash tender offer. On July 9, 2009, the acquisition of Cougar Biotechnology was completed. On July 2, 2009, the Company announced a definitive agreement with Elan Corp. plc. whereby JNJ will acquire substantially all of the assets and rights of Elan related to its Alzheimer’s Immunotherapy Program and will invest $1 billion in Elan newly issued American Depositary Receipts (ADRs).
Worldwide Medical Devices and Diagnostics sales of $5.9 billion for the second quarter represented a decrease of 3.1% versus the prior year with an operational increase of 2.9% and a negative currency impact of 6.0%. Domestic sales increased 1.9%, while international sales decreased 7.2%, which reflected an operational increase of 3.7% and a negative currency impact of 10.9%.
Technical Analysis
Source: http://stockcharts.com/h-sc/ui
JNJ is trading above its 13-day moving average. This is considered to be the sign of a bullish trend. There is added weight to this indication because the moving average is rising and suggests that there has been buying interest in this stock.
The MACD for JNJ currently indicates a strong bullish signal for two reasons. First, the MACD is above the signal line, a 9-day moving average. Second, the MACD is above 0 which implies that the underlying moving averages are trending higher.
Comparative Analysis
The Company is traded with premium to peer group P/E and P/S multiples, mainly due to its leading position within the industry and solid revenue and earnings track despite the declining consumer spending.
| Company Name | Ticker | Price per | Mrkt. Cap. | P/E | P/S | ||
| Jul-10-2009 | symbol | Share, $ | $ Mn | 2009 | 2010 | 2009 | 2010 |
| Pfizer Inc. | PFE | 14.96 | 100,950 | 7.63 | 6.68 | 2.22 | 2.18 |
| Merck & Co. Inc. | MRK | 27.68 | 58,370 | 8.65 | 8.21 | 2.50 | 2.49 |
| Novartis AG | NVS | 42.39 | 95,910 | 11.84 | 10.93 | 2.32 | 1.98 |
| Kimberly-Clark Corporation | KMB | 54.47 | 22,560 | 13.25 | 11.56 | 1.22 | 1.17 |
| Procter & Gamble Co. | PG | 55.92 | 162,990 | 13.22 | 14.87 | 2.04 | 2.02 |
| Eli Lilly & Co. | LLY | 33.53 | 38,530 | 7.93 | 7.42 | 1.81 | 1.71 |
| Median | 10.25 | 9.57 | 2.13 | 2.00 | |||
| Johnson & Johnson | JNJ | 59.23 | 163,010 | 13.08 | 12.09 | 2.68 | 2.56 |
Source: Thomson Financial
Insider Trading Activity
NET SHARE PURCHASE ACTIVITY
| Insider Purchases – Last 6 Months | ||
| Shares | Trans | |
| Purchases | 2,000 | 1 |
| Sales | 40,596 | 4 |
| Net Shares Purchased (Sold) | (38,596) | 5 |
| Total Insider Shares Held | 854.23K | N/A |
| % Net Shares Purchased (Sold) | (4.3%) | N/A |
DO NOT BASE ANY INVESTMENT DECISION UPON ANY MATERIALS FOUND ON THIS REPORT. We are not registered as a securities broker-dealer or an investment adviser either with the U.S. Securities and Exchange Commission (the “SEC”) or with any state securities regulatory authority. We are neither licensed nor qualified to provide investment advice.
The information contained in our report should be viewed as commercial advertisement and is not intended to be investment advice. The report is not provided to any particular individual with a view toward their individual circumstances. The information contained in our report is not an offer to buy or sell securities. We distribute opinions, comments and information free of charge exclusively to individuals who wish to receive them. Our newsletter and website have been prepared for informational purposes only and are not intended to be used as a complete source of information on any particular company. An individual should never invest in the securities of any of the companies profiled based solely on information contained in our report. Individuals should assume that all information contained in the report about profiled companies is not trustworthy unless verified by their own independent research. Any individual who chooses to invest in any securities should do so with caution. Investing in securities is speculative and carries a high degree of risk; you may lose some or all of the money that is invested. Always research your own investments and consult with a registered investment advisor or licensed stock broker before investing. Information contained in our report will contain “forward looking statements” as defined under Section 27A of the Securities Act of 1933 and Section 21B of the Securities Exchange Act of 1934. Subscribers are cautioned not to place undue reliance upon these forward looking statements. These forward looking statements are subject to a number of known and unknown risks and uncertainties outside of our control that could cause actual operations or results to differ materially from those anticipated. Factors that could affect performance include, but are not limited to, those factors that are discussed in each profiled company’s most recent reports or registration statements filed with the SEC. You should consider these factors in evaluating the forward looking statements included in the report and not place undue reliance upon such statements. We are committed to providing factual information on the companies that are profiled. However, we do not provide any assurance as to the accuracy or completeness of the information provided, including information regarding a profiled company’s plans or ability to effect any planned or proposed actions. We have no first-hand knowledge of any profiled company’s operations and therefore cannot comment on their capabilities, intent, resources, nor experience and we make no attempt to do so. Statistical information, dollar amounts, and market size data was provided by the subject company and related sources which we believe to be reliable. To the fullest extent of the law, we will not be liable to any person or entity for the quality, accuracy, completeness, reliability, or timeliness of the information provided in the report, or for any direct, indirect, consequential, incidental, special or punitive damages that may arise out of the use of information we provide to any person or entity (including, but not limited to, lost profits, loss of opportunities, trading losses, and damages that may result from any inaccuracy or incompleteness of this information). We encourage you to invest carefully and read investment information available at the websites of the SEC at http://www.sec.gov and FINRA at http://www.finra.org. Category : Daily Soup | Blog
20
Jul PureSpectrum Inc. (OTC PK: PSPM)
PureSpectrum Inc. (PSPM) engages in developing, marketing, licensing and contract manufacturing of lighting technology for use in residential, commercial and industrial applications worldwide. The Company offers a family of technologies, including under cabinet fluorescent, compact fluorescent lamps (CFLs), dimmable CFLs, linear fluorescents, dimming devices and lighting systems. It also owns various patents, pending patents and provisional patents relating to electronic ballast and lighting control technology, as well as markets its technology to lighting products manufacturers, retail outlets, electric utilities and directly to consumers. The Company was founded in 2000 and is based in Savannah, Georgia. Category : Daily Soup | Blog
About UsTraders make huge profits from penny stocks! Our Hot stock alerts are sent the second we identify likely stocks that we feel will fly! We are passionate about small caps, penny stocks and sub-penny stocks. We are the resource that you need to profit from penny stocks. Bookmark us and check back frequently. Read more » Contact UsInvestorSoup.com 
| ||||||||
