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21900.0 | 2014-02-12 00:00:00 UTC | Sector Update: Financials | AB | https://www.nasdaq.com/articles/sector-update-financials-2014-02-12 | nan | nan | Financial shares were idle in Wednesday's pre-market trade as investors absorb positive China trade data with few other economic indicators on tap.
In financial stocks news, NewStar Financial, Inc. ( NEWS ), a specialized commercial finance company, today reported consolidated net income of $6.4 million, or $0.12 per diluted share for Q4 2013. The Street expected $0.15 per share in Q4 earnings.
And FirstService ( FSRV ) reported adjusted EPS was $0.97, up 26% from the prior year quarter. The Street called for $0.80 per share.
And, Alliance Bernstein ( AB ), an investment management firm, says Q4 adjusted net income per unit rose 50% to $0.60 per share from a year ago, as revenue rose on higher performance-based and base fees, Bernstein Research Services revenues and investment gains. The analyst consensus called for earnings of $0.43 per share, according to Capital IQ.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
Copyright (C) 2016 MTNewswires.com. All rights reserved. Unauthorized reproduction is strictly prohibited.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. | And, Alliance Bernstein ( AB ), an investment management firm, says Q4 adjusted net income per unit rose 50% to $0.60 per share from a year ago, as revenue rose on higher performance-based and base fees, Bernstein Research Services revenues and investment gains. Financial shares were idle in Wednesday's pre-market trade as investors absorb positive China trade data with few other economic indicators on tap. In financial stocks news, NewStar Financial, Inc. ( NEWS ), a specialized commercial finance company, today reported consolidated net income of $6.4 million, or $0.12 per diluted share for Q4 2013. | And, Alliance Bernstein ( AB ), an investment management firm, says Q4 adjusted net income per unit rose 50% to $0.60 per share from a year ago, as revenue rose on higher performance-based and base fees, Bernstein Research Services revenues and investment gains. The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. Financial shares were idle in Wednesday's pre-market trade as investors absorb positive China trade data with few other economic indicators on tap. | Financial shares were idle in Wednesday's pre-market trade as investors absorb positive China trade data with few other economic indicators on tap. And, Alliance Bernstein ( AB ), an investment management firm, says Q4 adjusted net income per unit rose 50% to $0.60 per share from a year ago, as revenue rose on higher performance-based and base fees, Bernstein Research Services revenues and investment gains. In financial stocks news, NewStar Financial, Inc. ( NEWS ), a specialized commercial finance company, today reported consolidated net income of $6.4 million, or $0.12 per diluted share for Q4 2013. | Financial shares were idle in Wednesday's pre-market trade as investors absorb positive China trade data with few other economic indicators on tap. And, Alliance Bernstein ( AB ), an investment management firm, says Q4 adjusted net income per unit rose 50% to $0.60 per share from a year ago, as revenue rose on higher performance-based and base fees, Bernstein Research Services revenues and investment gains. In financial stocks news, NewStar Financial, Inc. ( NEWS ), a specialized commercial finance company, today reported consolidated net income of $6.4 million, or $0.12 per diluted share for Q4 2013. |
21901.0 | 2014-02-10 00:00:00 UTC | Can Western Union (WU) Surprise This Earnings Season? - Analyst Blog | AB | https://www.nasdaq.com/articles/can-western-union-wu-surprise-this-earnings-season-analyst-blog-2014-02-10 | nan | nan | We expect money transferor Western Union Co. ( WU ) to beat expectations when it reports fourth-quarter 2013 results on Feb 11.
Why a Likely Positive Surprise?
Our proven model shows that Western Union is likely to beat earnings because it has the right combination of two key ingredients.
Positive Zacks ESP: Expected Surprise Prediction or Earnings ESP , which represents the difference between the Most Accurate estimate and the Zacks Consensus Estimate, is +6.45%. This is very meaningful and a leading indicator of a likely positive earnings surprise for the stock.
Zacks Rank #3 (Hold): Note that stocks with Zacks Rank #1, 2 and 3 have a significantly higher chance of beating earnings. The Sell-rated stocks (#4 and 5) should never be considered going into an earnings announcement.
The combination of Western Union's Zacks Rank #3 and +6.5% ESP makes us confident of a positive earnings beat by the company on Feb 11.
What is Driving the Better-than-Expected Earnings?
The company's fourth-quarter earnings are expected to benefit from transaction growth due to pricing action and strong electronic channels growth in the company's consumer-to-consumer segment. The company's another segment - Business Solutions is expected to accrue to earnings from its expanding product offerings and increasing market penetration.
Also, Western Union's revenues from electronic offerings such as mobile, internet, direct to bank and ATMs are expected to grow contributing to overall earnings growth. The company had performed strongly in the recent past as reflected by the trailing four-quarter positive average surprise of 12.36%.
Other Stocks to Consider
Western Union is not the only firm looking up this earnings season. We also see likely earnings beats coming from these 3 players in the finance sector:
Walker & Dunlop, Inc. ( WD ), Earnings ESP of +2.7% and a Zacks Rank #2 (Buy).
Ventas, Inc. ( VTR ), Earnings ESP of +0.94% and a Zacks Rank #2.
AllianceBernstein Holding L.P. ( AB ), Earnings ESP of +2.33% and a Zacks Rank #3.
ALLIANCEBERNSTN (AB): Free Stock Analysis Report
VENTAS INC (VTR): Free Stock Analysis Report
WALKER & DUNLOP (WD): Free Stock Analysis Report
WESTERN UNION (WU): Free Stock Analysis Report
To read this article on Zacks.com click here.
Zacks Investment Research
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. | AllianceBernstein Holding L.P. ( AB ), Earnings ESP of +2.33% and a Zacks Rank #3. ALLIANCEBERNSTN (AB): Free Stock Analysis Report VENTAS INC (VTR): Free Stock Analysis Report WALKER & DUNLOP (WD): Free Stock Analysis Report WESTERN UNION (WU): Free Stock Analysis Report To read this article on Zacks.com click here. The combination of Western Union's Zacks Rank #3 and +6.5% ESP makes us confident of a positive earnings beat by the company on Feb 11. | ALLIANCEBERNSTN (AB): Free Stock Analysis Report VENTAS INC (VTR): Free Stock Analysis Report WALKER & DUNLOP (WD): Free Stock Analysis Report WESTERN UNION (WU): Free Stock Analysis Report To read this article on Zacks.com click here. AllianceBernstein Holding L.P. ( AB ), Earnings ESP of +2.33% and a Zacks Rank #3. We expect money transferor Western Union Co. ( WU ) to beat expectations when it reports fourth-quarter 2013 results on Feb 11. | ALLIANCEBERNSTN (AB): Free Stock Analysis Report VENTAS INC (VTR): Free Stock Analysis Report WALKER & DUNLOP (WD): Free Stock Analysis Report WESTERN UNION (WU): Free Stock Analysis Report To read this article on Zacks.com click here. AllianceBernstein Holding L.P. ( AB ), Earnings ESP of +2.33% and a Zacks Rank #3. Positive Zacks ESP: Expected Surprise Prediction or Earnings ESP , which represents the difference between the Most Accurate estimate and the Zacks Consensus Estimate, is +6.45%. | AllianceBernstein Holding L.P. ( AB ), Earnings ESP of +2.33% and a Zacks Rank #3. ALLIANCEBERNSTN (AB): Free Stock Analysis Report VENTAS INC (VTR): Free Stock Analysis Report WALKER & DUNLOP (WD): Free Stock Analysis Report WESTERN UNION (WU): Free Stock Analysis Report To read this article on Zacks.com click here. The combination of Western Union's Zacks Rank #3 and +6.5% ESP makes us confident of a positive earnings beat by the company on Feb 11. |
21902.0 | 2013-10-30 00:00:00 UTC | Allianceberstein Holding L.P. (AB) Ex-Dividend Date Scheduled for October 31, 2013 | AB | https://www.nasdaq.com/articles/allianceberstein-holding-lp-ab-ex-dividend-date-scheduled-october-31-2013-2013-10-30 | nan | nan | Allianceberstein Holding L.P. ( AB ) will begin trading ex-dividend on October 31, 2013. A cash dividend payment of $0.4 per share is scheduled to be paid on November 21, 2013. Shareholders who purchased AB stock prior to the ex-dividend date are eligible for the cash dividend payment. This represents an -2.44% decrease from the prior quarter. At the current stock price of $22.39, the dividend yield is 7.15%.
The previous trading day's last sale of AB was $22.39, representing a -18.22% decrease from the 52 week high of $27.38 and a 42.79% increase over the 52 week low of $15.68.
AB is a part of the Finance sector, which includes companies such as Franklin Resources, Inc. ( BEN ) and AMERIPRISE FINANCIAL SERVICES, INC. ( AMP ). AB's current earnings per share, an indicator of a company's profitability, is $1.36. Zacks Investment Research reports AB's forecasted earnings growth in 2013 as 26.56%, compared to an industry average of 10.3%.
For more information on the declaration, record and payment dates, visit the AB Dividend History page. Our Dividend Calendar has the full list of stocks that have an ex-dividend today.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. | Shareholders who purchased AB stock prior to the ex-dividend date are eligible for the cash dividend payment. AB is a part of the Finance sector, which includes companies such as Franklin Resources, Inc. ( BEN ) and AMERIPRISE FINANCIAL SERVICES, INC. ( AMP ). Zacks Investment Research reports AB's forecasted earnings growth in 2013 as 26.56%, compared to an industry average of 10.3%. | Shareholders who purchased AB stock prior to the ex-dividend date are eligible for the cash dividend payment. The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. Allianceberstein Holding L.P. ( AB ) will begin trading ex-dividend on October 31, 2013. | Shareholders who purchased AB stock prior to the ex-dividend date are eligible for the cash dividend payment. The previous trading day's last sale of AB was $22.39, representing a -18.22% decrease from the 52 week high of $27.38 and a 42.79% increase over the 52 week low of $15.68. For more information on the declaration, record and payment dates, visit the AB Dividend History page. | Allianceberstein Holding L.P. ( AB ) will begin trading ex-dividend on October 31, 2013. Shareholders who purchased AB stock prior to the ex-dividend date are eligible for the cash dividend payment. AB's current earnings per share, an indicator of a company's profitability, is $1.36. |
21903.0 | 2013-10-24 00:00:00 UTC | Sector Update: Financial Shares Higher; AllianceBernstein Beats Street View with Q3 Results | AB | https://www.nasdaq.com/articles/sector-update-financial-shares-higher-alliancebernstein-beats-street-view-q3-results-2013 | nan | nan | Top Financial Shares:
JPM: +0.66%
BAC: flat
WFC: flat
C: +0.62%
USB: -0.55%
Financial shares are flat to higher pre-market trade after a fairly soft session yesterday and on a rise in October's China manufacturing Purchasing Managers Index.
In financial stocks news, T. Rowe Price Group, Inc. ( TROW ) reported Q3 net revenues of $884.4 million, net income of $270.3 million, and diluted earnings per common share of $1.00. Net revenues were $769.7 million, net income was $247.3 million, and diluted earnings per common share was $.94 in Q3 2012.
And, AllianceBernstein ( AB ) said its Q3 adjusted earnings rose to $0.40 per share from $0.36 the year earlier, ahead of the $0.39 average Capital IQ analyst estimate. Revenues fell to $706 million from $708 million, well ahead of the $678 million consensus estimate.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
Copyright (C) 2016 MTNewswires.com. All rights reserved. Unauthorized reproduction is strictly prohibited.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. | And, AllianceBernstein ( AB ) said its Q3 adjusted earnings rose to $0.40 per share from $0.36 the year earlier, ahead of the $0.39 average Capital IQ analyst estimate. Financial shares are flat to higher pre-market trade after a fairly soft session yesterday and on a rise in October's China manufacturing Purchasing Managers Index. In financial stocks news, T. Rowe Price Group, Inc. ( TROW ) reported Q3 net revenues of $884.4 million, net income of $270.3 million, and diluted earnings per common share of $1.00. | And, AllianceBernstein ( AB ) said its Q3 adjusted earnings rose to $0.40 per share from $0.36 the year earlier, ahead of the $0.39 average Capital IQ analyst estimate. In financial stocks news, T. Rowe Price Group, Inc. ( TROW ) reported Q3 net revenues of $884.4 million, net income of $270.3 million, and diluted earnings per common share of $1.00. Net revenues were $769.7 million, net income was $247.3 million, and diluted earnings per common share was $.94 in Q3 2012. | And, AllianceBernstein ( AB ) said its Q3 adjusted earnings rose to $0.40 per share from $0.36 the year earlier, ahead of the $0.39 average Capital IQ analyst estimate. In financial stocks news, T. Rowe Price Group, Inc. ( TROW ) reported Q3 net revenues of $884.4 million, net income of $270.3 million, and diluted earnings per common share of $1.00. Net revenues were $769.7 million, net income was $247.3 million, and diluted earnings per common share was $.94 in Q3 2012. | And, AllianceBernstein ( AB ) said its Q3 adjusted earnings rose to $0.40 per share from $0.36 the year earlier, ahead of the $0.39 average Capital IQ analyst estimate. Financial shares are flat to higher pre-market trade after a fairly soft session yesterday and on a rise in October's China manufacturing Purchasing Managers Index. In financial stocks news, T. Rowe Price Group, Inc. ( TROW ) reported Q3 net revenues of $884.4 million, net income of $270.3 million, and diluted earnings per common share of $1.00. |
21904.0 | 2013-09-04 00:00:00 UTC | Insiders Buy Shares at Valeant Pharmaceuticals and Energy Recovery | AB | https://www.nasdaq.com/articles/insiders-buy-shares-valeant-pharmaceuticals-and-energy-recovery-2013-09-04 | nan | nan | Welcome to our daily roundup of top insider trades. Here's a look at the most significant inside sales and purchases filed with the SEC on Tuesday, September 3, 2013.
Notable Purchases:
Fred Hassan, a director at multinational specialty pharmaceutical company Valeant Pharmaceutical International ( VRX ), bought 51,000 shares of company stock for $5,049,459.
Scott Schoen, a director at investment firm AllianceBernstein Holding ( AB ), bought 50,000 shares of company stock for $980,640.
Arve Hanstveit, a director at Energy Recovery ( ERII ), bought 80,800 shares of company stock for $414,574. The company develops, manufacturers, and sells energy recovery devices and circulation pumps for use in water desalination plants.
The employee-owned hedge fund sponsor Osmium Partners bought 87,937 shares of ZipRealty ( ZIPR ), which provides technology and online marketing for the residential real estate brokerage industry.
For more insider trades, see the charts below.
Source: InsiderInsights.com | Key to Insider Title and Trans Type Codes
An important note from Jonathan Moreland, founder of Insider Insights :
In a victory for common sense, it has been proven profitable -- by both academic studies and (more importantly) the experience of your fellow professional investors -- to monitor the trading behavior of company executives, directors, and large shareholders in the stocks of firms of which they're registered as "insiders."
Please note, however, that the lists above are strictly factual; they are not buy and sell recommendations. Dollar value is only one metric to assess the importance of an insider transaction, and, frankly, often not even the most important metric that determines if an insider transaction is significant.
At InsiderInsights.com, we find new investment ideas just about every day using these and more intricate insider screens to determine where we should focus our subsequent fundamental and technical analysis. And while stocks don't (or shouldn't) move up or down based on insider activity alone, insiders tend to be good indicators of when real stock-moving events like earnings surprises, corporate actions, and new products may be in the offing.
Jonathan Moreland is also the author of " Profit From Legal Insider Trading."
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. | Scott Schoen, a director at investment firm AllianceBernstein Holding ( AB ), bought 50,000 shares of company stock for $980,640. At InsiderInsights.com, we find new investment ideas just about every day using these and more intricate insider screens to determine where we should focus our subsequent fundamental and technical analysis. Here's a look at the most significant inside sales and purchases filed with the SEC on Tuesday, September 3, 2013. Notable Purchases: Fred Hassan, a director at multinational specialty pharmaceutical company Valeant Pharmaceutical International ( VRX ), bought 51,000 shares of company stock for $5,049,459. | Here's a look at the most significant inside sales and purchases filed with the SEC on Tuesday, September 3, 2013. Notable Purchases: Fred Hassan, a director at multinational specialty pharmaceutical company Valeant Pharmaceutical International ( VRX ), bought 51,000 shares of company stock for $5,049,459. Scott Schoen, a director at investment firm AllianceBernstein Holding ( AB ), bought 50,000 shares of company stock for $980,640. Source: InsiderInsights.com | Key to Insider Title and Trans Type Codes An important note from Jonathan Moreland, founder of Insider Insights : In a victory for common sense, it has been proven profitable -- by both academic studies and (more importantly) the experience of your fellow professional investors -- to monitor the trading behavior of company executives, directors, and large shareholders in the stocks of firms of which they're registered as "insiders." | Here's a look at the most significant inside sales and purchases filed with the SEC on Tuesday, September 3, 2013. Notable Purchases: Fred Hassan, a director at multinational specialty pharmaceutical company Valeant Pharmaceutical International ( VRX ), bought 51,000 shares of company stock for $5,049,459. Source: InsiderInsights.com | Key to Insider Title and Trans Type Codes An important note from Jonathan Moreland, founder of Insider Insights : In a victory for common sense, it has been proven profitable -- by both academic studies and (more importantly) the experience of your fellow professional investors -- to monitor the trading behavior of company executives, directors, and large shareholders in the stocks of firms of which they're registered as "insiders." Scott Schoen, a director at investment firm AllianceBernstein Holding ( AB ), bought 50,000 shares of company stock for $980,640. | Source: InsiderInsights.com | Key to Insider Title and Trans Type Codes An important note from Jonathan Moreland, founder of Insider Insights : In a victory for common sense, it has been proven profitable -- by both academic studies and (more importantly) the experience of your fellow professional investors -- to monitor the trading behavior of company executives, directors, and large shareholders in the stocks of firms of which they're registered as "insiders." Here's a look at the most significant inside sales and purchases filed with the SEC on Tuesday, September 3, 2013. Notable Purchases: Fred Hassan, a director at multinational specialty pharmaceutical company Valeant Pharmaceutical International ( VRX ), bought 51,000 shares of company stock for $5,049,459. Scott Schoen, a director at investment firm AllianceBernstein Holding ( AB ), bought 50,000 shares of company stock for $980,640. |
21905.0 | 2013-08-19 00:00:00 UTC | Company News for August 19, 2013 - Corporate Summary | AB | https://www.nasdaq.com/articles/company-news-for-august-19-2013-corporate-summary-2013-08-19 | nan | nan | • Bally Technologies Inc. (NYSE: BYI ) reported fourth quarter earnings per share of $0.95, marginally higher than the Zacks Consensus Estimate of $0.93
• Applied Materials, Inc. (NASDAQ: AMAT ) posted fiscal third quarter earnings per share of $0.18, lower than the Zacks Consensus Estimate of $0.19
• Aspen Technology, Inc. (NASDAQ: AZPN ) reported fourth quarter earnings per share of $0.21, easily surpassing the Zacks Consensus Estimate of $0.05
• AllianceBernstein Holding LP (NYSE: AB ) has agreed to purchase investment management company W.P. Stewart & Co. for $80 million
ALLIANCEBERNSTN (AB): Free Stock Analysis Report
APPLD MATLS INC (AMAT): Free Stock Analysis Report
ASPEN TECH INC (AZPN): Free Stock Analysis Report
BALLY TECH INC (BYI): Free Stock Analysis Report
To read this article on Zacks.com click here.
Zacks Investment Research
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. | • Bally Technologies Inc. (NYSE: BYI ) reported fourth quarter earnings per share of $0.95, marginally higher than the Zacks Consensus Estimate of $0.93 • Applied Materials, Inc. (NASDAQ: AMAT ) posted fiscal third quarter earnings per share of $0.18, lower than the Zacks Consensus Estimate of $0.19 • Aspen Technology, Inc. (NASDAQ: AZPN ) reported fourth quarter earnings per share of $0.21, easily surpassing the Zacks Consensus Estimate of $0.05 • AllianceBernstein Holding LP (NYSE: AB ) has agreed to purchase investment management company W.P. Stewart & Co. for $80 million ALLIANCEBERNSTN (AB): Free Stock Analysis Report APPLD MATLS INC (AMAT): Free Stock Analysis Report ASPEN TECH INC (AZPN): Free Stock Analysis Report BALLY TECH INC (BYI): Free Stock Analysis Report To read this article on Zacks.com click here. Zacks Investment Research The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. | • Bally Technologies Inc. (NYSE: BYI ) reported fourth quarter earnings per share of $0.95, marginally higher than the Zacks Consensus Estimate of $0.93 • Applied Materials, Inc. (NASDAQ: AMAT ) posted fiscal third quarter earnings per share of $0.18, lower than the Zacks Consensus Estimate of $0.19 • Aspen Technology, Inc. (NASDAQ: AZPN ) reported fourth quarter earnings per share of $0.21, easily surpassing the Zacks Consensus Estimate of $0.05 • AllianceBernstein Holding LP (NYSE: AB ) has agreed to purchase investment management company W.P. Stewart & Co. for $80 million ALLIANCEBERNSTN (AB): Free Stock Analysis Report APPLD MATLS INC (AMAT): Free Stock Analysis Report ASPEN TECH INC (AZPN): Free Stock Analysis Report BALLY TECH INC (BYI): Free Stock Analysis Report To read this article on Zacks.com click here. Zacks Investment Research The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. | • Bally Technologies Inc. (NYSE: BYI ) reported fourth quarter earnings per share of $0.95, marginally higher than the Zacks Consensus Estimate of $0.93 • Applied Materials, Inc. (NASDAQ: AMAT ) posted fiscal third quarter earnings per share of $0.18, lower than the Zacks Consensus Estimate of $0.19 • Aspen Technology, Inc. (NASDAQ: AZPN ) reported fourth quarter earnings per share of $0.21, easily surpassing the Zacks Consensus Estimate of $0.05 • AllianceBernstein Holding LP (NYSE: AB ) has agreed to purchase investment management company W.P. Stewart & Co. for $80 million ALLIANCEBERNSTN (AB): Free Stock Analysis Report APPLD MATLS INC (AMAT): Free Stock Analysis Report ASPEN TECH INC (AZPN): Free Stock Analysis Report BALLY TECH INC (BYI): Free Stock Analysis Report To read this article on Zacks.com click here. Zacks Investment Research The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. | • Bally Technologies Inc. (NYSE: BYI ) reported fourth quarter earnings per share of $0.95, marginally higher than the Zacks Consensus Estimate of $0.93 • Applied Materials, Inc. (NASDAQ: AMAT ) posted fiscal third quarter earnings per share of $0.18, lower than the Zacks Consensus Estimate of $0.19 • Aspen Technology, Inc. (NASDAQ: AZPN ) reported fourth quarter earnings per share of $0.21, easily surpassing the Zacks Consensus Estimate of $0.05 • AllianceBernstein Holding LP (NYSE: AB ) has agreed to purchase investment management company W.P. Stewart & Co. for $80 million ALLIANCEBERNSTN (AB): Free Stock Analysis Report APPLD MATLS INC (AMAT): Free Stock Analysis Report ASPEN TECH INC (AZPN): Free Stock Analysis Report BALLY TECH INC (BYI): Free Stock Analysis Report To read this article on Zacks.com click here. Zacks Investment Research The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. |
21906.0 | 2013-08-07 00:00:00 UTC | Allianceberstein Holding L.P. (AB) Ex-Dividend Date Scheduled for August 08, 2013 | AB | https://www.nasdaq.com/articles/allianceberstein-holding-lp-ab-ex-dividend-date-scheduled-august-08-2013-2013-08-07 | nan | nan | Allianceberstein Holding L.P. ( AB ) will begin trading ex-dividend on August 08, 2013. A cash dividend payment of $0.41 per share is scheduled to be paid on August 29, 2013. Shareholders who purchased AB stock prior to the ex-dividend date are eligible for the cash dividend payment. This represents an 7.89% increase over the prior quarter. At the current stock price of $22.76, the dividend yield is 7.21%.
The previous trading day's last sale of AB was $22.76, representing a -16.87% decrease from the 52 week high of $27.38 and a 90.62% increase over the 52 week low of $11.94.
AB is a part of the Finance sector, which includes companies such as Franklin Resources, Inc. ( BEN ) and AMERIPRISE FINANCIAL SERVICES, INC. ( AMP ). AB's current earnings per share, an indicator of a company's profitability, is $.81. Zacks Investment Research reports AB's forecasted earnings growth in 2013 as 25.52%, compared to an industry average of 10.3%.
For more information on the declaration, record and payment dates, visit the AB Dividend History page.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. | Shareholders who purchased AB stock prior to the ex-dividend date are eligible for the cash dividend payment. AB is a part of the Finance sector, which includes companies such as Franklin Resources, Inc. ( BEN ) and AMERIPRISE FINANCIAL SERVICES, INC. ( AMP ). Zacks Investment Research reports AB's forecasted earnings growth in 2013 as 25.52%, compared to an industry average of 10.3%. | Shareholders who purchased AB stock prior to the ex-dividend date are eligible for the cash dividend payment. The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. Allianceberstein Holding L.P. ( AB ) will begin trading ex-dividend on August 08, 2013. | Shareholders who purchased AB stock prior to the ex-dividend date are eligible for the cash dividend payment. The previous trading day's last sale of AB was $22.76, representing a -16.87% decrease from the 52 week high of $27.38 and a 90.62% increase over the 52 week low of $11.94. For more information on the declaration, record and payment dates, visit the AB Dividend History page. | Shareholders who purchased AB stock prior to the ex-dividend date are eligible for the cash dividend payment. Allianceberstein Holding L.P. ( AB ) will begin trading ex-dividend on August 08, 2013. The previous trading day's last sale of AB was $22.76, representing a -16.87% decrease from the 52 week high of $27.38 and a 90.62% increase over the 52 week low of $11.94. |
21907.0 | 2013-08-01 00:00:00 UTC | Company News for August 1, 2013 - Corporate Summary | AB | https://www.nasdaq.com/articles/company-news-for-august-1-2013-corporate-summary-2013-08-01 | nan | nan | • AllianceBernstein Holding LP (NYSE: AB ) posted second quarter earnings per share of $0.41, beating the Zacks Consensus Estimate of $0.38
• Amedisys Inc (NASDAQ: AMED ) reported second quarter earnings per share of $0.17, ahead of the Zacks Consensus Estimate of $0.10
• Humana Inc (NYSE: HUM ) posted second quarter earnings per share of $2.63, higher than the Zacks Consensus Estimate of $2.46
• Mastercard Inc (NYSE: MA ) reported second quarter earnings per share of $6.96, surpassing the Zacks Consensus Estimate of $6.32
• Exelon Corporation (NYSE: EXC ) posted second quarter earnings per share of $0.53, marginally lower than the Zacks Consensus Estimate of $0.54
• Hyatt Hotels Corporation (NYSE: H ) reported second quarter earnings per share of $0.43, beating the Zacks Consensus Estimate of $0.31
• Sodastream International Ltd (NASDAQ: SODA ) posted second quarter earnings per share of $0.60, higher than the Zacks Consensus Estimate of $0.57
ALLIANCEBERNSTN (AB): Free Stock Analysis Report
AMEDISYS INC (AMED): Free Stock Analysis Report
EXELON CORP (EXC): Free Stock Analysis Report
HYATT HOTELS CP (H): Free Stock Analysis Report
HUMANA INC NEW (HUM): Free Stock Analysis Report
MASTERCARD INC (MA): Free Stock Analysis Report
SODASTREAM INTL (SODA): Free Stock Analysis Report
To read this article on Zacks.com click here.
Zacks Investment Research
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. | • AllianceBernstein Holding LP (NYSE: AB ) posted second quarter earnings per share of $0.41, beating the Zacks Consensus Estimate of $0.38 • Amedisys Inc (NASDAQ: AMED ) reported second quarter earnings per share of $0.17, ahead of the Zacks Consensus Estimate of $0.10 • Humana Inc (NYSE: HUM ) posted second quarter earnings per share of $2.63, higher than the Zacks Consensus Estimate of $2.46 • Mastercard Inc (NYSE: MA ) reported second quarter earnings per share of $6.96, surpassing the Zacks Consensus Estimate of $6.32 • Exelon Corporation (NYSE: EXC ) posted second quarter earnings per share of $0.53, marginally lower than the Zacks Consensus Estimate of $0.54 • Hyatt Hotels Corporation (NYSE: H ) reported second quarter earnings per share of $0.43, beating the Zacks Consensus Estimate of $0.31 • Sodastream International Ltd (NASDAQ: SODA ) posted second quarter earnings per share of $0.60, higher than the Zacks Consensus Estimate of $0.57 ALLIANCEBERNSTN (AB): Free Stock Analysis Report AMEDISYS INC (AMED): Free Stock Analysis Report EXELON CORP (EXC): Free Stock Analysis Report HYATT HOTELS CP (H): Free Stock Analysis Report HUMANA INC NEW (HUM): Free Stock Analysis Report MASTERCARD INC (MA): Free Stock Analysis Report SODASTREAM INTL (SODA): Free Stock Analysis Report To read this article on Zacks.com click here. Zacks Investment Research The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. | • AllianceBernstein Holding LP (NYSE: AB ) posted second quarter earnings per share of $0.41, beating the Zacks Consensus Estimate of $0.38 • Amedisys Inc (NASDAQ: AMED ) reported second quarter earnings per share of $0.17, ahead of the Zacks Consensus Estimate of $0.10 • Humana Inc (NYSE: HUM ) posted second quarter earnings per share of $2.63, higher than the Zacks Consensus Estimate of $2.46 • Mastercard Inc (NYSE: MA ) reported second quarter earnings per share of $6.96, surpassing the Zacks Consensus Estimate of $6.32 • Exelon Corporation (NYSE: EXC ) posted second quarter earnings per share of $0.53, marginally lower than the Zacks Consensus Estimate of $0.54 • Hyatt Hotels Corporation (NYSE: H ) reported second quarter earnings per share of $0.43, beating the Zacks Consensus Estimate of $0.31 • Sodastream International Ltd (NASDAQ: SODA ) posted second quarter earnings per share of $0.60, higher than the Zacks Consensus Estimate of $0.57 ALLIANCEBERNSTN (AB): Free Stock Analysis Report AMEDISYS INC (AMED): Free Stock Analysis Report EXELON CORP (EXC): Free Stock Analysis Report HYATT HOTELS CP (H): Free Stock Analysis Report HUMANA INC NEW (HUM): Free Stock Analysis Report MASTERCARD INC (MA): Free Stock Analysis Report SODASTREAM INTL (SODA): Free Stock Analysis Report To read this article on Zacks.com click here. Zacks Investment Research The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. | • AllianceBernstein Holding LP (NYSE: AB ) posted second quarter earnings per share of $0.41, beating the Zacks Consensus Estimate of $0.38 • Amedisys Inc (NASDAQ: AMED ) reported second quarter earnings per share of $0.17, ahead of the Zacks Consensus Estimate of $0.10 • Humana Inc (NYSE: HUM ) posted second quarter earnings per share of $2.63, higher than the Zacks Consensus Estimate of $2.46 • Mastercard Inc (NYSE: MA ) reported second quarter earnings per share of $6.96, surpassing the Zacks Consensus Estimate of $6.32 • Exelon Corporation (NYSE: EXC ) posted second quarter earnings per share of $0.53, marginally lower than the Zacks Consensus Estimate of $0.54 • Hyatt Hotels Corporation (NYSE: H ) reported second quarter earnings per share of $0.43, beating the Zacks Consensus Estimate of $0.31 • Sodastream International Ltd (NASDAQ: SODA ) posted second quarter earnings per share of $0.60, higher than the Zacks Consensus Estimate of $0.57 ALLIANCEBERNSTN (AB): Free Stock Analysis Report AMEDISYS INC (AMED): Free Stock Analysis Report EXELON CORP (EXC): Free Stock Analysis Report HYATT HOTELS CP (H): Free Stock Analysis Report HUMANA INC NEW (HUM): Free Stock Analysis Report MASTERCARD INC (MA): Free Stock Analysis Report SODASTREAM INTL (SODA): Free Stock Analysis Report To read this article on Zacks.com click here. Zacks Investment Research The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. | • AllianceBernstein Holding LP (NYSE: AB ) posted second quarter earnings per share of $0.41, beating the Zacks Consensus Estimate of $0.38 • Amedisys Inc (NASDAQ: AMED ) reported second quarter earnings per share of $0.17, ahead of the Zacks Consensus Estimate of $0.10 • Humana Inc (NYSE: HUM ) posted second quarter earnings per share of $2.63, higher than the Zacks Consensus Estimate of $2.46 • Mastercard Inc (NYSE: MA ) reported second quarter earnings per share of $6.96, surpassing the Zacks Consensus Estimate of $6.32 • Exelon Corporation (NYSE: EXC ) posted second quarter earnings per share of $0.53, marginally lower than the Zacks Consensus Estimate of $0.54 • Hyatt Hotels Corporation (NYSE: H ) reported second quarter earnings per share of $0.43, beating the Zacks Consensus Estimate of $0.31 • Sodastream International Ltd (NASDAQ: SODA ) posted second quarter earnings per share of $0.60, higher than the Zacks Consensus Estimate of $0.57 ALLIANCEBERNSTN (AB): Free Stock Analysis Report AMEDISYS INC (AMED): Free Stock Analysis Report EXELON CORP (EXC): Free Stock Analysis Report HYATT HOTELS CP (H): Free Stock Analysis Report HUMANA INC NEW (HUM): Free Stock Analysis Report MASTERCARD INC (MA): Free Stock Analysis Report SODASTREAM INTL (SODA): Free Stock Analysis Report To read this article on Zacks.com click here. Zacks Investment Research The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. |
21908.0 | 2013-05-28 00:00:00 UTC | PFG Partners Accountable Health - Analyst Blog | AB | https://www.nasdaq.com/articles/pfg-partners-accountable-health-analyst-blog-2013-05-28 | nan | nan | Recently, Principal Financial Group Inc. ( PFG ) announced a strategic deal with Md.-based Accountable Health, Inc., under which the latter will provide a wide variety of wellness programs to the business and health plan customers of the former. Moreover, Principal Financial will transfer the ownership of its subsidiary - Principal Wellness Company - to Accountable Health. Further, Principal Financial will make financial investment in Accountable Health.
Accountable Health will absorb all the employees of Principal Wellness once the deal is closed. The tentative date for the same is Jul 1, 2013.
Both Accountable Health and Principal Financial are anticipating a seamless transition for the clientele and advisors of the latter. However, the companies did not divulge the financial details of the agreement.
Principal Financial believes that Accountable Health will be able to combine the resources and expertise of both the companies, thus facilitating expansion amid the swiftly transforming and highly competitive environment in the healthcare industry. The company believes that the implementation of the Affordable Care Act will increase business opportunities for the company. Moreover, as an investor of Accountable Health, Principal Financial will gain from the growth of the former.
Accountable Health provides a gamut of healthcare services and strives to enhance the quality, efficiency and cost of delivering these services by creating or acquiring various technology-enabled solutions. Although the company currently is headquartered in Rockville, Md., it plans to open offices in Des Moines and Indianapolis.
Principal Financial currently carries a Zacks Rank #3 (Hold). Other investment management companies worth considering are AllianceBernstein Holding L.P. ( AB ), GAMCO Investors, Inc. ( GBL ) and Noah Holdings Limited ( NOAH ). All these companies carry a Zacks Rank #1 (Strong Buy).
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PRINCIPAL FINL (PFG): Free Stock Analysis Report
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Zacks Investment Research
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. | Both Accountable Health and Principal Financial are anticipating a seamless transition for the clientele and advisors of the latter. Principal Financial believes that Accountable Health will be able to combine the resources and expertise of both the companies, thus facilitating expansion amid the swiftly transforming and highly competitive environment in the healthcare industry. Recently, Principal Financial Group Inc. ( PFG ) announced a strategic deal with Md.-based Accountable Health, Inc., under which the latter will provide a wide variety of wellness programs to the business and health plan customers of the former. | Other investment management companies worth considering are AllianceBernstein Holding L.P. ( AB ), GAMCO Investors, Inc. ( GBL ) and Noah Holdings Limited ( NOAH ). ALLIANCEBERNSTN (AB): Free Stock Analysis Report GAMCO INVESTORS (GBL): Free Stock Analysis Report NOAH HLDGS LTD (NOAH): Free Stock Analysis Report PRINCIPAL FINL (PFG): Free Stock Analysis Report To read this article on Zacks.com click here. Recently, Principal Financial Group Inc. ( PFG ) announced a strategic deal with Md.-based Accountable Health, Inc., under which the latter will provide a wide variety of wellness programs to the business and health plan customers of the former. | Recently, Principal Financial Group Inc. ( PFG ) announced a strategic deal with Md.-based Accountable Health, Inc., under which the latter will provide a wide variety of wellness programs to the business and health plan customers of the former. Moreover, Principal Financial will transfer the ownership of its subsidiary - Principal Wellness Company - to Accountable Health. ALLIANCEBERNSTN (AB): Free Stock Analysis Report GAMCO INVESTORS (GBL): Free Stock Analysis Report NOAH HLDGS LTD (NOAH): Free Stock Analysis Report PRINCIPAL FINL (PFG): Free Stock Analysis Report To read this article on Zacks.com click here. | Moreover, Principal Financial will transfer the ownership of its subsidiary - Principal Wellness Company - to Accountable Health. Further, Principal Financial will make financial investment in Accountable Health. Recently, Principal Financial Group Inc. ( PFG ) announced a strategic deal with Md.-based Accountable Health, Inc., under which the latter will provide a wide variety of wellness programs to the business and health plan customers of the former. |
21909.0 | 2013-05-24 00:00:00 UTC | BlackRock Remains Neutral - Analyst Blog | AB | https://www.nasdaq.com/articles/blackrock-remains-neutral-analyst-blog-2013-05-24 | nan | nan | On May 23, 2013, we reiterated our long-term recommendation on BlackRock, Inc . ( BLK ) at Neutral based on its improved capital deployment activities and acquisition plans. However, an elevated cost structure and high dependence on fee-based revenue are the causes of concern.
Why the Neutral Stance?
BlackRock's first-quarter 2013 adjusted earnings came in at $3.65, surpassing the Zacks Consensus Estimate of $3.59. Results were primarily driven by top-line growth, partially
offset by higher operating expenses. Moreover, Assets Under Management (AUM) showed a decent improvement.
The Zacks Consensus Estimate for 2013 rose 3.3% to $16.01 per share over the last 60 days. For 2014, the Zacks Consensus Estimate also went up 3.3% to $18.26 per share over the same time frame. Hence, the company currently has a Zacks Rank #2 (Buy).
BlackRock's capital deployment activities have been impressive. Earlier, in 2013, the company approved an increase in its share repurchase authorization, allowing it to repurchase upto 10.2 million shares of the common stock.
Moreover, BlackRock has expanded largely through acquisitions. Recently, it entered into a definitive agreement with MGPA, an independent private-equity property investment advisory firm, to purchase the latter. So far, the acquisition of Barclay's investment remains the biggest deal, which nearly doubled BlackRock's AUM at that time. Further, BlackRock acquired Credit Suisse's European ETF operations, which reflects its ample acquisition opportunities in the overseas markets.
However, BlackRock's dependence on investment advisory, administration fees and securities lending can adversely impact the company's financials due to changes in AUM owing to market fluctuations, regulatory changes or foreign exchange transactions.
Moreover, BlackRock is a geographically diversified company. Owing to this, its top-line growth can be negatively affected by a plethora of risks stemming from the international regulatory and political environment and foreign exchange fluctuations.
Other Major Banks to consider
Some other banks worth a look include AllianceBernstein Holding L.P . ( AB ), GAMCO Investors, Inc . ( GBL ) and Virtus Investment Partners, Inc . ( VRTS ). All these carry a Zacks Rank #1 (Strong Buy).
ALLIANCEBERNSTN (AB): Free Stock Analysis Report
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VIRTUS INVESTMT (VRTS): Free Stock Analysis Report
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Zacks Investment Research
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. | ( AB ), GAMCO Investors, Inc . ALLIANCEBERNSTN (AB): Free Stock Analysis Report BLACKROCK INC (BLK): Free Stock Analysis Report GAMCO INVESTORS (GBL): Free Stock Analysis Report VIRTUS INVESTMT (VRTS): Free Stock Analysis Report To read this article on Zacks.com click here. Further, BlackRock acquired Credit Suisse's European ETF operations, which reflects its ample acquisition opportunities in the overseas markets. | ALLIANCEBERNSTN (AB): Free Stock Analysis Report BLACKROCK INC (BLK): Free Stock Analysis Report GAMCO INVESTORS (GBL): Free Stock Analysis Report VIRTUS INVESTMT (VRTS): Free Stock Analysis Report To read this article on Zacks.com click here. ( AB ), GAMCO Investors, Inc . However, BlackRock's dependence on investment advisory, administration fees and securities lending can adversely impact the company's financials due to changes in AUM owing to market fluctuations, regulatory changes or foreign exchange transactions. | ALLIANCEBERNSTN (AB): Free Stock Analysis Report BLACKROCK INC (BLK): Free Stock Analysis Report GAMCO INVESTORS (GBL): Free Stock Analysis Report VIRTUS INVESTMT (VRTS): Free Stock Analysis Report To read this article on Zacks.com click here. ( AB ), GAMCO Investors, Inc . However, BlackRock's dependence on investment advisory, administration fees and securities lending can adversely impact the company's financials due to changes in AUM owing to market fluctuations, regulatory changes or foreign exchange transactions. | ALLIANCEBERNSTN (AB): Free Stock Analysis Report BLACKROCK INC (BLK): Free Stock Analysis Report GAMCO INVESTORS (GBL): Free Stock Analysis Report VIRTUS INVESTMT (VRTS): Free Stock Analysis Report To read this article on Zacks.com click here. ( AB ), GAMCO Investors, Inc . ( BLK ) at Neutral based on its improved capital deployment activities and acquisition plans. |
21910.0 | 2013-05-22 00:00:00 UTC | BlackRock Soars to a New 52-Week High - Analyst Blog | AB | https://www.nasdaq.com/articles/blackrock-soars-to-a-new-52-week-high-analyst-blog-2013-05-22 | nan | nan | Shares of BlackRock, Inc . ( BLK ) crafted a new 52-week high, touching $293.31 at the beginning of the trading session on May 21, 2013. The closing price of this leading asset manager represents a solid year-to-date return of 38.1%. The average trading volume over the last 3 months was 0.7 million shares.
Despite hitting its 52-week high, this Zacks Rank #2 (Buy) stock has plenty of upside left given its strong estimate revisions over the last 30 days and expected year-over-year earnings growth of 17.15% for 2013.
Growth Drivers
BlackRock's acquisition spree and impressive first-quarter 2013 results - including an earnings surprise of 1.67%, a record $3.936 trillion in assets under management (up 7% year over year) and continuous capital deployment activities - have been the primary growth drivers.
Recently, BlackRock entered into a definitive agreement with MGPA, an independent private-equity property investment advisory firm, to purchase the latter. The acquisition will enable BlackRock to acquire MGPA's assets under management worth approximately $12 billion. Further, this will take the total amount invested by BlackRock in the worldwide real estate business to $25 billion.
On Apr 16, 2013, BlackRock reported first-quarter 2013 adjusted earnings of $3.65 per share, surpassing the Zacks Consensus Estimate of $3.59. The results compare favorably with the year-ago earnings of $3.16. The year-over-year improvement was primarily attributable to top-line growth, partially offset by higher operating expenses.
Alongside, the company has delivered positive earnings surprises for 4 straight quarters with an average beat of 3.75%.
Estimate Revisions Show Potency
Over the last 30 days, the Zacks Consensus Estimate increased 0.7% to $16.03 per share. For 2014, the Zacks Consensus Estimate advanced 0.8% to $18.24 per share over the same time frame.
Other banks that are also worth considering include AllianceBernstein Holding L.P . ( AB ), GAMCO Investors, Inc . ( GBL ) and Invesco Ltd . ( IVZ ). All these carry a Zacks Rank #1 (Strong Buy).
ALLIANCEBERNSTN (AB): Free Stock Analysis Report
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INVESCO LTD (IVZ): Free Stock Analysis Report
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Zacks Investment Research
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. | The year-over-year improvement was primarily attributable to top-line growth, partially offset by higher operating expenses. The acquisition will enable BlackRock to acquire MGPA's assets under management worth approximately $12 billion. The results compare favorably with the year-ago earnings of $3.16. | ALLIANCEBERNSTN (AB): Free Stock Analysis Report BLACKROCK INC (BLK): Free Stock Analysis Report GAMCO INVESTORS (GBL): Free Stock Analysis Report INVESCO LTD (IVZ): Free Stock Analysis Report To read this article on Zacks.com click here. The acquisition will enable BlackRock to acquire MGPA's assets under management worth approximately $12 billion. The results compare favorably with the year-ago earnings of $3.16. | ALLIANCEBERNSTN (AB): Free Stock Analysis Report BLACKROCK INC (BLK): Free Stock Analysis Report GAMCO INVESTORS (GBL): Free Stock Analysis Report INVESCO LTD (IVZ): Free Stock Analysis Report To read this article on Zacks.com click here. The acquisition will enable BlackRock to acquire MGPA's assets under management worth approximately $12 billion. The results compare favorably with the year-ago earnings of $3.16. | The acquisition will enable BlackRock to acquire MGPA's assets under management worth approximately $12 billion. ALLIANCEBERNSTN (AB): Free Stock Analysis Report BLACKROCK INC (BLK): Free Stock Analysis Report GAMCO INVESTORS (GBL): Free Stock Analysis Report INVESCO LTD (IVZ): Free Stock Analysis Report To read this article on Zacks.com click here. The results compare favorably with the year-ago earnings of $3.16. |
21911.0 | 2013-05-13 00:00:00 UTC | Ameriprise Hits New 52-Week High - Analyst Blog | AB | https://www.nasdaq.com/articles/ameriprise-hits-new-52-week-high-analyst-blog-2013-05-13 | nan | nan | Shares of Ameriprise Financial, Inc . ( AMP ) hit a new 52-week high, touching $78.25 almost at the end of the trading session on May 10, 2013. The closing price of this financial holding company represents a solid year-to-date return of 21.5%. The average trading volume over the last 3 months was 1.5 million shares.
Despite hitting its 52-week high, this Zacks Rank #2 (Buy) stock has plenty of upside left given its strong estimate revisions over the last 60 days and expected year-over-year earnings growth of 18.0% for 2013.
Growth Drivers
Impressive first-quarter 2013 results - including an earnings surprise of 1.27% - and a 16% hike in its quarterly cash dividend have been the primary growth drivers.
On Apr 22, 2013, Ameriprise reported first-quarter operating earnings of $1.59 per share, marginally surpassing the Zacks Consensus Estimate of $1.57. This also rose 9.7% from the year-ago earnings of $1.45. Better-than-expected results were primarily driven by top-line improvement, partially offset by a rise in operating expenses.
Moreover, the company has delivered positive earnings surprises in the 3 of the last 4 quarters with an average beat of 1.0%.
Estimate Revisions Show Potency
Over the last 60 days, 6 out of 9 estimates for 2013 have been revised upward, lifting the Zacks Consensus Estimate by 0.9% to $6.60 per share. For 2014, 5 out of 9 estimates moved higher over the same time frame, helping the Zacks Consensus Estimate advance 0.5% to $7.65 per share.
Other stocks that are also worth considering include AllianceBernstein Holding L.P. ( AB ), Invesco Ltd. ( IVZ ) and Waddell & Reed Financial Inc. ( WDR ). All these carry a Zacks Rank #1 (Strong Buy).
ALLIANCEBERNSTN (AB): Free Stock Analysis Report
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WADDELL&REED -A (WDR): Free Stock Analysis Report
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Zacks Investment Research
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. | Other stocks that are also worth considering include AllianceBernstein Holding L.P. ( AB ), Invesco Ltd. ( IVZ ) and Waddell & Reed Financial Inc. ( WDR ). ALLIANCEBERNSTN (AB): Free Stock Analysis Report AMERIPRISE FINL (AMP): Free Stock Analysis Report INVESCO LTD (IVZ): Free Stock Analysis Report WADDELL&REED -A (WDR): Free Stock Analysis Report To read this article on Zacks.com click here. Despite hitting its 52-week high, this Zacks Rank #2 (Buy) stock has plenty of upside left given its strong estimate revisions over the last 60 days and expected year-over-year earnings growth of 18.0% for 2013. | Other stocks that are also worth considering include AllianceBernstein Holding L.P. ( AB ), Invesco Ltd. ( IVZ ) and Waddell & Reed Financial Inc. ( WDR ). ALLIANCEBERNSTN (AB): Free Stock Analysis Report AMERIPRISE FINL (AMP): Free Stock Analysis Report INVESCO LTD (IVZ): Free Stock Analysis Report WADDELL&REED -A (WDR): Free Stock Analysis Report To read this article on Zacks.com click here. On Apr 22, 2013, Ameriprise reported first-quarter operating earnings of $1.59 per share, marginally surpassing the Zacks Consensus Estimate of $1.57. | ALLIANCEBERNSTN (AB): Free Stock Analysis Report AMERIPRISE FINL (AMP): Free Stock Analysis Report INVESCO LTD (IVZ): Free Stock Analysis Report WADDELL&REED -A (WDR): Free Stock Analysis Report To read this article on Zacks.com click here. Other stocks that are also worth considering include AllianceBernstein Holding L.P. ( AB ), Invesco Ltd. ( IVZ ) and Waddell & Reed Financial Inc. ( WDR ). Despite hitting its 52-week high, this Zacks Rank #2 (Buy) stock has plenty of upside left given its strong estimate revisions over the last 60 days and expected year-over-year earnings growth of 18.0% for 2013. | Other stocks that are also worth considering include AllianceBernstein Holding L.P. ( AB ), Invesco Ltd. ( IVZ ) and Waddell & Reed Financial Inc. ( WDR ). ALLIANCEBERNSTN (AB): Free Stock Analysis Report AMERIPRISE FINL (AMP): Free Stock Analysis Report INVESCO LTD (IVZ): Free Stock Analysis Report WADDELL&REED -A (WDR): Free Stock Analysis Report To read this article on Zacks.com click here. Shares of Ameriprise Financial, Inc . |
21912.0 | 2013-05-13 00:00:00 UTC | Legg Mason's AUM Declines in April - Analyst Blog | AB | https://www.nasdaq.com/articles/legg-masons-aum-declines-in-april-analyst-blog-2013-05-13 | nan | nan | Baltimore-based Legg Mason Inc. ( LM ) reported a dip in its assets under management (AUM) as of Apr 30, 2013, compared with the prior month, reflecting the liquidity redemption from a sovereign client. Preliminary month-end AUM came in at $655.4 billion, down 1.4% from March-end. Equity and Fixed Income AUM were up in the month under review, though liquidity AUM declined.
Legg Mason's equity AUM as of April-end rose 0.6% from the prior month to $162.8 billion, while fixed income AUM increased 1.7% compared with the prior month to $371.3 billion.
The rise in equity and fixed income AUM resulted in long-term AUM of $534.1 billion, reflecting a 1.4% increase against the prior month. Liquid assets, which are convertible into cash, decreased about 11.9% to $121.3 billion.
Among other investment managers, Invesco Ltd. ( IVZ ) announced a 2.6% rise in its preliminary month-end AUM for Apr 2013, which stood at $748.5 billion. Another firm - Franklin Resources Inc. ( BEN ) - declared preliminary AUM of $847.5 billion by its subsidiaries for the month of Apr 2013, reflecting an escalation of 2.9% over the prior month.
We believe Legg Mason has the potential to outperform its peers in the long run, given its diversified product mix and leverage to the changing market demography. However, in the near term, asset outflows will remain a significant headwind. Yet, owing to the restructuring initiatives and cost-cutting measures, we expect operating efficiencies to improve for Legg Mason and dividend payments to continue to inspire investors' confidence in the stock.
Currently, Legg Mason holds a Zacks Rank #3 (Hold). Some better performing asset managers include AllianceBernstein Holding L.P. ( AB ) with a Zacks Rank #1 (Strong Buy).
ALLIANCEBERNSTN (AB): Free Stock Analysis Report
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LEGG MASON INC (LM): Free Stock Analysis Report
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The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. | Liquid assets, which are convertible into cash, decreased about 11.9% to $121.3 billion. Some better performing asset managers include AllianceBernstein Holding L.P. ( AB ) with a Zacks Rank #1 (Strong Buy). ALLIANCEBERNSTN (AB): Free Stock Analysis Report FRANKLIN RESOUR (BEN): Free Stock Analysis Report INVESCO LTD (IVZ): Free Stock Analysis Report LEGG MASON INC (LM): Free Stock Analysis Report To read this article on Zacks.com click here. | ALLIANCEBERNSTN (AB): Free Stock Analysis Report FRANKLIN RESOUR (BEN): Free Stock Analysis Report INVESCO LTD (IVZ): Free Stock Analysis Report LEGG MASON INC (LM): Free Stock Analysis Report To read this article on Zacks.com click here. Liquid assets, which are convertible into cash, decreased about 11.9% to $121.3 billion. Some better performing asset managers include AllianceBernstein Holding L.P. ( AB ) with a Zacks Rank #1 (Strong Buy). | ALLIANCEBERNSTN (AB): Free Stock Analysis Report FRANKLIN RESOUR (BEN): Free Stock Analysis Report INVESCO LTD (IVZ): Free Stock Analysis Report LEGG MASON INC (LM): Free Stock Analysis Report To read this article on Zacks.com click here. Liquid assets, which are convertible into cash, decreased about 11.9% to $121.3 billion. Some better performing asset managers include AllianceBernstein Holding L.P. ( AB ) with a Zacks Rank #1 (Strong Buy). | Liquid assets, which are convertible into cash, decreased about 11.9% to $121.3 billion. Some better performing asset managers include AllianceBernstein Holding L.P. ( AB ) with a Zacks Rank #1 (Strong Buy). ALLIANCEBERNSTN (AB): Free Stock Analysis Report FRANKLIN RESOUR (BEN): Free Stock Analysis Report INVESCO LTD (IVZ): Free Stock Analysis Report LEGG MASON INC (LM): Free Stock Analysis Report To read this article on Zacks.com click here. |
21913.0 | 2013-05-09 00:00:00 UTC | Invesco Hits New 52-Week High - Analyst Blog | AB | https://www.nasdaq.com/articles/invesco-hits-new-52-week-high-analyst-blog-2013-05-09 | nan | nan | Shares of Invesco Ltd. ( IVZ ) achieved a new 52-week high, touching $33.03 almost at the end of the trading session on May 8. The closing price of this well-known asset manager reflects a solid year-to-date return of 23.2%. The trading volume for the session was 3.1 million shares.
Despite hitting its 52-week high, this Zacks Rank #1 (Strong Buy) stock has plenty of upside left, given its strong estimate revisions over the last 30 days and the expected year-over-year earnings growth of 11.52% for 2013.
Growth Drivers
Impressive first-quarter 2013 results - including an earnings surprise of 10.6% and strong assets under management (AUM) - as well as solid capital deployment activities and a robust balance sheet were the primary growth drivers for Invesco.
On Apr 30, Invesco reported first-quarter 2013 earnings of 52 cents per share, surpassing the Zacks Consensus Estimate by a nickel. Moreover, results exceeded the prior-quarter earnings of 45 cents. Better-than-expected results came on the back of higher revenues.
As of Mar 31, 2013, AUM grew 6.0% sequentially to $729.3 billion, reflecting net market gains, partially offset by unfavorable foreign exchange rate changes. Average AUM for the first quarter was $712.7 billion, up 4.8% from $680.2 billion in the prior quarter.
Estimate Revisions Show Strength
For Invesco, over the last 30 days, 12 of the 18 estimates for 2013 have been revised upward, lifting the Zacks Consensus Estimate by 3.4% to $2.13 per share. For 2014, 13 of the 17 estimates moved north, helping the Zacks Consensus Estimate rise 4.2% to $2.48 per share.
Other investment managers worth considering include AllianceBernstein Holding L.P. ( AB ), Waddell & Reed Financial Inc. ( WDR ) and Virtus Investment Partners, Inc. ( VRTS ). All these stocks carry the same Zacks Rank as Invesco.
ALLIANCEBERNSTN (AB): Free Stock Analysis Report
INVESCO LTD (IVZ): Free Stock Analysis Report
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WADDELL&REED -A (WDR): Free Stock Analysis Report
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The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. | As of Mar 31, 2013, AUM grew 6.0% sequentially to $729.3 billion, reflecting net market gains, partially offset by unfavorable foreign exchange rate changes. Other investment managers worth considering include AllianceBernstein Holding L.P. ( AB ), Waddell & Reed Financial Inc. ( WDR ) and Virtus Investment Partners, Inc. ( VRTS ). ALLIANCEBERNSTN (AB): Free Stock Analysis Report INVESCO LTD (IVZ): Free Stock Analysis Report VIRTUS INVESTMT (VRTS): Free Stock Analysis Report WADDELL&REED -A (WDR): Free Stock Analysis Report To read this article on Zacks.com click here. | ALLIANCEBERNSTN (AB): Free Stock Analysis Report INVESCO LTD (IVZ): Free Stock Analysis Report VIRTUS INVESTMT (VRTS): Free Stock Analysis Report WADDELL&REED -A (WDR): Free Stock Analysis Report To read this article on Zacks.com click here. As of Mar 31, 2013, AUM grew 6.0% sequentially to $729.3 billion, reflecting net market gains, partially offset by unfavorable foreign exchange rate changes. Other investment managers worth considering include AllianceBernstein Holding L.P. ( AB ), Waddell & Reed Financial Inc. ( WDR ) and Virtus Investment Partners, Inc. ( VRTS ). | ALLIANCEBERNSTN (AB): Free Stock Analysis Report INVESCO LTD (IVZ): Free Stock Analysis Report VIRTUS INVESTMT (VRTS): Free Stock Analysis Report WADDELL&REED -A (WDR): Free Stock Analysis Report To read this article on Zacks.com click here. As of Mar 31, 2013, AUM grew 6.0% sequentially to $729.3 billion, reflecting net market gains, partially offset by unfavorable foreign exchange rate changes. Other investment managers worth considering include AllianceBernstein Holding L.P. ( AB ), Waddell & Reed Financial Inc. ( WDR ) and Virtus Investment Partners, Inc. ( VRTS ). | ALLIANCEBERNSTN (AB): Free Stock Analysis Report INVESCO LTD (IVZ): Free Stock Analysis Report VIRTUS INVESTMT (VRTS): Free Stock Analysis Report WADDELL&REED -A (WDR): Free Stock Analysis Report To read this article on Zacks.com click here. As of Mar 31, 2013, AUM grew 6.0% sequentially to $729.3 billion, reflecting net market gains, partially offset by unfavorable foreign exchange rate changes. Other investment managers worth considering include AllianceBernstein Holding L.P. ( AB ), Waddell & Reed Financial Inc. ( WDR ) and Virtus Investment Partners, Inc. ( VRTS ). |
21914.0 | 2013-05-08 00:00:00 UTC | Alliance Capital Management Holding L.P. (AB) Ex-Dividend Date Scheduled for May 09, 2013 | AB | https://www.nasdaq.com/articles/alliance-capital-management-holding-lp-ab-ex-dividend-date-scheduled-may-09-2013-2013-05 | nan | nan | Alliance Capital Management Holding L.P. ( AB ) will begin trading ex-dividend on May 09, 2013. A cash dividend payment of $0.38 per share is scheduled to be paid on May 23, 2013. Shareholders who purchased AB stock prior to the ex-dividend date are eligible for the cash dividend payment. This represents an -5% decrease from the prior quarter. At the current stock price of $25.45, the dividend yield is 5.97%.
The previous trading day's last sale of AB was $25.45, representing a -1.2% decrease from the 52 week high of $25.76 and a 122.47% increase over the 52 week low of $11.44.
AB is a part of the Finance sector, which includes companies such as Franklin Resources, Inc. ( BEN ) and AMERIPRISE FINANCIAL SERVICES, INC. ( AMP ). AB's current earnings per share, an indicator of a company's profitability, is $.62. Zacks Investment Research reports AB's forecasted earnings growth in 2013 as 20.76%, compared to an industry average of 9%.
For more information on the declaration, record and payment dates, visit the AB Dividend History page.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. | Shareholders who purchased AB stock prior to the ex-dividend date are eligible for the cash dividend payment. AB is a part of the Finance sector, which includes companies such as Franklin Resources, Inc. ( BEN ) and AMERIPRISE FINANCIAL SERVICES, INC. ( AMP ). Zacks Investment Research reports AB's forecasted earnings growth in 2013 as 20.76%, compared to an industry average of 9%. | Shareholders who purchased AB stock prior to the ex-dividend date are eligible for the cash dividend payment. The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. Alliance Capital Management Holding L.P. ( AB ) will begin trading ex-dividend on May 09, 2013. | Shareholders who purchased AB stock prior to the ex-dividend date are eligible for the cash dividend payment. The previous trading day's last sale of AB was $25.45, representing a -1.2% decrease from the 52 week high of $25.76 and a 122.47% increase over the 52 week low of $11.44. For more information on the declaration, record and payment dates, visit the AB Dividend History page. | Shareholders who purchased AB stock prior to the ex-dividend date are eligible for the cash dividend payment. Alliance Capital Management Holding L.P. ( AB ) will begin trading ex-dividend on May 09, 2013. The previous trading day's last sale of AB was $25.45, representing a -1.2% decrease from the 52 week high of $25.76 and a 122.47% increase over the 52 week low of $11.44. |
21915.0 | 2013-05-08 00:00:00 UTC | Franklin Hits New 52-Week High - Analyst Blog | AB | https://www.nasdaq.com/articles/franklin-hits-new-52-week-high-analyst-blog-2013-05-08 | nan | nan | Franklin Hits New 52-Week High
Shares of Franklin Resources Inc. ( BEN ) achieved a new 52-week high, touching $158.96 in the second half of the trading session on May 7. The closing price of this well-know asset manager represents a solid year-to-date return of 22.4%. The trading volume for the session was 341,909 shares.
Despite hitting its 52-week high, this Zacks Rank #2 (Buy) stock has plenty of upside left given its strong estimate revisions over the last 7 days and the expected year-over-year earnings growth of 15.2% for fiscal 2013.
Growth Drivers
Impressive fiscal second-quarter 2013 results - including an earnings surprise of 8.5% and strong assets under management (AUM) position - as well as solid capital deployment activities and a robust capital position have been the primary growth drivers for Franklin.
On Apr 30, Franklin reported second-quarter 2013 earnings of $2.69 per share, significantly beating the Zacks Consensus Estimate by 21 cents. Moreover, results outpaced earnings of $2.42 in the prior quarter. Better-than-expected results came on the back of higher revenues.
As of Mar 31, 2013, total AUM was $823.7 billion, up 5.4% sequentially, driven by market appreciation of $24.5 billion and $18.3 billion of net new flows. Simple monthly average AUM of $807.3 billion during the quarter climbed 6% sequentially. Net new flows were $18.3 billion versus $0.3 billion in the prior quarter.
Moreover, Franklin has now delivered positive earnings surprises for 4 straight quarters with an average beat of 3.6%.
Estimate Revisions Show Potency
For Franklin, over the last 7 days, 9 of the 16 estimates for fiscal 2013 have been revised upward, lifting the Zacks Consensus Estimate by 1.6% to $10.31 per share. For fiscal 2014, 8 of the 17 estimates moved north, helping the Zacks Consensus Estimate advance 1.1% to $11.53 per share.
Some better performing investment managers include Invesco Ltd . ( IVZ ), AllianceBernstein Holding L.P . ( AB ) and Virtus Investment Partners, Inc. ( VRTS ). All these carry a Zacks Rank #1 (Strong Buy).
ALLIANCEBERNSTN (AB): Free Stock Analysis Report
FRANKLIN RESOUR (BEN): Free Stock Analysis Report
INVESCO LTD (IVZ): Free Stock Analysis Report
VIRTUS INVESTMT (VRTS): Free Stock Analysis Report
To read this article on Zacks.com click here.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. | ( AB ) and Virtus Investment Partners, Inc. ( VRTS ). ALLIANCEBERNSTN (AB): Free Stock Analysis Report FRANKLIN RESOUR (BEN): Free Stock Analysis Report INVESCO LTD (IVZ): Free Stock Analysis Report VIRTUS INVESTMT (VRTS): Free Stock Analysis Report To read this article on Zacks.com click here. Despite hitting its 52-week high, this Zacks Rank #2 (Buy) stock has plenty of upside left given its strong estimate revisions over the last 7 days and the expected year-over-year earnings growth of 15.2% for fiscal 2013. | ALLIANCEBERNSTN (AB): Free Stock Analysis Report FRANKLIN RESOUR (BEN): Free Stock Analysis Report INVESCO LTD (IVZ): Free Stock Analysis Report VIRTUS INVESTMT (VRTS): Free Stock Analysis Report To read this article on Zacks.com click here. ( AB ) and Virtus Investment Partners, Inc. ( VRTS ). Growth Drivers Impressive fiscal second-quarter 2013 results - including an earnings surprise of 8.5% and strong assets under management (AUM) position - as well as solid capital deployment activities and a robust capital position have been the primary growth drivers for Franklin. | ALLIANCEBERNSTN (AB): Free Stock Analysis Report FRANKLIN RESOUR (BEN): Free Stock Analysis Report INVESCO LTD (IVZ): Free Stock Analysis Report VIRTUS INVESTMT (VRTS): Free Stock Analysis Report To read this article on Zacks.com click here. ( AB ) and Virtus Investment Partners, Inc. ( VRTS ). Growth Drivers Impressive fiscal second-quarter 2013 results - including an earnings surprise of 8.5% and strong assets under management (AUM) position - as well as solid capital deployment activities and a robust capital position have been the primary growth drivers for Franklin. | ( AB ) and Virtus Investment Partners, Inc. ( VRTS ). ALLIANCEBERNSTN (AB): Free Stock Analysis Report FRANKLIN RESOUR (BEN): Free Stock Analysis Report INVESCO LTD (IVZ): Free Stock Analysis Report VIRTUS INVESTMT (VRTS): Free Stock Analysis Report To read this article on Zacks.com click here. Despite hitting its 52-week high, this Zacks Rank #2 (Buy) stock has plenty of upside left given its strong estimate revisions over the last 7 days and the expected year-over-year earnings growth of 15.2% for fiscal 2013. |
21916.0 | 2013-05-07 00:00:00 UTC | Legg Mason Hits New 52-Week High - Analyst Blog | AB | https://www.nasdaq.com/articles/legg-mason-hits-new-52-week-high-analyst-blog-2013-05-07 | nan | nan | Shares of Legg Mason Inc. ( LM ) achieved a new 52-week high, touching $32.96 in the beginning of the trading session on May 6. The closing price of this well-know asset manager represents a solid year-to-date return of 24.6%. The average trading volume over the last 3 months was 1.7 million shares.
Despite hitting its 52-week high, this Zacks Rank #3 (Hold) stock has plenty of upside left given its strong estimate revisions over the last 7 days and the expected year-over-year earnings growth of 25.7% for fiscal 2014.
Growth Drivers
Strong assets under management (AUM) position - including year-over-year growth of 3% - and solid capital deployment activities, including a dividend increase in Apr 2013, have been the primary growth drivers for Legg Mason.
On Apr 30, Legg Mason reported AUM of $664.6 billion, up 3.0% year over year, driven by market appreciation of $34.2 billion. Fixed income represented 55% of consolidated AUM as of Mar 31, 2013, liquidity represented 21% and equity comprised 24%. Besides, average AUM was $657.4 billion, up 3.5% from $634.9 billion in the prior-year quarter.
Estimate Revisions Show Potency
For Legg Mason, over the last 7 days, 1 of the 6 estimates for fiscal 2014 has been revised upward, lifting the Zacks Consensus Estimate by 8.6% to $3.28 per share. For fiscal 2015, 1 of the 5 estimates moved north, helping the Zacks Consensus Estimate advance 19.4% to $3.44 per share.
Some better performing investment managers include Invesco Ltd. ( IVZ ), AllianceBernstein Holding L.P. ( AB ) and Virtus Investment Partners, Inc. ( VRTS ). All these carry a Zacks Rank #1 (Strong Buy).
ALLIANCEBERNSTN (AB): Free Stock Analysis Report
INVESCO LTD (IVZ): Free Stock Analysis Report
LEGG MASON INC (LM): Free Stock Analysis Report
VIRTUS INVESTMT (VRTS): Free Stock Analysis Report
To read this article on Zacks.com click here.
Zacks Investment Research
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. | Some better performing investment managers include Invesco Ltd. ( IVZ ), AllianceBernstein Holding L.P. ( AB ) and Virtus Investment Partners, Inc. ( VRTS ). ALLIANCEBERNSTN (AB): Free Stock Analysis Report INVESCO LTD (IVZ): Free Stock Analysis Report LEGG MASON INC (LM): Free Stock Analysis Report VIRTUS INVESTMT (VRTS): Free Stock Analysis Report To read this article on Zacks.com click here. Shares of Legg Mason Inc. ( LM ) achieved a new 52-week high, touching $32.96 in the beginning of the trading session on May 6. | Some better performing investment managers include Invesco Ltd. ( IVZ ), AllianceBernstein Holding L.P. ( AB ) and Virtus Investment Partners, Inc. ( VRTS ). ALLIANCEBERNSTN (AB): Free Stock Analysis Report INVESCO LTD (IVZ): Free Stock Analysis Report LEGG MASON INC (LM): Free Stock Analysis Report VIRTUS INVESTMT (VRTS): Free Stock Analysis Report To read this article on Zacks.com click here. Growth Drivers Strong assets under management (AUM) position - including year-over-year growth of 3% - and solid capital deployment activities, including a dividend increase in Apr 2013, have been the primary growth drivers for Legg Mason. | ALLIANCEBERNSTN (AB): Free Stock Analysis Report INVESCO LTD (IVZ): Free Stock Analysis Report LEGG MASON INC (LM): Free Stock Analysis Report VIRTUS INVESTMT (VRTS): Free Stock Analysis Report To read this article on Zacks.com click here. Some better performing investment managers include Invesco Ltd. ( IVZ ), AllianceBernstein Holding L.P. ( AB ) and Virtus Investment Partners, Inc. ( VRTS ). Growth Drivers Strong assets under management (AUM) position - including year-over-year growth of 3% - and solid capital deployment activities, including a dividend increase in Apr 2013, have been the primary growth drivers for Legg Mason. | Some better performing investment managers include Invesco Ltd. ( IVZ ), AllianceBernstein Holding L.P. ( AB ) and Virtus Investment Partners, Inc. ( VRTS ). ALLIANCEBERNSTN (AB): Free Stock Analysis Report INVESCO LTD (IVZ): Free Stock Analysis Report LEGG MASON INC (LM): Free Stock Analysis Report VIRTUS INVESTMT (VRTS): Free Stock Analysis Report To read this article on Zacks.com click here. The average trading volume over the last 3 months was 1.7 million shares. |
21917.0 | 2013-05-07 00:00:00 UTC | Zacks #1 Rank Additions for Tuesday - Tale of the Tape | AB | https://www.nasdaq.com/articles/zacks-1-rank-additions-for-tuesday-tale-of-the-tape-2013-05-07 | nan | nan | Here are 5 stocks added to the Zacks #1 Rank ("strong buy") List today:
Alleghany Corp ( Y )
AllianceBernstein Holding LP ( AB )
Ameris Bancorp ( ABCB )
AMN Healthcare Services, Inc. ( AHS )
ARC RESOURCES LTD. ( AETUF )
View the entire Zacks #1 Rank List .
ALLIANCEBERNSTN (AB): Free Stock Analysis Report
AMERIS BANCORP (ABCB): Free Stock Analysis Report
ARC RESOURCES (AETUF): Get Free Report
AMN HLTHCR SVCS (AHS): Free Stock Analysis Report
ALLEGHANY CORP (Y): Free Stock Analysis Report
To read this article on Zacks.com click here.
Zacks Investment Research
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. | Here are 5 stocks added to the Zacks #1 Rank ("strong buy") List today: Alleghany Corp ( Y ) AllianceBernstein Holding LP ( AB ) Ameris Bancorp ( ABCB ) AMN Healthcare Services, Inc. ( AHS ) ALLIANCEBERNSTN (AB): Free Stock Analysis Report AMERIS BANCORP (ABCB): Free Stock Analysis Report ARC RESOURCES (AETUF): Get Free Report AMN HLTHCR SVCS (AHS): Free Stock Analysis Report ALLEGHANY CORP (Y): Free Stock Analysis Report To read this article on Zacks.com click here. Zacks Investment Research The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. | Here are 5 stocks added to the Zacks #1 Rank ("strong buy") List today: Alleghany Corp ( Y ) AllianceBernstein Holding LP ( AB ) Ameris Bancorp ( ABCB ) AMN Healthcare Services, Inc. ( AHS ) ALLIANCEBERNSTN (AB): Free Stock Analysis Report AMERIS BANCORP (ABCB): Free Stock Analysis Report ARC RESOURCES (AETUF): Get Free Report AMN HLTHCR SVCS (AHS): Free Stock Analysis Report ALLEGHANY CORP (Y): Free Stock Analysis Report To read this article on Zacks.com click here. Zacks Investment Research The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. | ALLIANCEBERNSTN (AB): Free Stock Analysis Report AMERIS BANCORP (ABCB): Free Stock Analysis Report ARC RESOURCES (AETUF): Get Free Report AMN HLTHCR SVCS (AHS): Free Stock Analysis Report ALLEGHANY CORP (Y): Free Stock Analysis Report To read this article on Zacks.com click here. Here are 5 stocks added to the Zacks #1 Rank ("strong buy") List today: Alleghany Corp ( Y ) AllianceBernstein Holding LP ( AB ) Ameris Bancorp ( ABCB ) AMN Healthcare Services, Inc. ( AHS ) Zacks Investment Research The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. | Here are 5 stocks added to the Zacks #1 Rank ("strong buy") List today: Alleghany Corp ( Y ) AllianceBernstein Holding LP ( AB ) Ameris Bancorp ( ABCB ) AMN Healthcare Services, Inc. ( AHS ) ALLIANCEBERNSTN (AB): Free Stock Analysis Report AMERIS BANCORP (ABCB): Free Stock Analysis Report ARC RESOURCES (AETUF): Get Free Report AMN HLTHCR SVCS (AHS): Free Stock Analysis Report ALLEGHANY CORP (Y): Free Stock Analysis Report To read this article on Zacks.com click here. Zacks Investment Research The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. |
21918.0 | 2013-04-11 00:00:00 UTC | Legg Mason's AUM Rises in March - Analyst Blog | AB | https://www.nasdaq.com/articles/legg-masons-aum-rises-in-march-analyst-blog-2013-04-11 | nan | nan | Baltimore-based Legg Mason Inc. ( LM ) reported a rise in its assets under management (AUM) as of Mar 31, 2013, compared with the prior quarter, reflecting the acquisition of Fauchier Partners. Preliminary quarter-end AUM came in at $664.6 billion, up 2.4% sequentially. Equity and liquidity AUM were up in the quarter under review, though Fixed Income AUM declined.
Legg Mason's equity AUM as of March-end jumped 11.2% sequentially to $161.8 billion while liquid assets, which are convertible into cash, increased about 1.0% to $137.7 billion.
Fixed income AUM dipped 0.5% compared with the prior quarter to $365.1 billion. The rise in equity AUM, partly offset by a fall in fixed income AUM, resulted in long-term AUM of $526.9 billion, reflecting a 2.8% increase against the prior quarter.
Among other investment managers, Invesco Ltd. ( IVZ ) announced a 2.2% rise in its preliminary month-end AUM for Mar 2013, which stood at $729.3 billion. Another firm - Franklin Resources Inc. ( BEN ) - declared preliminary AUM of $823.7 billion by its subsidiaries for the month of Mar 2013, reflecting an escalation of 1.2% over the prior month.
We believe Legg Mason has the potential to outperform its peers in the long run, given its diversified product mix and leverage to the changing market demography. However, in the near term, asset outflows will remain a significant headwind. Yet, owing to the restructuring initiatives and the cost-cutting measures, we expect operating efficiencies to improve for Legg Mason and dividend payments to continue to inspire investors' confidence in the stock.
Legg Mason is expected to announce its fiscal fourth-quarter 2013 results on Apr 29. The Zacks Consensus Estimate for the quarter is pegged at 59 cents per share. The Zacks Earnings ESP (Read: Zacks Earnings ESP: A Better Method ) for Legg Mason is +18.64% for the fourth quarter. This, along with its Zacks Rank #3 (Hold), makes us confident for the company to report a positive earnings surprise.
Among other asset managers, we are not confident of an earnings beat from AllianceBernstein Holding L.P. (AB) with an Earnings ESP of 0.00% and a Zacks Rank #1 (Strong Buy).
ALLIANCEBERNSTN (AB): Free Stock Analysis Report
FRANKLIN RESOUR (BEN): Free Stock Analysis Report
INVESCO LTD (IVZ): Free Stock Analysis Report
LEGG MASON INC (LM): Free Stock Analysis Report
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Zacks Investment Research
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. | Legg Mason's equity AUM as of March-end jumped 11.2% sequentially to $161.8 billion while liquid assets, which are convertible into cash, increased about 1.0% to $137.7 billion. Among other asset managers, we are not confident of an earnings beat from AllianceBernstein Holding L.P. (AB) with an Earnings ESP of 0.00% and a Zacks Rank #1 (Strong Buy). ALLIANCEBERNSTN (AB): Free Stock Analysis Report FRANKLIN RESOUR (BEN): Free Stock Analysis Report INVESCO LTD (IVZ): Free Stock Analysis Report LEGG MASON INC (LM): Free Stock Analysis Report To read this article on Zacks.com click here. | ALLIANCEBERNSTN (AB): Free Stock Analysis Report FRANKLIN RESOUR (BEN): Free Stock Analysis Report INVESCO LTD (IVZ): Free Stock Analysis Report LEGG MASON INC (LM): Free Stock Analysis Report To read this article on Zacks.com click here. Legg Mason's equity AUM as of March-end jumped 11.2% sequentially to $161.8 billion while liquid assets, which are convertible into cash, increased about 1.0% to $137.7 billion. Among other asset managers, we are not confident of an earnings beat from AllianceBernstein Holding L.P. (AB) with an Earnings ESP of 0.00% and a Zacks Rank #1 (Strong Buy). | ALLIANCEBERNSTN (AB): Free Stock Analysis Report FRANKLIN RESOUR (BEN): Free Stock Analysis Report INVESCO LTD (IVZ): Free Stock Analysis Report LEGG MASON INC (LM): Free Stock Analysis Report To read this article on Zacks.com click here. Legg Mason's equity AUM as of March-end jumped 11.2% sequentially to $161.8 billion while liquid assets, which are convertible into cash, increased about 1.0% to $137.7 billion. Among other asset managers, we are not confident of an earnings beat from AllianceBernstein Holding L.P. (AB) with an Earnings ESP of 0.00% and a Zacks Rank #1 (Strong Buy). | Legg Mason's equity AUM as of March-end jumped 11.2% sequentially to $161.8 billion while liquid assets, which are convertible into cash, increased about 1.0% to $137.7 billion. Among other asset managers, we are not confident of an earnings beat from AllianceBernstein Holding L.P. (AB) with an Earnings ESP of 0.00% and a Zacks Rank #1 (Strong Buy). ALLIANCEBERNSTN (AB): Free Stock Analysis Report FRANKLIN RESOUR (BEN): Free Stock Analysis Report INVESCO LTD (IVZ): Free Stock Analysis Report LEGG MASON INC (LM): Free Stock Analysis Report To read this article on Zacks.com click here. |
21919.0 | 2013-04-11 00:00:00 UTC | Zacks #1 Rank Additions for Thursday - Tale of the Tape | AB | https://www.nasdaq.com/articles/zacks-1-rank-additions-for-thursday-tale-of-the-tape-2013-04-11 | nan | nan | Here are 5 stocks added to the Zacks #1 Rank ("strong buy") List today:
AllianceBernstein Holding L.P. ( AB )
American Capital Agency Corp. ( AGNC )
BNC Bancorp ( BNCN )
Catalyst Pharmaceutical Partners, Inc. ( CPRX )
Geospace Technologies Corp ( GEOS )
View the entire Zacks #1 Rank List .
ALLIANCEBERNSTN (AB): Free Stock Analysis Report
AMER CAP AGENCY (AGNC): Free Stock Analysis Report
BNC BANCORP (BNCN): Free Stock Analysis Report
CATALYST PHARMA (CPRX): Free Stock Analysis Report
GEOSPACE TEC CP (GEOS): Free Stock Analysis Report
To read this article on Zacks.com click here.
Zacks Investment Research
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. | Here are 5 stocks added to the Zacks #1 Rank ("strong buy") List today: AllianceBernstein Holding L.P. ( AB ) American Capital Agency Corp. ( AGNC ) BNC Bancorp ( BNCN ) Catalyst Pharmaceutical Partners, Inc. ( CPRX ) Geospace Technologies Corp ( GEOS ) View the entire Zacks #1 Rank List . ALLIANCEBERNSTN (AB): Free Stock Analysis Report AMER CAP AGENCY (AGNC): Free Stock Analysis Report BNC BANCORP (BNCN): Free Stock Analysis Report CATALYST PHARMA (CPRX): Free Stock Analysis Report GEOSPACE TEC CP (GEOS): Free Stock Analysis Report To read this article on Zacks.com click here. Zacks Investment Research The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. | Here are 5 stocks added to the Zacks #1 Rank ("strong buy") List today: AllianceBernstein Holding L.P. ( AB ) American Capital Agency Corp. ( AGNC ) BNC Bancorp ( BNCN ) Catalyst Pharmaceutical Partners, Inc. ( CPRX ) Geospace Technologies Corp ( GEOS ) View the entire Zacks #1 Rank List . ALLIANCEBERNSTN (AB): Free Stock Analysis Report AMER CAP AGENCY (AGNC): Free Stock Analysis Report BNC BANCORP (BNCN): Free Stock Analysis Report CATALYST PHARMA (CPRX): Free Stock Analysis Report GEOSPACE TEC CP (GEOS): Free Stock Analysis Report To read this article on Zacks.com click here. Zacks Investment Research The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. | Here are 5 stocks added to the Zacks #1 Rank ("strong buy") List today: AllianceBernstein Holding L.P. ( AB ) American Capital Agency Corp. ( AGNC ) BNC Bancorp ( BNCN ) Catalyst Pharmaceutical Partners, Inc. ( CPRX ) Geospace Technologies Corp ( GEOS ) View the entire Zacks #1 Rank List . ALLIANCEBERNSTN (AB): Free Stock Analysis Report AMER CAP AGENCY (AGNC): Free Stock Analysis Report BNC BANCORP (BNCN): Free Stock Analysis Report CATALYST PHARMA (CPRX): Free Stock Analysis Report GEOSPACE TEC CP (GEOS): Free Stock Analysis Report To read this article on Zacks.com click here. Zacks Investment Research The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. | Here are 5 stocks added to the Zacks #1 Rank ("strong buy") List today: AllianceBernstein Holding L.P. ( AB ) American Capital Agency Corp. ( AGNC ) BNC Bancorp ( BNCN ) Catalyst Pharmaceutical Partners, Inc. ( CPRX ) Geospace Technologies Corp ( GEOS ) View the entire Zacks #1 Rank List . ALLIANCEBERNSTN (AB): Free Stock Analysis Report AMER CAP AGENCY (AGNC): Free Stock Analysis Report BNC BANCORP (BNCN): Free Stock Analysis Report CATALYST PHARMA (CPRX): Free Stock Analysis Report GEOSPACE TEC CP (GEOS): Free Stock Analysis Report To read this article on Zacks.com click here. Zacks Investment Research The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. |
21920.0 | 2013-04-11 00:00:00 UTC | Market Hits All-Time High: Just a Mirage? - Analyst Blog | AB | https://www.nasdaq.com/articles/market-hits-all-time-high%3A-just-a-mirage-analyst-blog-2013-04-11 | nan | nan | On Apr 10, 2013, the S&P 500 index reached its all-time high of 1589.07 breaking its previous record intra-day high of 1576.09 on Oct 11, 2007. Its market capitalization has also swelled from just $5.9 trillion in 2009 to nearly $14.0 trillion. Close on the heels of the S&P 500 ascendancy, almost all the major indices except the Nasdaq Composite have hit record highs.
Although the S&P 500 index is regarded as the more accurate measure of the U.S. stock market and the economy as a whole, the spurt in indices across the board apparently signifies that the recovery from recession is complete and the economy is on its way up. Is that so? Before going further with the argument of whether the economic recovery is a mirage, let us look into the possible factors that have propelled the indices.
Favorable Stress Test Results
The stress test results, as revealed by the Federal Reserve in early March, showed that 17 of the top 18 banks in the country had the requisite wherewithal to withstand a crisis, simulated by severe conditions such as an unemployment rate of 12.1%, housing price decline of 20%, share price fall of 50%, and an aggregate loss of $462 billion in the banking system. The results signified a marked improvement in the liquidity of banks and denoted that the economy was relatively stronger than it was four years back when it was plagued by recession.
As part of the study, the Fed analyzed loan- and account-level data of over two-thirds of the $4.2 trillion held in accrual loans and leases by these banks. These included data from 350 million domestic retail loans, including credit cards and mortgages, and more than 200,000 commercial loans.
Furthermore, the stress tests evaluated the banking system horizontally, rather than taking each bank in isolation. Consequently, it provided reliable information on the resilience of the banks, thereby signifying a relatively steady economy.
Rise in Home Prices
Another outwardly positive signal in the economy has been the continuous rise in home prices, as per the data from S&P/Case-Shiller index. Tracking changes in the residential real estate values across the country, the S&P/Case-Shiller Home Price Indices are arguably one of the best measures for the U.S. residential housing market and are calculated on a monthly basis using a three-month moving average.
The latest data from the January report divulged that although home prices are yet to reach the pre-recession peaks, they have risen the fastest since 2006. The 10-city composite climbed 7.3% in the trailing 12-month period, while the 20-city index escalated 8.1% as all cities posted gains on a yearly basis.
Falling Unemployment
The U.S. job market was also supposedly improving as according to the latest U.S. job report, unemployment rate decreased to 7.6% in March from 7.7% in February with about 88,000 jobs added in the market. Although the job additions were significantly lesser than expected, the more talked-about point in the report was the drop in the unemployment rate, which apparently appears positive and augurs well for the economy that is limping back to normalcy from the wounds of a deep recession.
The Critical Analysis
However, a critical analysis would reveal that the dip in the unemployment was primarily attributable to 500,000 Americans dropping out of the labor force, which dragged the labor participation rate (the percentage of the population within the demographic age of 16 and over in the labor force) to a 34-year low of 63.3%.
Since reaching its zenith at 67.3% in 2000, the labor participation rate has declined over the years as discouraged and frustrated Americans left the job market only to return when conditions briefly improved. However, the gradual retirement of an aging Baby Boomer population and a recession in late 2007 has continuously pegged back the labor participation rate.
Although a smaller pool of workers looking for jobs are likely to get them easily, it restricts potential economic growth of a country and consequently is not a healthy sign for the U.S. economy.
A housing recovery would also do wonders for the U.S. economy that was plunged into one of the worst recessions ever witnessed by the country by a subprime crisis primarily led by a housing bubble. However, a deeper analysis would suggest that the surge in housing prices was the fallout of bulk buying by institutional buyers.
With a substantial amount of dry powder in their kitty, institutional buyers are making a beeline to mop-up assets in distressed sales. Listed investment and capital management firm such as The Blackstone Group LP ( BX ) as well as hedge funds and private real estate investment firms like Colony Capital and GI Partners are amassing a huge portfolio of single-family homes. Blackstone has already spent over $3.5 billion for more than 16,000 single-family homes and is reportedly spending about $100 million a week to further increase the tally.
These institutional buyers typically have a profit-based approach and their investment model is based on piling a huge pool of real estate assets, which are then rented out to generate a fixed monthly income with the homes serving as collaterals.
The biggest question left to ask therefore is - Would this benefit the common man and the economy as a whole? Or is this just a ploy of the rich to be super-rich? What also remains to be seen are whether other asset management firms such as Kohlberg Kravis Roberts & Co. ( KKR ), Affiliated Managers Group Inc. ( AMG ), and AllianceBernstein Holding L.P. ( AB ), each carrying a Zacks Rank #2 (Buy), jump on the bandwagon.
Furthermore, although stress test results were apparently positive, it had inherent drawbacks and was not entirely trustworthy. The full specification of the model used for evaluation of the stress tests is not disclosed to the banks, making industry experts skeptical of the authenticity of the tests.
Critics have alleged that fudged data were used to project a shadow economic recovery and the true picture was not revealed to continue receiving government bail-outs to avert a rerun of an asset bubble.
To add to the woes, the U.S. runs the risk of a debt default and a possible reduction in credit rating when it reaches its debt ceiling on May 19. The U.S. government voted on legislation in January this year to raise the debt ceiling for three months as a short-term fix to delay a debt default. Sovereign rating of the U.S. was earlier downgraded in Aug 2011 from AAA to AA+ due to a burgeoning debt burden and lack of concrete fiscal consolidation plan.
Ever since then, the government has periodically increased the debt ceiling to avert further downgrade. The government also avoided a fiscal cliff by staving off widespread tax increases and deep spending cuts by accepting a brokered Senate compromise, which otherwise would have plunged the economy into a double-dip recession with unemployment back in the 9% range.
The Epilogue
The obvious question then that comes to the fore now is whether thecurrent stock marketboom then truly represents a spurt in the economy or is this just a mirage? Are all these positive signals worth believing or are we in for another surprise around the corner?
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The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. | Although the job additions were significantly lesser than expected, the more talked-about point in the report was the drop in the unemployment rate, which apparently appears positive and augurs well for the economy that is limping back to normalcy from the wounds of a deep recession. Favorable Stress Test Results The stress test results, as revealed by the Federal Reserve in early March, showed that 17 of the top 18 banks in the country had the requisite wherewithal to withstand a crisis, simulated by severe conditions such as an unemployment rate of 12.1%, housing price decline of 20%, share price fall of 50%, and an aggregate loss of $462 billion in the banking system. Consequently, it provided reliable information on the resilience of the banks, thereby signifying a relatively steady economy. | Favorable Stress Test Results The stress test results, as revealed by the Federal Reserve in early March, showed that 17 of the top 18 banks in the country had the requisite wherewithal to withstand a crisis, simulated by severe conditions such as an unemployment rate of 12.1%, housing price decline of 20%, share price fall of 50%, and an aggregate loss of $462 billion in the banking system. ALLIANCEBERNSTN (AB): Free Stock Analysis Report AFFIL MANAGERS (AMG): Free Stock Analysis Report BLACKSTONE GRP (BX): Free Stock Analysis Report KKR & CO LP (KKR): Free Stock Analysis Report To read this article on Zacks.com click here. Consequently, it provided reliable information on the resilience of the banks, thereby signifying a relatively steady economy. | Favorable Stress Test Results The stress test results, as revealed by the Federal Reserve in early March, showed that 17 of the top 18 banks in the country had the requisite wherewithal to withstand a crisis, simulated by severe conditions such as an unemployment rate of 12.1%, housing price decline of 20%, share price fall of 50%, and an aggregate loss of $462 billion in the banking system. ALLIANCEBERNSTN (AB): Free Stock Analysis Report AFFIL MANAGERS (AMG): Free Stock Analysis Report BLACKSTONE GRP (BX): Free Stock Analysis Report KKR & CO LP (KKR): Free Stock Analysis Report To read this article on Zacks.com click here. Consequently, it provided reliable information on the resilience of the banks, thereby signifying a relatively steady economy. | Falling Unemployment The U.S. job market was also supposedly improving as according to the latest U.S. job report, unemployment rate decreased to 7.6% in March from 7.7% in February with about 88,000 jobs added in the market. Favorable Stress Test Results The stress test results, as revealed by the Federal Reserve in early March, showed that 17 of the top 18 banks in the country had the requisite wherewithal to withstand a crisis, simulated by severe conditions such as an unemployment rate of 12.1%, housing price decline of 20%, share price fall of 50%, and an aggregate loss of $462 billion in the banking system. Consequently, it provided reliable information on the resilience of the banks, thereby signifying a relatively steady economy. |
21921.0 | 2013-04-11 00:00:00 UTC | PFG Hits New 52-Week High - Analyst Blog | AB | https://www.nasdaq.com/articles/pfg-hits-new-52-week-high-analyst-blog-2013-04-11 | nan | nan | On Apr 10, 2013, shares of Principal Financial Group Inc . ( PFG ) hit a 52-week of $34.88.
The investment manager has remained focused to grow inorganically. On Mar 4, Principal Global Investors, LLC, the investment arm of Principal Financial agreed to purchase 55% shares of Liongate Capital Management in an effort to expand its alternative investment capabilities. Principal Financial also closed the acquisition of Chile-based AFP Cuprum S.A. in February. The acquisition fortifies Principal's leading position in providing retirement products in Chile. Principal Financial expects the Cuprum acquisition to be accretive to earnings by 12 cents a share in 2013 and 23 cents per share in 2014 along with 75 basis points of accretion to return on equity in this year and the next.
The company's asset under management is exhibiting a steady uptrend driven by better results at three asset management and asset accumulation segments.
In addition, in February, Fitch Ratings reiterated the long-term Issuer Default Rating (IDR) of Principal Financial at 'A'. Concurrently, the rating agency reiterated the Insurer Financial Strength (IFS) at 'AA-' of the operating subsidiaries. The rating affirmations accounted for Principal Financial's sturdy capitalization and continued solid operational performance.
With respect to earnings trend, Principal Financial managed to deliver positive earnings surprise only in the last quarter of 2012. Nevertheless, our proven model shows that the investment manager is likely to beat earnings in the first quarter of 2013 because it has a right combination of a positive Earnings ESP (Read: Zacks Earnings ESP: A Better Method ) and Zacks Rank. ESP or Expected Surprise Prediction, which represents the difference between the Most Accurate Estimate and the Zacks Consensus Estimate is at +2.70%. Principal Financial presently carries a Zacks Rank #2 (Buy).
Principal Financial is scheduled to release its first-quarter 2013 earnings on Apr 25 after the market closes.
Valuation for Principal Financial looks reasonable. The shares are trading at a discount to the peer group average both on a price-to-book basis (16.7% discount to peer group) and on a forward price-to-earnings basis (17.6% discount to peer group) with return on equity 8.8% lower than the peer group average. The 1-year return from the stock is 18.8%, above S&P's return of 13.6%.
Investment managers AllianceBernstein Holding L.P . ( AB ) and Apollo Global Management, LLC ( APO ) among others carry a Zacks Rank #1 (Strong Buy), while Ameriprise Financial Inc. ( AMP ) carries a Zacks Rank #2 (Buy).
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The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. | On Mar 4, Principal Global Investors, LLC, the investment arm of Principal Financial agreed to purchase 55% shares of Liongate Capital Management in an effort to expand its alternative investment capabilities. Valuation for Principal Financial looks reasonable. The 1-year return from the stock is 18.8%, above S&P's return of 13.6%. | ( AB ) and Apollo Global Management, LLC ( APO ) among others carry a Zacks Rank #1 (Strong Buy), while Ameriprise Financial Inc. ( AMP ) carries a Zacks Rank #2 (Buy). ALLIANCEBERNSTN (AB): Free Stock Analysis Report AMERIPRISE FINL (AMP): Free Stock Analysis Report APOLLO GLOBAL-A (APO): Free Stock Analysis Report PRINCIPAL FINL (PFG): Free Stock Analysis Report To read this article on Zacks.com click here. On Mar 4, Principal Global Investors, LLC, the investment arm of Principal Financial agreed to purchase 55% shares of Liongate Capital Management in an effort to expand its alternative investment capabilities. | On Mar 4, Principal Global Investors, LLC, the investment arm of Principal Financial agreed to purchase 55% shares of Liongate Capital Management in an effort to expand its alternative investment capabilities. ALLIANCEBERNSTN (AB): Free Stock Analysis Report AMERIPRISE FINL (AMP): Free Stock Analysis Report APOLLO GLOBAL-A (APO): Free Stock Analysis Report PRINCIPAL FINL (PFG): Free Stock Analysis Report To read this article on Zacks.com click here. Valuation for Principal Financial looks reasonable. | On Mar 4, Principal Global Investors, LLC, the investment arm of Principal Financial agreed to purchase 55% shares of Liongate Capital Management in an effort to expand its alternative investment capabilities. Valuation for Principal Financial looks reasonable. The 1-year return from the stock is 18.8%, above S&P's return of 13.6%. |
21922.0 | 2013-04-08 00:00:00 UTC | Unemployment and Home Prices: Real Relief? - Analyst Blog | AB | https://www.nasdaq.com/articles/unemployment-and-home-prices%3A-real-relief-analyst-blog-2013-04-08 | nan | nan | According to the latest U.S. job report, the unemployment rate decreased to 7.6% in March from 7.7% in February with about 88,000 jobs added to the market. Although the job additions were significantly less than expected, the takeway from the report was the drop in the unemployment rate, which apparently appears positive and augurs well for the economy that is limping back to normalcy from the wounds of a deep recession.
However, a critical analysis would reveal that the dip in the unemployment was primarily attributable to 500,000 Americans dropping out of the labor force, which dragged the labor participation rate (the percentage of the population within the demographic age of 16 and over in the labor force) to a 34-year low of 63.3%.
Since reaching its zenith at 67.3% in 2000, the labor participation rate has declined over the years as discouraged and frustrated Americans left the job market only to return when conditions briefly improved. However, the gradual retirement of an aging Baby Boomer population and a recession in late 2007 has continuously pegged back the labor participation rate.
Although a smaller pool of workers looking for jobs are likely to get them easily, it restricts potential economic growth of a country and consequently is not a healthy sign for the U.S. economy.
Another outwardly positive signal in the economy has been the continuous rise in home prices as revealed by data from the S&P/Case-Shiller index. Tracking changes in the residential real estate values across the country, the S&P/Case-Shiller Home Price Indices are arguably one of the best measures for the U.S. residential housing market and are calculated monthly using a three-month moving average.
The latest data from the January report divulged that although home prices are yet to reach the pre-recession peaks, they have risen the fastest since 2006. The 10-city composite climbed 7.3% in the trailing 12-month period, while the 20-city index escalated 8.1% as all cities posted gains on a yearly basis.
A housing recovery would do wonders for the U.S. economy that was plunged into one of the worst recessions ever witnessed by the country by a subprime crisis primarily led by a housing bubble. However, a deeper analysis would suggest that the surge in housing prices was the fallout of bulk buying by institutional buyers.
With a substantial amount of dry powder, institutional buyers are making an effort to mop-up assets in distressed sales. Listed investment and capital management firm such as The Blackstone Group LP ( BX ) as well as hedge funds and private real estate investment firms like Colony Capital and GI Partners are amassing a huge portfolio of single-family homes. Blackstone has already spent over $3.5 billion for more than 16,000 single-family homes and is reportedly spending about $100 million a week to further increase the tally.
These institutional buyers largely have a profit-based approach and their investment model is based on piling a huge pool of real estate assets, which are then rented out to generate a fixed monthly income with the homes serving as collaterals. The biggest question left to ask therefore is - Would this benefit the common man and the economy as a whole? Or is this just a ploy of the rich to be super-rich?
What also remains to be seen are whether other asset management firms such as Kohlberg Kravis Roberts & Co. ( KKR ), Affiliated Managers Group Inc. ( AMG ), and AllianceBernstein Holding L.P. ( AB ), each carrying a Zacks Rank #2 (Buy), jump on the bandwagon.
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The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. | Since reaching its zenith at 67.3% in 2000, the labor participation rate has declined over the years as discouraged and frustrated Americans left the job market only to return when conditions briefly improved. According to the latest U.S. job report, the unemployment rate decreased to 7.6% in March from 7.7% in February with about 88,000 jobs added to the market. However, a critical analysis would reveal that the dip in the unemployment was primarily attributable to 500,000 Americans dropping out of the labor force, which dragged the labor participation rate (the percentage of the population within the demographic age of 16 and over in the labor force) to a 34-year low of 63.3%. | ALLIANCEBERNSTN (AB): Free Stock Analysis Report AFFIL MANAGERS (AMG): Free Stock Analysis Report BLACKSTONE GRP (BX): Free Stock Analysis Report KKR & CO LP (KKR): Free Stock Analysis Report To read this article on Zacks.com click here. According to the latest U.S. job report, the unemployment rate decreased to 7.6% in March from 7.7% in February with about 88,000 jobs added to the market. However, a critical analysis would reveal that the dip in the unemployment was primarily attributable to 500,000 Americans dropping out of the labor force, which dragged the labor participation rate (the percentage of the population within the demographic age of 16 and over in the labor force) to a 34-year low of 63.3%. | However, a critical analysis would reveal that the dip in the unemployment was primarily attributable to 500,000 Americans dropping out of the labor force, which dragged the labor participation rate (the percentage of the population within the demographic age of 16 and over in the labor force) to a 34-year low of 63.3%. ALLIANCEBERNSTN (AB): Free Stock Analysis Report AFFIL MANAGERS (AMG): Free Stock Analysis Report BLACKSTONE GRP (BX): Free Stock Analysis Report KKR & CO LP (KKR): Free Stock Analysis Report To read this article on Zacks.com click here. According to the latest U.S. job report, the unemployment rate decreased to 7.6% in March from 7.7% in February with about 88,000 jobs added to the market. | According to the latest U.S. job report, the unemployment rate decreased to 7.6% in March from 7.7% in February with about 88,000 jobs added to the market. However, the gradual retirement of an aging Baby Boomer population and a recession in late 2007 has continuously pegged back the labor participation rate. However, a critical analysis would reveal that the dip in the unemployment was primarily attributable to 500,000 Americans dropping out of the labor force, which dragged the labor participation rate (the percentage of the population within the demographic age of 16 and over in the labor force) to a 34-year low of 63.3%. |
21923.0 | 2013-03-18 00:00:00 UTC | Credit Suisse Settles Lawsuits - Analyst Blog | AB | https://www.nasdaq.com/articles/credit-suisse-settles-lawsuits-analyst-blog-2013-03-18 | nan | nan | According to Reuters , Credit Suisse Group AG ( CS ) agreed upon a settlement over charges levied against it by bond investors in National Century Financial Enterprises in lawsuits filed in the U.S. District Court, Southern District of New York. The note holders have accused the bank of raising money for the healthcare financial company, which went bankrupt in 2002. The settlement demands $400 million from Credit Suisse.
The lawsuit settlement will slash Credit Suisse's fourth-quarter net profit by 134 million Swiss francs ($141 million) to 263 million Swiss francs ($277 million), reported in earlier February. Notably, the settlement of the lawsuits follows the dismissal of the bank's bid to be tried in a separate hearing from convicted National Century's co-founder Lance Poulsen in Jan 2013.
The Allegations
The lodged complaint claims that Credit Suisse helped sell the notes issued by National Century and concealed the risks associated with the bonds, including the ability of the borrowers to repay. Moreover, Credit Suisse has been accused of deliberately covering the alleged misuse of investors' funds by the company along with National Century's co-founder and Chief Executive, Lance Poulsen's involvement in the fraud.
Therefore, the state of Arizona, AllianceBernstein Holding LP ( AB ), Lloyds TSB Bank Plc, MetLife Inc. ( MET ), Allianz SE's investment management group, Pimco and other investors which purchased National Century bonds from 1998 to 2002, sued Credit Suisse on grounds of scam and conspiracy and filed the lawsuits.
Similar Issues
Earlier in Mar 2013, Credit Suisse resolved a lawsuit filed in 2010 by bond insurer Ambac Financial Group, Inc. The terms of the settlement were undisclosed. The plaintiff alleged that DLJ Mortgage Capital - a subsidiary of Credit Suisse's U.S. division - and Credit Suisse Securities misrepresented the mortgage-backed securities (MBS), which were insured by Ambac in 2007.
Of late, the trend of bond insurers suing major banks associated with the underwriting of mortgage securities has become quite prevalent. JPMorgan Chase & Co. and Bank of America Corporation ( BAC ) have also been entangled in lawsuits from bond insurers such as Assured Guaranty Ltd. and MBIA Inc., pertaining to the above-mentioned issue.
Legal Woes Continue
Trouble has been brewing for banks for quite sometime now owing to fraudulent representations and breach of contract. Banks face several other charges related to the sale of defective securities.
Litigation overhangs have been a common problem for major banks since the financial meltdown. In effect, these lawsuits are expected to tarnish their reputation and financials over time. However, investors and other financial institutions bearing the brunt of these faulty practices are expected to be fairly compensated.
Conclusion
Legal troubles such as these are expected to result in huge expenses and affect the top line of many financial institutions. However, the measures being undertaken by the regulatory and legal authorities to come down hard on such unwarranted activities of these institutions will provide huge relief to the investors.
With the settlement of the lawsuit, Credit Suisse plans to move forward with its business strategies. Moreover, pending lawsuits can further trigger financial hassles while tarnishing the company's image. Therefore, it is in the interest of the company to resolve such matters at the earliest.
Currently, Credit Suisse retains a Zacks Rank #5 (Strong Sell).
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The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. | The Allegations The lodged complaint claims that Credit Suisse helped sell the notes issued by National Century and concealed the risks associated with the bonds, including the ability of the borrowers to repay. Therefore, the state of Arizona, AllianceBernstein Holding LP ( AB ), Lloyds TSB Bank Plc, MetLife Inc. ( MET ), Allianz SE's investment management group, Pimco and other investors which purchased National Century bonds from 1998 to 2002, sued Credit Suisse on grounds of scam and conspiracy and filed the lawsuits. Notably, the settlement of the lawsuits follows the dismissal of the bank's bid to be tried in a separate hearing from convicted National Century's co-founder Lance Poulsen in Jan 2013. | ALLIANCEBERNSTN (AB): Free Stock Analysis Report BANK OF AMER CP (BAC): Free Stock Analysis Report CREDIT SUISSE (CS): Free Stock Analysis Report METLIFE INC (MET): Free Stock Analysis Report To read this article on Zacks.com click here. Notably, the settlement of the lawsuits follows the dismissal of the bank's bid to be tried in a separate hearing from convicted National Century's co-founder Lance Poulsen in Jan 2013. The Allegations The lodged complaint claims that Credit Suisse helped sell the notes issued by National Century and concealed the risks associated with the bonds, including the ability of the borrowers to repay. | Therefore, the state of Arizona, AllianceBernstein Holding LP ( AB ), Lloyds TSB Bank Plc, MetLife Inc. ( MET ), Allianz SE's investment management group, Pimco and other investors which purchased National Century bonds from 1998 to 2002, sued Credit Suisse on grounds of scam and conspiracy and filed the lawsuits. ALLIANCEBERNSTN (AB): Free Stock Analysis Report BANK OF AMER CP (BAC): Free Stock Analysis Report CREDIT SUISSE (CS): Free Stock Analysis Report METLIFE INC (MET): Free Stock Analysis Report To read this article on Zacks.com click here. Notably, the settlement of the lawsuits follows the dismissal of the bank's bid to be tried in a separate hearing from convicted National Century's co-founder Lance Poulsen in Jan 2013. | Notably, the settlement of the lawsuits follows the dismissal of the bank's bid to be tried in a separate hearing from convicted National Century's co-founder Lance Poulsen in Jan 2013. The Allegations The lodged complaint claims that Credit Suisse helped sell the notes issued by National Century and concealed the risks associated with the bonds, including the ability of the borrowers to repay. Therefore, the state of Arizona, AllianceBernstein Holding LP ( AB ), Lloyds TSB Bank Plc, MetLife Inc. ( MET ), Allianz SE's investment management group, Pimco and other investors which purchased National Century bonds from 1998 to 2002, sued Credit Suisse on grounds of scam and conspiracy and filed the lawsuits. |
21924.0 | 2013-03-05 00:00:00 UTC | FINRA Fines Ameriprise & Affiliate - Analyst Blog | AB | https://www.nasdaq.com/articles/finra-fines-ameriprise-affiliate-analyst-blog-2013-03-05 | nan | nan | The Financial Industry Regulatory Authority (FINRA) has penalized Ameriprise Financial Inc. ( AMP ) and it's clearing firm, American Enterprise Investment Services Inc., (AEIS) for $750,000. The company and its affiliate were penalized on the grounds of failure to properly oversee wire-transfer requests and the transfer of customer funds to third-party accounts.
The fine is a consequence of a previous enforcement action taken by FINRA against a former Ameriprise-registered representative. This representative was accused of swindling $790,000 from two senior citizen clients over a four-year span through fake signatures on wire-transfer requests and transferring funds to her own bank accounts.
Upon inquiry, the fraud was uncovered and Ameriprise compensated in full to the victims. The accused representative dismissed from Ameriprise in 2010 and was banned from the securities industry in 2011 by FINRA. The regulatory body also noted that such fraudulent behavior was not possible if the company had maintained strict supervisory system.
FINRA accused Ameriprise and AEIS of having lax managerial system to overview fund transfers. Further, absence of strict policies for detection and prevention of multiple fund transfers to third-party accounts gave a wide berth to fraudulent activities. Lastly, the company did not bother to properly investigate the rejected wire-transfer requests.
The lack of security measures led the single representative to transfer funds several times to her bank accounts. Even after the representative was terminated from job, she managed to dupe the company by another forged wire-transfer request. Though initially Ameriprise remitted the funds, it soon realized its folly and prevented the representative from accessing the funds.
FINRA's Department of Enforcement and Member Regulation carried out the inquiry. Ameriprise and AEIS neither admitted nor denied the allegations. Ameriprise, in its defense, said that it was pleased to settle the matter and has deployed efficient administrative systems to ensure prevention of such fraudulent activities in the future.
Ameriprise currently carries Zacks Rank #3 (Hold). Other asset managers that are performing better than Ameriprise include AllianceBernstein Holding L.P . ( AB ), Cohen & Steers Inc. ( CNS ) and Lazard Ltd. ( LAZ ). All these stocks carry a Zacks Rank #1 (Strong Buy) status.
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The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. | Further, absence of strict policies for detection and prevention of multiple fund transfers to third-party accounts gave a wide berth to fraudulent activities. ( AB ), Cohen & Steers Inc. ( CNS ) and Lazard Ltd. ( LAZ ). ALLIANCEBERNSTN (AB): Free Stock Analysis Report AMERIPRISE FINL (AMP): Free Stock Analysis Report COHEN&STRS INC (CNS): Free Stock Analysis Report LAZARD LTD (LAZ): Free Stock Analysis Report To read this article on Zacks.com click here. | ALLIANCEBERNSTN (AB): Free Stock Analysis Report AMERIPRISE FINL (AMP): Free Stock Analysis Report COHEN&STRS INC (CNS): Free Stock Analysis Report LAZARD LTD (LAZ): Free Stock Analysis Report To read this article on Zacks.com click here. Further, absence of strict policies for detection and prevention of multiple fund transfers to third-party accounts gave a wide berth to fraudulent activities. ( AB ), Cohen & Steers Inc. ( CNS ) and Lazard Ltd. ( LAZ ). | ALLIANCEBERNSTN (AB): Free Stock Analysis Report AMERIPRISE FINL (AMP): Free Stock Analysis Report COHEN&STRS INC (CNS): Free Stock Analysis Report LAZARD LTD (LAZ): Free Stock Analysis Report To read this article on Zacks.com click here. Further, absence of strict policies for detection and prevention of multiple fund transfers to third-party accounts gave a wide berth to fraudulent activities. ( AB ), Cohen & Steers Inc. ( CNS ) and Lazard Ltd. ( LAZ ). | Further, absence of strict policies for detection and prevention of multiple fund transfers to third-party accounts gave a wide berth to fraudulent activities. ( AB ), Cohen & Steers Inc. ( CNS ) and Lazard Ltd. ( LAZ ). ALLIANCEBERNSTN (AB): Free Stock Analysis Report AMERIPRISE FINL (AMP): Free Stock Analysis Report COHEN&STRS INC (CNS): Free Stock Analysis Report LAZARD LTD (LAZ): Free Stock Analysis Report To read this article on Zacks.com click here. |
21925.0 | 2013-02-26 00:00:00 UTC | BlackRock Reiterated at Neutral - Analyst Blog | AB | https://www.nasdaq.com/articles/blackrock-reiterated-at-neutral-analyst-blog-2013-02-26 | nan | nan | On Feb 26, 2013, we reaffirmed our long-term recommendation on BlackRock, Inc. ( BLK ) at Neutral. This reflects the company's strong fourth-quarter results, which exceeded the Zacks Consensus Estimate by nearly 6%.
Why Neutral?
BlackRock's fourth-quarter adjusted earnings came in at $3.96 per share, significantly surpassing the Zacks Consensus Estimate of $3.74. Better-than-expected results were primarily driven by augmented top line, partly offset by higher operating expenses. Moreover, increased asset under management (AUM) was a positive.
Following the fourth-quarter results, the Zacks Consensus Estimate for 2013 has gone up 3.3% to $15.47 per share. Likewise, the Zacks Consensus Estimate for 2014 has also advanced (up 5.3% to $17.63 per share). With the Zacks Consensus Estimates for both 2013 and 2014 increasing, the company now has a Zacks Rank #2 (Buy).
Moreover, BlackRock has been expanding primarily via acquisitions - domestic and overseas - leading to growth in AUM. The company has ample acquisition opportunities in the overseas markets like Europe, Middle East, Africa and the Asia Pacific.
Yet, elevated operating expenses remain a major concern for BlackRock. Though total operating expenses declined slightly on a year-over-year basis in 2012, increased regulatory compliance costs as well as higher marketing costs (related to the company's new brand campaign) will keep the overall expenses high.
Other Investment Management Stocks Worth Considering
While we prefer BlackRock, other financial investment management stocks worth a look include AllianceBernstein Holding L.P. ( AB ), Lazard Ltd. ( LAZ ) and Virtus Investment Partners, Inc. ( VRTS ). All these carry a Zacks Rank #1 (Strong Buy).
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The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. | Other Investment Management Stocks Worth Considering While we prefer BlackRock, other financial investment management stocks worth a look include AllianceBernstein Holding L.P. ( AB ), Lazard Ltd. ( LAZ ) and Virtus Investment Partners, Inc. ( VRTS ). ALLIANCEBERNSTN (AB): Free Stock Analysis Report BLACKROCK INC (BLK): Free Stock Analysis Report LAZARD LTD (LAZ): Free Stock Analysis Report VIRTUS INVESTMT (VRTS): Free Stock Analysis Report To read this article on Zacks.com click here. BlackRock's fourth-quarter adjusted earnings came in at $3.96 per share, significantly surpassing the Zacks Consensus Estimate of $3.74. | ALLIANCEBERNSTN (AB): Free Stock Analysis Report BLACKROCK INC (BLK): Free Stock Analysis Report LAZARD LTD (LAZ): Free Stock Analysis Report VIRTUS INVESTMT (VRTS): Free Stock Analysis Report To read this article on Zacks.com click here. Other Investment Management Stocks Worth Considering While we prefer BlackRock, other financial investment management stocks worth a look include AllianceBernstein Holding L.P. ( AB ), Lazard Ltd. ( LAZ ) and Virtus Investment Partners, Inc. ( VRTS ). This reflects the company's strong fourth-quarter results, which exceeded the Zacks Consensus Estimate by nearly 6%. | Other Investment Management Stocks Worth Considering While we prefer BlackRock, other financial investment management stocks worth a look include AllianceBernstein Holding L.P. ( AB ), Lazard Ltd. ( LAZ ) and Virtus Investment Partners, Inc. ( VRTS ). ALLIANCEBERNSTN (AB): Free Stock Analysis Report BLACKROCK INC (BLK): Free Stock Analysis Report LAZARD LTD (LAZ): Free Stock Analysis Report VIRTUS INVESTMT (VRTS): Free Stock Analysis Report To read this article on Zacks.com click here. With the Zacks Consensus Estimates for both 2013 and 2014 increasing, the company now has a Zacks Rank #2 (Buy). | Other Investment Management Stocks Worth Considering While we prefer BlackRock, other financial investment management stocks worth a look include AllianceBernstein Holding L.P. ( AB ), Lazard Ltd. ( LAZ ) and Virtus Investment Partners, Inc. ( VRTS ). ALLIANCEBERNSTN (AB): Free Stock Analysis Report BLACKROCK INC (BLK): Free Stock Analysis Report LAZARD LTD (LAZ): Free Stock Analysis Report VIRTUS INVESTMT (VRTS): Free Stock Analysis Report To read this article on Zacks.com click here. This reflects the company's strong fourth-quarter results, which exceeded the Zacks Consensus Estimate by nearly 6%. |
21926.0 | 2013-02-19 00:00:00 UTC | Brookfield Beats, Raises Dividend - Analyst Blog | AB | https://www.nasdaq.com/articles/brookfield-beats-raises-dividend-analyst-blog-2013-02-19 | nan | nan | Brookfield Asset Management Inc. 's ( BAM ) fourth-quarter earnings per share came in at 72 cents, which significantly outpaced the Zacks Consensus Estimate of 30 cents. Yet, this was 16.3% below the earnings of 86 cents recorded in the year-ago quarter.
Better-than-expected quarterly results were aided by a solid top-line growth, partially offset by a rise in operating expenses. Moreover, continued improvement in asset under management (AUM) and strong balance sheet were the other positives.
Brookfield reported funds from operations (net income prior to fair value changes, depreciation and amortization, and deferred income taxes, and includes certain disposition gains that are not otherwise included in net income as determined under IFRS) of $459 million or 67 cents per share in the quarter. This was higher than funds from operations of $397 million or 58 cents per share in the prior-year quarter.
For 2012, net income was $1.4 billion or $1.97 per share, down from $2.0 billion or $2.89 per share in 2011. Earnings per share were, however, substantially ahead of the Zacks Consensus Estimate of $1.37 per share.
Performance in Detail
Total revenue came in at $5.4 billion, surging 30.6% from $4.1 billion in the prior-year quarter. For full year 2012, revenues were $18.6 billion, up 16.8% year over year.
Brookfield's total return (which includes the company's share of funds from operations of $459 million and $1.4 billion of valuation gains, partly offset by $35 million of preferred share dividends) was recorded at $1.8 billion. This was marginally lower than $1.9 billion in the prior-year quarter
Total expenses inched up 2.6% year over year to $677 million. The rise was primarily due to a higher interest expenses.
As of Dec 31, 2012, asset under management grew 13.1% year over year to $181.4 million. Further, Brookfield had $2.8 billion in cash and cash equivalents, which soared 41.9% from $2.0 billion as of Dec 31, 2011.
Total assets as of Dec 31, 2012 were $108.6 billion, up 19.4% from $91.0 billion as of Dec 31, 2011. Moreover, the company had $44.3 billion in total equity at the end of the quarter, up 18.3% from $37.4 billion as of Dec 31, 2011.
Dividend Update
Concurrent with the earnings release, Brookfield announced a quarterly cash dividend of 15 cents per share, representing nearly 7% hike from the prior dividend. The dividend will be paid on May 31, to stockholders of record as of May 1. The company also declared all of the regular monthly and quarterly dividends on its preferred shares.
Our Viewpoint
We believe that Brookfield's continuous acquisition activities along with the growing need for risk management and alternative investment solutions within the financial service industry will contribute positively to the company's overall expansion going forward. Moreover, its sound capital deployment policy will reinforce investors' confidence. Nevertheless, the persistent sluggish economic recovery will continue to keep the company's financials under pressure in the near term.
Currently, Brookfield retains a Zacks Rank #3 (Hold). However, other asset mangers like AllianceBernstein Holding L.P. ( AB ), Lazard Ltd. ( LAZ ) and Virtus Investment Partners, Inc. ( VRTS ) carry a Zacks Rank #1 (Strong Buy) and are worth considering.
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Zacks Investment Research
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. | However, other asset mangers like AllianceBernstein Holding L.P. ( AB ), Lazard Ltd. ( LAZ ) and Virtus Investment Partners, Inc. ( VRTS ) carry a Zacks Rank #1 (Strong Buy) and are worth considering. ALLIANCEBERNSTN (AB): Free Stock Analysis Report BROOKFIELD ASST (BAM): Free Stock Analysis Report LAZARD LTD (LAZ): Free Stock Analysis Report VIRTUS INVESTMT (VRTS): Free Stock Analysis Report To read this article on Zacks.com click here. Better-than-expected quarterly results were aided by a solid top-line growth, partially offset by a rise in operating expenses. | However, other asset mangers like AllianceBernstein Holding L.P. ( AB ), Lazard Ltd. ( LAZ ) and Virtus Investment Partners, Inc. ( VRTS ) carry a Zacks Rank #1 (Strong Buy) and are worth considering. ALLIANCEBERNSTN (AB): Free Stock Analysis Report BROOKFIELD ASST (BAM): Free Stock Analysis Report LAZARD LTD (LAZ): Free Stock Analysis Report VIRTUS INVESTMT (VRTS): Free Stock Analysis Report To read this article on Zacks.com click here. Brookfield's total return (which includes the company's share of funds from operations of $459 million and $1.4 billion of valuation gains, partly offset by $35 million of preferred share dividends) was recorded at $1.8 billion. | However, other asset mangers like AllianceBernstein Holding L.P. ( AB ), Lazard Ltd. ( LAZ ) and Virtus Investment Partners, Inc. ( VRTS ) carry a Zacks Rank #1 (Strong Buy) and are worth considering. ALLIANCEBERNSTN (AB): Free Stock Analysis Report BROOKFIELD ASST (BAM): Free Stock Analysis Report LAZARD LTD (LAZ): Free Stock Analysis Report VIRTUS INVESTMT (VRTS): Free Stock Analysis Report To read this article on Zacks.com click here. Brookfield reported funds from operations (net income prior to fair value changes, depreciation and amortization, and deferred income taxes, and includes certain disposition gains that are not otherwise included in net income as determined under IFRS) of $459 million or 67 cents per share in the quarter. | However, other asset mangers like AllianceBernstein Holding L.P. ( AB ), Lazard Ltd. ( LAZ ) and Virtus Investment Partners, Inc. ( VRTS ) carry a Zacks Rank #1 (Strong Buy) and are worth considering. ALLIANCEBERNSTN (AB): Free Stock Analysis Report BROOKFIELD ASST (BAM): Free Stock Analysis Report LAZARD LTD (LAZ): Free Stock Analysis Report VIRTUS INVESTMT (VRTS): Free Stock Analysis Report To read this article on Zacks.com click here. This was higher than funds from operations of $397 million or 58 cents per share in the prior-year quarter. |
21927.0 | 2013-02-15 00:00:00 UTC | Alliance Capital Management Holding L.P. (AB) Ex-Dividend Date Scheduled for February 20, 2013 | AB | https://www.nasdaq.com/articles/alliance-capital-management-holding-lp-ab-ex-dividend-date-scheduled-february-20-2013-2013 | nan | nan | Alliance Capital Management Holding L.P. ( AB ) will begin trading ex-dividend on February 20, 2013. A cash dividend payment of $0.4 per share is scheduled to be paid on March 14, 2013. Shareholders who purchased AB stock prior to the ex-dividend date are eligible for the cash dividend payment. This represents an 11.11% increase over the prior quarter.
The previous trading day's last sale of AB was $20.97, representing a -4.42% decrease from the 52 week high of $21.94 and a 83.3% increase over the 52 week low of $11.44.
AB is a part of the Finance sector, which includes companies such as Franklin Resources, Inc. ( BEN ) and AMERIPRISE FINANCIAL SERVICES, INC. ( AMP ). AB's current earnings per share, an indicator of a company's profitability, is $.5. Zacks Investment Research reports AB's forecasted earnings growth in 2013 as 14.29%, compared to an industry average of 4.6%.
For more information on the declaration, record and payment dates, visit the AB Dividend History page.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. | Shareholders who purchased AB stock prior to the ex-dividend date are eligible for the cash dividend payment. AB is a part of the Finance sector, which includes companies such as Franklin Resources, Inc. ( BEN ) and AMERIPRISE FINANCIAL SERVICES, INC. ( AMP ). Zacks Investment Research reports AB's forecasted earnings growth in 2013 as 14.29%, compared to an industry average of 4.6%. | Shareholders who purchased AB stock prior to the ex-dividend date are eligible for the cash dividend payment. The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. Alliance Capital Management Holding L.P. ( AB ) will begin trading ex-dividend on February 20, 2013. | Shareholders who purchased AB stock prior to the ex-dividend date are eligible for the cash dividend payment. The previous trading day's last sale of AB was $20.97, representing a -4.42% decrease from the 52 week high of $21.94 and a 83.3% increase over the 52 week low of $11.44. For more information on the declaration, record and payment dates, visit the AB Dividend History page. | Shareholders who purchased AB stock prior to the ex-dividend date are eligible for the cash dividend payment. Alliance Capital Management Holding L.P. ( AB ) will begin trading ex-dividend on February 20, 2013. The previous trading day's last sale of AB was $20.97, representing a -4.42% decrease from the 52 week high of $21.94 and a 83.3% increase over the 52 week low of $11.44. |
21928.0 | 2013-02-15 00:00:00 UTC | Zacks Rank #1 Addition for Friday - Tale of the Tape | AB | https://www.nasdaq.com/articles/zacks-rank-1-addition-for-friday-tale-of-the-tape-2013-02-15 | nan | nan | Here are 5 stocks added to the Zacks Rank #1 ("strong buy") List today:
Adobe Systems Inc. ( ADBE )
Advanced Semiconductor Engineering (ADR) ( ASX )
AG Mortgage Investment Trust Inc. ( MITT )
Air Lease Corp. ( AL )
AllianceBernstein Holding LP ( AB )
View the entire Zacks Rank #1 List .
ALLIANCEBERNSTN (AB): Free Stock Analysis Report
ADOBE SYSTEMS (ADBE): Free Stock Analysis Report
AIR LEASE CORP (AL): Free Stock Analysis Report
ADV SEMICON ADR (ASX): Free Stock Analysis Report
AG MORTGAGE INV (MITT): Free Stock Analysis Report
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Zacks Investment Research
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. | Here are 5 stocks added to the Zacks Rank #1 ("strong buy") List today: Adobe Systems Inc. ( ADBE ) Advanced Semiconductor Engineering (ADR) ( ASX ) AG Mortgage Investment Trust Inc. ( MITT ) Air Lease Corp. ( AL ) AllianceBernstein Holding LP ( AB ) View the entire Zacks Rank #1 List . ALLIANCEBERNSTN (AB): Free Stock Analysis Report ADOBE SYSTEMS (ADBE): Free Stock Analysis Report AIR LEASE CORP (AL): Free Stock Analysis Report ADV SEMICON ADR (ASX): Free Stock Analysis Report AG MORTGAGE INV (MITT): Free Stock Analysis Report To read this article on Zacks.com click here. Zacks Investment Research The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. | Here are 5 stocks added to the Zacks Rank #1 ("strong buy") List today: Adobe Systems Inc. ( ADBE ) Advanced Semiconductor Engineering (ADR) ( ASX ) AG Mortgage Investment Trust Inc. ( MITT ) Air Lease Corp. ( AL ) AllianceBernstein Holding LP ( AB ) View the entire Zacks Rank #1 List . ALLIANCEBERNSTN (AB): Free Stock Analysis Report ADOBE SYSTEMS (ADBE): Free Stock Analysis Report AIR LEASE CORP (AL): Free Stock Analysis Report ADV SEMICON ADR (ASX): Free Stock Analysis Report AG MORTGAGE INV (MITT): Free Stock Analysis Report To read this article on Zacks.com click here. Zacks Investment Research The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. | Here are 5 stocks added to the Zacks Rank #1 ("strong buy") List today: Adobe Systems Inc. ( ADBE ) Advanced Semiconductor Engineering (ADR) ( ASX ) AG Mortgage Investment Trust Inc. ( MITT ) Air Lease Corp. ( AL ) AllianceBernstein Holding LP ( AB ) View the entire Zacks Rank #1 List . ALLIANCEBERNSTN (AB): Free Stock Analysis Report ADOBE SYSTEMS (ADBE): Free Stock Analysis Report AIR LEASE CORP (AL): Free Stock Analysis Report ADV SEMICON ADR (ASX): Free Stock Analysis Report AG MORTGAGE INV (MITT): Free Stock Analysis Report To read this article on Zacks.com click here. Zacks Investment Research The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. | Here are 5 stocks added to the Zacks Rank #1 ("strong buy") List today: Adobe Systems Inc. ( ADBE ) Advanced Semiconductor Engineering (ADR) ( ASX ) AG Mortgage Investment Trust Inc. ( MITT ) Air Lease Corp. ( AL ) AllianceBernstein Holding LP ( AB ) View the entire Zacks Rank #1 List . ALLIANCEBERNSTN (AB): Free Stock Analysis Report ADOBE SYSTEMS (ADBE): Free Stock Analysis Report AIR LEASE CORP (AL): Free Stock Analysis Report ADV SEMICON ADR (ASX): Free Stock Analysis Report AG MORTGAGE INV (MITT): Free Stock Analysis Report To read this article on Zacks.com click here. Zacks Investment Research The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. |
21929.0 | 2013-01-14 00:00:00 UTC | Blackstone Lifted to Outperform - Analyst Blog | AB | https://www.nasdaq.com/articles/blackstone-lifted-to-outperform-analyst-blog-2013-01-14 | nan | nan | On January 9, 2013, we upgraded The Blackstone Group LP ( BX ) to Outperform based on this asset manager's strong fund raising ability and sound expansion activities.
Why the Upgrade?
Over the last 90 days, the Zacks Consensus Estimate for 2012 has increased nearly 11.0%. In addition, the company has delivered three positive earnings surprises in the last four quarters with an average beat of 18.1%. These factors are the primary driving force behind the recommendation revision.
Blackstone is anticipated to announce its fourth quarter 2012 results on January 31. The Zacks Consensus Estimate for the fourth quarter is pegged at 46 cents on revenue expectation of $1,120 million. The company had delivered better-than-expected third-quarter earnings on the back of augmented top line, partially offset by higher expenses.
Further, Blackstone's robust expansion initiatives (organic and inorganic), powerful asset under management growth, solid fund raising ability and capital deployment actions were among the positives. The company has been successfully raising money for many of its newly launched funds despite a challenging fund raising environment for asset managers. This is expected to sustain the company's AUM growth over the next several quarters.
Moreover, the company has uninvested capital of $36 billion as of September 30, 2012, which is expected to be meaningfully deployed going forward. Also, at a time when most of the companies are undertaking cost reduction initiatives to bring down operating expenses, Blackstone has been witnessing declining expenses without resorting to such efforts. We believe that improving operating efficiency would aid the bottom-line growth in the upcoming quarters.
The earnings ESP (expected surprise prediction) - the percentage difference between the Most Accurate Estimate and the Zacks Consensus Estimate - for the company is 0.00% for the fourth quarter. This, along with its Zacks Rank #3 (Hold), indicates that the company is expected to report in line with the Zacks Consensus Estimate.
Other Stocks to Consider
Other stocks in the finance sector that are performing well and are worth considering include AllianceBernstein Holding L.P. ( AB ) and Virtus Investment Partners, Inc . ( VRTS ). Both are Zacks Rank #1 (Strong Buy) stocks.
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Zacks Investment Research
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. | On January 9, 2013, we upgraded The Blackstone Group LP ( BX ) to Outperform based on this asset manager's strong fund raising ability and sound expansion activities. Further, Blackstone's robust expansion initiatives (organic and inorganic), powerful asset under management growth, solid fund raising ability and capital deployment actions were among the positives. Other Stocks to Consider Other stocks in the finance sector that are performing well and are worth considering include AllianceBernstein Holding L.P. ( AB ) and Virtus Investment Partners, Inc . | Further, Blackstone's robust expansion initiatives (organic and inorganic), powerful asset under management growth, solid fund raising ability and capital deployment actions were among the positives. ALLIANCEBERNSTN (AB): Free Stock Analysis Report BLACKSTONE GRP (BX): Free Stock Analysis Report VIRTUS INVESTMT (VRTS): Free Stock Analysis Report To read this article on Zacks.com click here. On January 9, 2013, we upgraded The Blackstone Group LP ( BX ) to Outperform based on this asset manager's strong fund raising ability and sound expansion activities. | ALLIANCEBERNSTN (AB): Free Stock Analysis Report BLACKSTONE GRP (BX): Free Stock Analysis Report VIRTUS INVESTMT (VRTS): Free Stock Analysis Report To read this article on Zacks.com click here. On January 9, 2013, we upgraded The Blackstone Group LP ( BX ) to Outperform based on this asset manager's strong fund raising ability and sound expansion activities. Further, Blackstone's robust expansion initiatives (organic and inorganic), powerful asset under management growth, solid fund raising ability and capital deployment actions were among the positives. | On January 9, 2013, we upgraded The Blackstone Group LP ( BX ) to Outperform based on this asset manager's strong fund raising ability and sound expansion activities. Further, Blackstone's robust expansion initiatives (organic and inorganic), powerful asset under management growth, solid fund raising ability and capital deployment actions were among the positives. Other Stocks to Consider Other stocks in the finance sector that are performing well and are worth considering include AllianceBernstein Holding L.P. ( AB ) and Virtus Investment Partners, Inc . |
21930.0 | 2013-01-14 00:00:00 UTC | Ameriprise Reiterated at Neutral - Analyst Blog | AB | https://www.nasdaq.com/articles/ameriprise-reiterated-at-neutral-analyst-blog-2013-01-14 | nan | nan | On January 9, 2013, we reaffirmed our long-term Neutral recommendation on Ameriprise Financial Inc. ( AMP ) based on its consistent assets under management (AUM) growth and robust capital deployment actions. However, elevated expenses and unsettling macro-economic factors are expected to remain a drag on its profitability in the near to medium term. Moreover, this financial services company retains a Zacks Rank #3 (Hold).
Why the Neutral Stance?
We have maintained this stance since none of the estimates moved upwards over the last 60 days. In addition, over the past four quarters, Ameriprise has delivered two positive and two negative earnings surprises with an average surprise of negative 3.2%.
The company is expected to announce its fourth quarter 2012 results on January 30. The Zacks Consensus Estimate for the quarter is pegged at $1.49 per share on revenue expectation of $2,567 million. The company had delivered better-than-expected third-quarter earnings on the back of augmented top line and lower expenses.
Further, a well-diversified portfolio compared with its industry peers along with powerful capital deployment actions are the positives for the company. Also, growth through acquisitions has helped it expand significantly and better serve the dynamic markets. The recent and most notable acquisition is the asset management business of Columbia Management from Bank of America Corporation ( BAC ) in 2010. This acquisition has significantly pushed up the performance of Ameriprise's retail mutual fund and institutional management businesses.
However, escalating expenses remain a major headwind for the company. Higher distribution expenses, general and administrative expenses, elevated interest and debt expense as well as bank conversion expenditure are expected to further increase its expenses, putting the bottom line under pressure. In addition, existing low interest rate environment and the ongoing outflows related to the integration of Columbia Management will keep Ameriprise's financials under pressure in the near term.
The earnings ESP (expected surprise prediction) - the percentage difference between the Most Accurate Estimate and the Zacks Consensus Estimate - for the company is 0.67%. This, coupled with its Zacks Rank of 3, indicates that the company will surely beat the Zacks Consensus Estimate.
Other Stocks to Consider
The other stocks in the banking sector that are performing well and are worth considering include AllianceBernstein Holding L.P. ( AB ) and Virtus Investment Partners, Inc. ( VRTS ). Both of these companies carry a Zacks Rank #1 (Strong Buy).
ALLIANCEBERNSTN (AB): Free Stock Analysis Report
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Zacks Investment Research
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. | However, elevated expenses and unsettling macro-economic factors are expected to remain a drag on its profitability in the near to medium term. The recent and most notable acquisition is the asset management business of Columbia Management from Bank of America Corporation ( BAC ) in 2010. Other Stocks to Consider The other stocks in the banking sector that are performing well and are worth considering include AllianceBernstein Holding L.P. ( AB ) and Virtus Investment Partners, Inc. ( VRTS ). | ALLIANCEBERNSTN (AB): Free Stock Analysis Report AMERIPRISE FINL (AMP): Free Stock Analysis Report BANK OF AMER CP (BAC): Free Stock Analysis Report VIRTUS INVESTMT (VRTS): Free Stock Analysis Report To read this article on Zacks.com click here. However, elevated expenses and unsettling macro-economic factors are expected to remain a drag on its profitability in the near to medium term. The recent and most notable acquisition is the asset management business of Columbia Management from Bank of America Corporation ( BAC ) in 2010. | ALLIANCEBERNSTN (AB): Free Stock Analysis Report AMERIPRISE FINL (AMP): Free Stock Analysis Report BANK OF AMER CP (BAC): Free Stock Analysis Report VIRTUS INVESTMT (VRTS): Free Stock Analysis Report To read this article on Zacks.com click here. However, elevated expenses and unsettling macro-economic factors are expected to remain a drag on its profitability in the near to medium term. The recent and most notable acquisition is the asset management business of Columbia Management from Bank of America Corporation ( BAC ) in 2010. | The recent and most notable acquisition is the asset management business of Columbia Management from Bank of America Corporation ( BAC ) in 2010. However, elevated expenses and unsettling macro-economic factors are expected to remain a drag on its profitability in the near to medium term. Other Stocks to Consider The other stocks in the banking sector that are performing well and are worth considering include AllianceBernstein Holding L.P. ( AB ) and Virtus Investment Partners, Inc. ( VRTS ). |
21931.0 | 2013-01-09 00:00:00 UTC | HSBC's China Deal in Trouble - Analyst Blog | AB | https://www.nasdaq.com/articles/hsbcs-china-deal-in-trouble-analyst-blog-2013-01-09 | nan | nan | HSBC Holdings plc 's ( HBC ) divestiture of its entire stake (15.6%) in Chinese insurance giant Ping An Insurance (Group) Company of China, Ltd to Thailand-based Charoen Pokphand Group has come to an unexpected halt after China Development Bank (CDB) expressed concerns regarding the funding for the deal.
In December 2012, HSBC agreed to sell the Ping An stake to Charoen Popkhand for an estimated $9.4 billion (HK $72.7 billion). The deal was to be completed in two phases. The first phase involved the successful transfer of 21% of the stake on December 7, 2012. The remaining 79% shares were to be transferred on January 7, 2013, after the deal got approval from the Chinese regulatory authority - China Insurance Regulatory Commission (CIRC).
Charoen Pokphand was funding the proceeds partly in cash and partly through loan obtained CDB. Though Charoen Popkhand successfully executed the 21% stake buyout on December 7, soon questions regarding the financing of the deal started doing the rounds.
It was speculated that individual investors, other than the Thai conglomerate, had provided the funds for the Ping An deal. This contradicted the guidelines laid down by CIRC, which prohibited bank loans and other non-proprietary capital to be used for acquiring a stake in insurance companies. Further, it stated that any person or institution on trusteeship could not hold the equity of an insurance company.
The problematic financing of the deal has prompted CDB to reconsider its decision of financing the deal, leading to an abrupt halt. The deal would have fetched HSBC a post-tax gain of $2.6 billion on the sale after deducting the carrying value of investment in Ping An as well as the reclassification of the connected foreign exchange and other reserves.
HSBC, under its new CEO, has resorted to aggressive restructuring since 2011. The reshuffle involves streamlining its worldwide operations by shedding non-core assets to boost profitability. Ping An stake sale was a part of this strategy. The possible fallout of the deal would mean a major setback to the company's restructuring initiatives.
HSBC currently retains a Zacks Rank #5, which translates into a short-term Strong Sell rating. However, other stocks in the financial sector that are performing well and are worth considering include AllianceBernstein Holding L.P. ( AB ) and Heartland Financial USA Inc . ( HTLF ). These companies carry a Zacks Rank #1 (Strong Buy).
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The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. | The problematic financing of the deal has prompted CDB to reconsider its decision of financing the deal, leading to an abrupt halt. The reshuffle involves streamlining its worldwide operations by shedding non-core assets to boost profitability. However, other stocks in the financial sector that are performing well and are worth considering include AllianceBernstein Holding L.P. ( AB ) and Heartland Financial USA Inc . | ALLIANCEBERNSTN (AB): Free Stock Analysis Report HSBC HOLDINGS (HBC): Free Stock Analysis Report HEARTLAND FINCL (HTLF): Free Stock Analysis Report To read this article on Zacks.com click here. The problematic financing of the deal has prompted CDB to reconsider its decision of financing the deal, leading to an abrupt halt. The reshuffle involves streamlining its worldwide operations by shedding non-core assets to boost profitability. | ALLIANCEBERNSTN (AB): Free Stock Analysis Report HSBC HOLDINGS (HBC): Free Stock Analysis Report HEARTLAND FINCL (HTLF): Free Stock Analysis Report To read this article on Zacks.com click here. The problematic financing of the deal has prompted CDB to reconsider its decision of financing the deal, leading to an abrupt halt. The reshuffle involves streamlining its worldwide operations by shedding non-core assets to boost profitability. | The problematic financing of the deal has prompted CDB to reconsider its decision of financing the deal, leading to an abrupt halt. The reshuffle involves streamlining its worldwide operations by shedding non-core assets to boost profitability. However, other stocks in the financial sector that are performing well and are worth considering include AllianceBernstein Holding L.P. ( AB ) and Heartland Financial USA Inc . |
21932.0 | 2013-01-08 00:00:00 UTC | Neutral Stance on Waddell & Reed - Analyst Blog | AB | https://www.nasdaq.com/articles/neutral-stance-on-waddell-reed-analyst-blog-2013-01-08 | nan | nan | On December 31, 2012, we reiterated our long-term Neutral recommendation on Waddell & Reed Financial Inc. ( WDR ) based on the company's constantly improving assets under management (AUM) and robust capital deployment activities. However, the presence of substantial intangibles on its balance sheet and downward pressure on investment advisory fees (in the mutual fund industry) remain the major causes of concern for this asset management company.
Why the Neutral Stance?
We maintain the stance since the Zacks Consensus Estimate for Waddell & Reed remained almost unchanged for 2012 over the last 60 days. In addition, over the past four quarters, Waddell & Reed has delivered an average earnings surprise of only 3.7%. This Zacks #2 Rank (Buy) stock is expected to announce its fourth quarter results on January 29, 2013.
The Zacks Consensus Estimate for the fourth quarter is 58 cents along with a revenue estimate of $307 million. The company had delivered better-than-expected third-quarter earnings (outpacing the Zacks Consensus Estimate by a nickel) based on augmented top line, partially offset by higher expenses.
Further, the company's sustained AUM growth and history of boosting shareholders' value through meaningful capital deployment activities along with investment in Advisory channel to boost revenue are the positives. There were continued strong investment performances behind the solid AUM growth trajectory despite unfavorable market conditions.
Also, investment in Advisors channel by delivering additional support to its advisors through training opportunities and enhanced technology tools, including compliance-related technology, are anticipated to improve the company's revenues and AUM in the near term.
However, the presence of substantial intangibles on its balance sheet makes us apprehensive. Further, the highly equity-centric nature of AUM and the new rules adopted by Securities and Exchange Commission for improvement of mutual fund corporate governance could result in further downward pressure on investment advisory fees, thereby adversely impacting the company's revenue and earnings.
Other stocks to consider
The other stocks in the bank sector that are performing well and are worth considering include AllianceBernstein Holding L.P. ( AB ) and Heartland Financial USA Inc. ( HTLF ). These two companies carry a Zacks #1 Rank (Strong Buy).
ALLIANCEBERNSTN (AB): Free Stock Analysis Report
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The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. | There were continued strong investment performances behind the solid AUM growth trajectory despite unfavorable market conditions. Other stocks to consider The other stocks in the bank sector that are performing well and are worth considering include AllianceBernstein Holding L.P. ( AB ) and Heartland Financial USA Inc. ( HTLF ). ALLIANCEBERNSTN (AB): Free Stock Analysis Report HEARTLAND FINCL (HTLF): Free Stock Analysis Report WADDELL&REED -A (WDR): Free Stock Analysis Report To read this article on Zacks.com click here. | ALLIANCEBERNSTN (AB): Free Stock Analysis Report HEARTLAND FINCL (HTLF): Free Stock Analysis Report WADDELL&REED -A (WDR): Free Stock Analysis Report To read this article on Zacks.com click here. There were continued strong investment performances behind the solid AUM growth trajectory despite unfavorable market conditions. Other stocks to consider The other stocks in the bank sector that are performing well and are worth considering include AllianceBernstein Holding L.P. ( AB ) and Heartland Financial USA Inc. ( HTLF ). | ALLIANCEBERNSTN (AB): Free Stock Analysis Report HEARTLAND FINCL (HTLF): Free Stock Analysis Report WADDELL&REED -A (WDR): Free Stock Analysis Report To read this article on Zacks.com click here. There were continued strong investment performances behind the solid AUM growth trajectory despite unfavorable market conditions. Other stocks to consider The other stocks in the bank sector that are performing well and are worth considering include AllianceBernstein Holding L.P. ( AB ) and Heartland Financial USA Inc. ( HTLF ). | There were continued strong investment performances behind the solid AUM growth trajectory despite unfavorable market conditions. Other stocks to consider The other stocks in the bank sector that are performing well and are worth considering include AllianceBernstein Holding L.P. ( AB ) and Heartland Financial USA Inc. ( HTLF ). ALLIANCEBERNSTN (AB): Free Stock Analysis Report HEARTLAND FINCL (HTLF): Free Stock Analysis Report WADDELL&REED -A (WDR): Free Stock Analysis Report To read this article on Zacks.com click here. |
21933.0 | 2013-01-08 00:00:00 UTC | AllianceBernstein Upped to Strong Buy - Analyst Blog | AB | https://www.nasdaq.com/articles/alliancebernstein-upped-to-strong-buy-analyst-blog-2013-01-08 | nan | nan | On January 5, Zacks Investment Research upgraded AllianceBernstein Holding L.P. ( AB ) to a Zacks #1 Rank (Strong Buy).
Why the Upgrade?
AllianceBernstein has been witnessing rising earnings estimates on the back of strong third-quarter 2012 results. Moreover, this well-known investment manager delivered positive earnings surprises in 3 of the last 4 quarters. The long-term expected earnings growth rate for this stock is 6.3%.
AllianceBernstein reported third-quarter results on October 24. Adjusted earnings per share came in at 36 cents, surpassing the Zacks Consensus Estimate of 27 cents by 33.3% and year-ago earnings of 30 cents by 20.0%.
Notably, the company's Distribution per unit came in at 36 cents, reflecting 38.0% increase over the prior-year quarter.
Earnings were primarily aided by solid operating income year-over-year growth of 8.0%, partially offset by a 35.0% increase in operating expenses. Total net outflows of $4.4 billion also significantly reduced from $11.0 billion recorded in the prior-year period. However, net revenues stood at $574.0 million, down 5.0% year over year.
Currently, AllianceBernstein reported its preliminary assets under management (AUM) of $426.0 billion for the month of November 2012, up 1.7% over the prior month, reflecting continued net inflows.
The Zacks Consensus Estimate for 2012 increased 16.2% to $1.22 per share over the last 90 days. For 2013, the Zacks Consensus Estimate jumped 17.5% to $1.41 per share over the same time frame.
Other Stocks to Consider
BlackRock, Inc. ( BLK ) and Franklin Resources Inc. ( BEN ) are the other investment management companies with a Zacks #2 Rank (Buy).
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The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. | Notably, the company's Distribution per unit came in at 36 cents, reflecting 38.0% increase over the prior-year quarter. On January 5, Zacks Investment Research upgraded AllianceBernstein Holding L.P. ( AB ) to a Zacks #1 Rank (Strong Buy). ALLIANCEBERNSTN (AB): Free Stock Analysis Report FRANKLIN RESOUR (BEN): Free Stock Analysis Report BLACKROCK INC (BLK): Free Stock Analysis Report To read this article on Zacks.com click here. | On January 5, Zacks Investment Research upgraded AllianceBernstein Holding L.P. ( AB ) to a Zacks #1 Rank (Strong Buy). ALLIANCEBERNSTN (AB): Free Stock Analysis Report FRANKLIN RESOUR (BEN): Free Stock Analysis Report BLACKROCK INC (BLK): Free Stock Analysis Report To read this article on Zacks.com click here. Notably, the company's Distribution per unit came in at 36 cents, reflecting 38.0% increase over the prior-year quarter. | On January 5, Zacks Investment Research upgraded AllianceBernstein Holding L.P. ( AB ) to a Zacks #1 Rank (Strong Buy). ALLIANCEBERNSTN (AB): Free Stock Analysis Report FRANKLIN RESOUR (BEN): Free Stock Analysis Report BLACKROCK INC (BLK): Free Stock Analysis Report To read this article on Zacks.com click here. Notably, the company's Distribution per unit came in at 36 cents, reflecting 38.0% increase over the prior-year quarter. | On January 5, Zacks Investment Research upgraded AllianceBernstein Holding L.P. ( AB ) to a Zacks #1 Rank (Strong Buy). Notably, the company's Distribution per unit came in at 36 cents, reflecting 38.0% increase over the prior-year quarter. ALLIANCEBERNSTN (AB): Free Stock Analysis Report FRANKLIN RESOUR (BEN): Free Stock Analysis Report BLACKROCK INC (BLK): Free Stock Analysis Report To read this article on Zacks.com click here. |
21934.0 | 2013-01-07 00:00:00 UTC | Zacks #1 Rank Additions for Monday - Tale of the Tape | AB | https://www.nasdaq.com/articles/zacks-1-rank-additions-for-monday-tale-of-the-tape-2013-01-07 | nan | nan | Here are 5 stocks added to the Zacks #1 Rank ("strong buy") List today:
Aeroflex Holding Corp. ( ARX )
AllianceBernstein Holding LP ( AB )
Atlas Energy LP ( ATLS )
Atmel Corp. ( ATML )
Big 5 Sporting Goods Corp. ( BGFV )
View the entire Zacks #1 Rank List .
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The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. | Here are 5 stocks added to the Zacks #1 Rank ("strong buy") List today: Aeroflex Holding Corp. ( ARX ) AllianceBernstein Holding LP ( AB ) Atlas Energy LP ( ATLS ) Atmel Corp. ( ATML ) Big 5 Sporting Goods Corp. ( BGFV ) View the entire Zacks #1 Rank List . ALLIANCEBERNSTN (AB): Free Stock Analysis Report AEROFLEX HOLDNG (ARX): Free Stock Analysis Report ATLAS ENERGY LP (ATLS): Free Stock Analysis Report ATMEL CORP (ATML): Free Stock Analysis Report BIG 5 SPORTING (BGFV): Free Stock Analysis Report To read this article on Zacks.com click here. Zacks Investment Research The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. | Here are 5 stocks added to the Zacks #1 Rank ("strong buy") List today: Aeroflex Holding Corp. ( ARX ) AllianceBernstein Holding LP ( AB ) Atlas Energy LP ( ATLS ) Atmel Corp. ( ATML ) Big 5 Sporting Goods Corp. ( BGFV ) View the entire Zacks #1 Rank List . ALLIANCEBERNSTN (AB): Free Stock Analysis Report AEROFLEX HOLDNG (ARX): Free Stock Analysis Report ATLAS ENERGY LP (ATLS): Free Stock Analysis Report ATMEL CORP (ATML): Free Stock Analysis Report BIG 5 SPORTING (BGFV): Free Stock Analysis Report To read this article on Zacks.com click here. Zacks Investment Research The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. | Here are 5 stocks added to the Zacks #1 Rank ("strong buy") List today: Aeroflex Holding Corp. ( ARX ) AllianceBernstein Holding LP ( AB ) Atlas Energy LP ( ATLS ) Atmel Corp. ( ATML ) Big 5 Sporting Goods Corp. ( BGFV ) View the entire Zacks #1 Rank List . ALLIANCEBERNSTN (AB): Free Stock Analysis Report AEROFLEX HOLDNG (ARX): Free Stock Analysis Report ATLAS ENERGY LP (ATLS): Free Stock Analysis Report ATMEL CORP (ATML): Free Stock Analysis Report BIG 5 SPORTING (BGFV): Free Stock Analysis Report To read this article on Zacks.com click here. Zacks Investment Research The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. | Here are 5 stocks added to the Zacks #1 Rank ("strong buy") List today: Aeroflex Holding Corp. ( ARX ) AllianceBernstein Holding LP ( AB ) Atlas Energy LP ( ATLS ) Atmel Corp. ( ATML ) Big 5 Sporting Goods Corp. ( BGFV ) View the entire Zacks #1 Rank List . ALLIANCEBERNSTN (AB): Free Stock Analysis Report AEROFLEX HOLDNG (ARX): Free Stock Analysis Report ATLAS ENERGY LP (ATLS): Free Stock Analysis Report ATMEL CORP (ATML): Free Stock Analysis Report BIG 5 SPORTING (BGFV): Free Stock Analysis Report To read this article on Zacks.com click here. Zacks Investment Research The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. |
21935.0 | 2012-12-07 00:00:00 UTC | Unisys Launched New Application - Analyst Blog | AB | https://www.nasdaq.com/articles/unisys-launched-new-application-analyst-blog-2012-12-07 | nan | nan | Unisys Corporation ( UIS ) recently unveiled its latest Agile Business (AB) Suite application software, Release 3.0, which can be used for Unisys ClearPath MCP and Microsoft Windows networks.
In today's world, there is a huge demand for creating and upgrading various mission-critical applications in an easier manner in order to augment client productivity. The company's newly launched Release 3.0 by utilizing Microsoft Visual Studio and Team Foundation Server will offer an in-depth outlook for the application development.
Unisys' advanced platform through deploying web services will be integrating mobile devices with Unisys ClearPath ePortal. Now with the help of this software, the programmers can build new applications and customers can easily access these applications from their Apple iPhones and iPads, various Android devices and BlackBerrys.
Moreover, as the company's AB Suite Release 3.0 is compatible with Enterprise Application Environment (EAE) process, it is easy to shift from EAE related applications to AB Suite Release 3.0 without affecting application performance.
The company's new software service is ideal for resolving any queries related to vertical-industry and financial institutions. Management stated that various organizations would now be able to improve its business productivity by leveraging the company's AB Suite Release 3.0.
Unisys is currently concentrating on business opportunities in fewer, more profitable markets in the information technology (IT) market place. To drive future growth, Unisys is focusing its resources and investments in four targeted, high potential market areas, including security (IT security and physical security); data center transformation and outsourcing services; end-user outsourcing and support services; and applications modernization and outsourcing services. The company has secured quite a few contracts in these segments recently that should propel the top line.
The company, however, should not become complacent with its contract win spree as it faces stiff competition largely from proactive companies including Infosys Ltd. ( INFY ), Acxiom Corporation ( ACXM ) and Amdocs Limited ( DOX ). Amdocs recently introduced its latest Amdocs Product Lifecycle Management solution. The newly launched services will be used for managing the internal workflow systems for any service provider. Hence, Unisys has to focus on continuously developing its entire business, which may turn out to be expensive.
The current Zacks Consensus Estimates for Unisys are $1.00 and $2.20 per share for the fourth quarter of 2012 and full year of 2012, respectively. The estimates represent a year-over-year growth of (51.80%) for the fourth quarter and (50.23%) for 2012. At present, we have a 'Neutral' recommendation on Unisys. The stock currently carries a Zacks #3 Rank, which translates into a short-term 'Hold' rating.
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The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. | Management stated that various organizations would now be able to improve its business productivity by leveraging the company's AB Suite Release 3.0. Unisys Corporation ( UIS ) recently unveiled its latest Agile Business (AB) Suite application software, Release 3.0, which can be used for Unisys ClearPath MCP and Microsoft Windows networks. Moreover, as the company's AB Suite Release 3.0 is compatible with Enterprise Application Environment (EAE) process, it is easy to shift from EAE related applications to AB Suite Release 3.0 without affecting application performance. | Unisys Corporation ( UIS ) recently unveiled its latest Agile Business (AB) Suite application software, Release 3.0, which can be used for Unisys ClearPath MCP and Microsoft Windows networks. Moreover, as the company's AB Suite Release 3.0 is compatible with Enterprise Application Environment (EAE) process, it is easy to shift from EAE related applications to AB Suite Release 3.0 without affecting application performance. Management stated that various organizations would now be able to improve its business productivity by leveraging the company's AB Suite Release 3.0. | Moreover, as the company's AB Suite Release 3.0 is compatible with Enterprise Application Environment (EAE) process, it is easy to shift from EAE related applications to AB Suite Release 3.0 without affecting application performance. Unisys Corporation ( UIS ) recently unveiled its latest Agile Business (AB) Suite application software, Release 3.0, which can be used for Unisys ClearPath MCP and Microsoft Windows networks. Management stated that various organizations would now be able to improve its business productivity by leveraging the company's AB Suite Release 3.0. | Unisys Corporation ( UIS ) recently unveiled its latest Agile Business (AB) Suite application software, Release 3.0, which can be used for Unisys ClearPath MCP and Microsoft Windows networks. Moreover, as the company's AB Suite Release 3.0 is compatible with Enterprise Application Environment (EAE) process, it is easy to shift from EAE related applications to AB Suite Release 3.0 without affecting application performance. Management stated that various organizations would now be able to improve its business productivity by leveraging the company's AB Suite Release 3.0. |
21936.0 | 2012-11-27 00:00:00 UTC | AllianceBernstein Holding L.P. - Momentum | AB | https://www.nasdaq.com/articles/alliancebernstein-holding-l.p.-momentum-2012-11-27 | nan | nan | AllianceBernstein Holding L.P. ( AB ) posted impressive third quarter results late last month, which boosted 4 out of 5 total estimates for 2012 in the last 30 days. This Zacks #1 Rank (Strong Buy) global investment management firm has now surpassed the Zacks Consensus Estimate for three straight quarters. It also hit a new 52-week high on November 23 and jumped 44.9% year-to-date.
Impressive Third Quarter Results
AllianceBernstein's third quarter adjusted earnings per share of 36 cents surpassed the Zacks Consensus Estimate by 33.3% and the year-ago earnings by 20%. The improvement was primarily thanks to a decrease in expenses.
Net revenues (adjusted basis) declined 5% year over year to $574 million, due mainly to a drop in base fees on lower average assets and reduced Bernstein Research Services revenues. However, operating expenses of $458 million declined 7% year over year, reflecting reductions in compensation and benefits, promotion and servicing as well as general and administrative expenses. Operating income grew 8% year over year to $116 million, as expense reductions outpaced the year-over-year decline in revenues.
As of September 30, 2012, total assets under management (AUM) grew 4.2% from the year-ago quarter to $418.9 billion. Net outflows of $4.4 billion were $11.0 billion lower from the prior-year period.
Earnings Momentum on the Rise
The past 30 days have seen an advance in 4 out of 5 estimates for 2012, lifting the Zacks Consensus Estimate by 13.0% to $1.22 per share. For 2013, the Zacks Consensus Estimate is up 10.2% to $1.40 as 6 of 7 estimates were enhanced. The Zacks Consensus Estimate for 2012 reflects year-over-year growth of about 6.8%, while the growth rate for 2013 is 15.2%.
Chart Shows Strength
AllianceBernstein has enjoyed strong price momentum since the third quarter earnings release. Moreover, the company has been continuously outperforming its 200-day and 50-day moving averages and the S&P 500 over the last three months. The year-to-date return for the stock is 44.9%, compared with the S&P 500's return of 10.3%.
Based in New York, New York and founded in 1987, AllianceBernstein offers research, diversified investment management and related services to a range of clients in the United States and internationally. Furthermore, it provides distribution, shareholder servicing and administrative services to its sponsored mutual funds. The company serves clients in major global markets through operations in 46 cities. AllianceBernstein Corporation serves as the general partner of the company while AllianceBernstein Holding L.P. operates as a subsidiary of AXA. With a market cap of about $1.9 billion, AllianceBernstein competes with Virtus Investment Partners, Inc. ( VRTS ), among others.
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The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. | AllianceBernstein Holding L.P. ( AB ) posted impressive third quarter results late last month, which boosted 4 out of 5 total estimates for 2012 in the last 30 days. Zacks' Executive VP, Steve Reitmeister, knows when key trades are about to be triggered and which of our experts has the hottest hand. The Zacks Consensus Estimate for 2012 reflects year-over-year growth of about 6.8%, while the growth rate for 2013 is 15.2%. | AllianceBernstein Holding L.P. ( AB ) posted impressive third quarter results late last month, which boosted 4 out of 5 total estimates for 2012 in the last 30 days. The Zacks Consensus Estimate for 2012 reflects year-over-year growth of about 6.8%, while the growth rate for 2013 is 15.2%. With a market cap of about $1.9 billion, AllianceBernstein competes with Virtus Investment Partners, Inc. ( VRTS ), among others. | AllianceBernstein Holding L.P. ( AB ) posted impressive third quarter results late last month, which boosted 4 out of 5 total estimates for 2012 in the last 30 days. The Zacks Consensus Estimate for 2012 reflects year-over-year growth of about 6.8%, while the growth rate for 2013 is 15.2%. With a market cap of about $1.9 billion, AllianceBernstein competes with Virtus Investment Partners, Inc. ( VRTS ), among others. | AllianceBernstein Holding L.P. ( AB ) posted impressive third quarter results late last month, which boosted 4 out of 5 total estimates for 2012 in the last 30 days. The Zacks Consensus Estimate for 2012 reflects year-over-year growth of about 6.8%, while the growth rate for 2013 is 15.2%. With a market cap of about $1.9 billion, AllianceBernstein competes with Virtus Investment Partners, Inc. ( VRTS ), among others. |
21937.0 | 2012-10-09 00:00:00 UTC | Zacks #1 Rank Additions for Tuesday - Tale of the Tape | AB | https://www.nasdaq.com/articles/zacks-1-rank-additions-for-tuesday-tale-of-the-tape-2012-10-09 | nan | nan | Here are 5 stocks added to the Zacks #1 Rank ("strong buy") List today:
Agrium Inc ( AGU )
AllianceBernstein Holding ( AB )
Amedisys Inc ( AMED )
American Woodmark ( AMWD )
BankFinancial Corp ( BFIN )
View the entire Zacks #1 Rank List .
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The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. | Here are 5 stocks added to the Zacks #1 Rank ("strong buy") List today: Agrium Inc ( AGU ) AllianceBernstein Holding ( AB ) Amedisys Inc ( AMED ) American Woodmark ( AMWD ) BankFinancial Corp ( BFIN ) View the entire Zacks #1 Rank List . ALLIANCEBERNSTN (AB): Free Stock Analysis Report AGRIUM INC (AGU): Free Stock Analysis Report AMEDISYS INC (AMED): Free Stock Analysis Report AMER WOODMARK (AMWD): Free Stock Analysis Report BANKFINANCIAL (BFIN): Free Stock Analysis Report To read this article on Zacks.com click here. The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. | Here are 5 stocks added to the Zacks #1 Rank ("strong buy") List today: Agrium Inc ( AGU ) AllianceBernstein Holding ( AB ) Amedisys Inc ( AMED ) American Woodmark ( AMWD ) BankFinancial Corp ( BFIN ) View the entire Zacks #1 Rank List . ALLIANCEBERNSTN (AB): Free Stock Analysis Report AGRIUM INC (AGU): Free Stock Analysis Report AMEDISYS INC (AMED): Free Stock Analysis Report AMER WOODMARK (AMWD): Free Stock Analysis Report BANKFINANCIAL (BFIN): Free Stock Analysis Report To read this article on Zacks.com click here. The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. | ALLIANCEBERNSTN (AB): Free Stock Analysis Report AGRIUM INC (AGU): Free Stock Analysis Report AMEDISYS INC (AMED): Free Stock Analysis Report AMER WOODMARK (AMWD): Free Stock Analysis Report BANKFINANCIAL (BFIN): Free Stock Analysis Report To read this article on Zacks.com click here. The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. Here are 5 stocks added to the Zacks #1 Rank ("strong buy") List today: Agrium Inc ( AGU ) AllianceBernstein Holding ( AB ) Amedisys Inc ( AMED ) American Woodmark ( AMWD ) BankFinancial Corp ( BFIN ) View the entire Zacks #1 Rank List . | Here are 5 stocks added to the Zacks #1 Rank ("strong buy") List today: Agrium Inc ( AGU ) AllianceBernstein Holding ( AB ) Amedisys Inc ( AMED ) American Woodmark ( AMWD ) BankFinancial Corp ( BFIN ) View the entire Zacks #1 Rank List . ALLIANCEBERNSTN (AB): Free Stock Analysis Report AGRIUM INC (AGU): Free Stock Analysis Report AMEDISYS INC (AMED): Free Stock Analysis Report AMER WOODMARK (AMWD): Free Stock Analysis Report BANKFINANCIAL (BFIN): Free Stock Analysis Report To read this article on Zacks.com click here. The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. |
21938.0 | 2012-10-03 00:00:00 UTC | Zacks #1 Rank Additions for Wednesday - Tale of the Tape | AB | https://www.nasdaq.com/articles/zacks-1-rank-additions-for-wednesday-tale-of-the-tape-2012-10-03 | nan | nan | Here are 5 stocks added to the Zacks #1 Rank ("strong buy") List today:
AllianceBernstein Holding LP ( AB )
The Allstate Corp. ( ALL )
American Science & Engineering, Inc. ( ASEI )
AMN Healthcare Services, Inc. ( AHS )
ArQule, Inc. ( ARQL )
View the entire Zacks #1 Rank List .
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The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. | Here are 5 stocks added to the Zacks #1 Rank ("strong buy") List today: AllianceBernstein Holding LP ( AB ) The Allstate Corp. ( ALL ) American Science & Engineering, Inc. ( ASEI ) AMN Healthcare Services, Inc. ( AHS ) ArQule, Inc. ( ARQL ) View the entire Zacks #1 Rank List . ALLIANCEBERNSTN (AB): Free Stock Analysis Report AMN HLTHCR SVCS (AHS): Free Stock Analysis Report ALLSTATE CORP (ALL): Free Stock Analysis Report ARQULE INC (ARQL): Free Stock Analysis Report AMER SCI & ENG (ASEI): Free Stock Analysis Report To read this article on Zacks.com click here. The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. | Here are 5 stocks added to the Zacks #1 Rank ("strong buy") List today: AllianceBernstein Holding LP ( AB ) The Allstate Corp. ( ALL ) American Science & Engineering, Inc. ( ASEI ) AMN Healthcare Services, Inc. ( AHS ) ArQule, Inc. ( ARQL ) View the entire Zacks #1 Rank List . ALLIANCEBERNSTN (AB): Free Stock Analysis Report AMN HLTHCR SVCS (AHS): Free Stock Analysis Report ALLSTATE CORP (ALL): Free Stock Analysis Report ARQULE INC (ARQL): Free Stock Analysis Report AMER SCI & ENG (ASEI): Free Stock Analysis Report To read this article on Zacks.com click here. The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. | ALLIANCEBERNSTN (AB): Free Stock Analysis Report AMN HLTHCR SVCS (AHS): Free Stock Analysis Report ALLSTATE CORP (ALL): Free Stock Analysis Report ARQULE INC (ARQL): Free Stock Analysis Report AMER SCI & ENG (ASEI): Free Stock Analysis Report To read this article on Zacks.com click here. The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. Here are 5 stocks added to the Zacks #1 Rank ("strong buy") List today: AllianceBernstein Holding LP ( AB ) The Allstate Corp. ( ALL ) American Science & Engineering, Inc. ( ASEI ) AMN Healthcare Services, Inc. ( AHS ) ArQule, Inc. ( ARQL ) View the entire Zacks #1 Rank List . | Here are 5 stocks added to the Zacks #1 Rank ("strong buy") List today: AllianceBernstein Holding LP ( AB ) The Allstate Corp. ( ALL ) American Science & Engineering, Inc. ( ASEI ) AMN Healthcare Services, Inc. ( AHS ) ArQule, Inc. ( ARQL ) View the entire Zacks #1 Rank List . ALLIANCEBERNSTN (AB): Free Stock Analysis Report AMN HLTHCR SVCS (AHS): Free Stock Analysis Report ALLSTATE CORP (ALL): Free Stock Analysis Report ARQULE INC (ARQL): Free Stock Analysis Report AMER SCI & ENG (ASEI): Free Stock Analysis Report To read this article on Zacks.com click here. The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. |
21939.0 | 2012-09-27 00:00:00 UTC | Investors Continue To Lighten Up On Equities As Market Rallies | AB | https://www.nasdaq.com/articles/investors-continue-lighten-equities-market-rallies-2012-09-27 | nan | nan | By Morningstar :
By Gregory Warren, CFA
While global equity markets have regained some of their footing during the third quarter, we don't believe this signals an end to market volatility. With Europe dealing with what has become an expanding debt crisis, most developed economies around the globe struggling to maintain any kind of positive momentum, and growth in emerging and developing markets like China and Brazil stumbling as a result, we don't see much that will change what has been a macro-driven market for investors. We believe that this ongoing volatility has caused investors to rapidly alter their risk tolerances and asset class preferences in response to short-term news and investment performance. As such, we favor the more broadly diversified asset management firms, especially those that offer a mix of active and passive strategies, strong equity and fixed-income franchises, and exposure to both domestic and international markets, during periods of market volatility. We continue to highlight the asset managers we cover that have solid exchange-traded fund platforms -- like BlackRock ( BLK ) and Invesco ( IVZ ) -- or strong international franchises -- like Franklin Resources ( BEN ) -- which we think are much better positioned than their peers to hold on to assets in this more volatile market environment.
Outflows Continue for Actively Managed U.S. Stock Funds
Despite gains in the U.S. equity markets, as represented by the S&P 500 Index during June (up 4.3%), July (up 1.0%), and August (up 2.3%), investors continued to pull money out of actively managed U.S. stock funds last month. This marks the 18th straight month of outflows from the category, leaving 2012 on pace to match the level of investor outflows that were recorded last year, which at $97 billion were second only to the nearly $115 billion that flowed out during 2008. We believe this is the most likely scenario for actively managed U.S. stock funds, given that flows for the category, according to data provided by Morningstar Direct, have been negative in the back half of each of the past six calendar years (with only two months popping up during that entire time -- December 2006 and August 2008 -- where flows for actively managed U.S. stock funds were actually positive).
The impact that the massive outflows at American Funds has had on these results, though, should not be ignored. While the flow results for actively managed U.S. stock funds are still negative after stripping out the results from the struggling fund firm, the results at American Funds -- which are heavily influenced by the flow results at American Funds Growth Fund of America -- have had (and continue to have) a profound impact on the overall flow picture. In many ways, the story at American Funds mirrors those we've seen unfold at Legg Mason ( LM ) and AllianceBernstein ( AB ). All three asset managers came into the 2008-09 financial crisis overseeing a significant level of assets under management, with American Funds at $1.1 trillion, Legg Mason at $1 trillion, and AllianceBernstein at $800 billion. All three generated solid investor inflows in the five years leading up to the financial crisis, with American Funds and AllianceBernstein seeing gains based on the long-term record of their equity funds. And all three asset managers saw investment performance falter during and after the financial crisis, which led to massive outflows over the next several years -- with Legg Mason affected more heavily on the fixed-income side of the business and American Funds and AllianceBernstein dragged down by outflows from their equity offerings. What has differentiated American Funds from its peers, though, is that its outflows were centered in the retail channel, while Legg Mason and AllianceBernstein saw the majority of their outflows coming from institutional investors (with the activity of this particular channel not always fully reflected in Morningstar's U.S. open-end, ETF, and money market data).
Much as stripping out the impact of American Funds from the overall flows of actively managed U.S. stock funds provides us with a much clearer flow picture for the segment, so too does breaking out the impact that State Street's (STT) SPDR S&P 500 fund has on the results for exchange-traded funds that are dedicated to domestic stocks. The SPDR S&P 500 fund is an institution in and of itself. It moves much more heavily with movements in Chicago Board Options Exchange's VIX and tends to have a big impact on the month-to-month flow data in periods of greater market volatility (which we've seen on and off again for much of the past five and a half years). Because of the influence the SPDR S&P 500 fund has on flows, we've seen the data for U.S. stock ETF flows doing counterintuitive things during more volatile markets -- with inflows at times increasing during market declines and outflows accelerating during rallies.
By looking at the flow data through this lens, we see that investor flows into ETFs dedicated to U.S. stocks during the month of August fell off the fairly torrid pace of June and July, which could be a sign that the U.S. markets are heading for another correction (as we saw this same pattern emerge in April/May after strong inflows into domestic stock ETFs were recorded in February/March). It also looks like Vanguard continues to take the majority of the inflows coming into ETFs dedicated to U.S. stocks, picking up more than $3.2 billion during the month, compared with BlackRock's iShares at $1.7 billion and Invesco's PowerShares at $670 million. Despite the impact of the SPDR S&P 500 fund, which recorded $7.1 billion in outflows during August, State Street saw just $5.5 billion in total outflows from its domestic stock ETFs last month. It also looks as if overall flows have recovered somewhat during September, with the category seeing $3.8 billion in inflows through the 12th of the month (after stripping out the $5.3 billion that flowed into the SPDR S&P 500 fund during that same time frame).
Actively Managed International Stock Fund Flows Continue to Falter
Much as it has affected the results for actively managed U.S. stock funds, American Funds has also influenced the flow data for actively managed international stock funds. Stripping out the impact that the asset manager's outflows have on the overall results, it appears that flows remained in negative territory during August, even with the MSCI EAFE Index posting equally as strong returns as the S&P 500 over the past three months. The outflows are also on par with the levels seen during July and August last year, when there were far more visible reasons for investors to pull capital out of international stock funds. That said, with Europe dealing with what has become an expanding debt crisis, most developed economies around the globe struggling to maintain any kind of positive momentum, and growth in emerging and developing markets like China and Brazil stumbling as a result, it is not as though investors are lacking reasons to be more cautious right now. Still, flows for passively managed international stock funds have remained relatively robust, with diversified emerging market funds -- which have seen more than $19 billion in investor inflows so far this year -- continuing to be the biggest draw of investor attention, and the Vanguard Emerging Markets Stock Index fund still seeing the lion's share of the inflows. Looking at the flow data through the first 12 days of September, it does look like overall flows have recovered somewhat for the international stock fund category, with European stock funds actually leading the way.
Actively Managed Taxable Bond Fund Flows Back On Track
Flows into actively managed taxable bond funds, which had been on a torrid pace during the first three months of 2012 (averaging around $22 billion a month), dropped off fairly significantly during the second quarter, with total inflows of $17 billion during April followed up by even weaker flows of $8 billion in May and $9 billion in June. Flows picked up again during July and August, with the pace of flows matching what we were seeing earlier in the year. Much as we saw during the first quarter, flows into actively managed taxable bond funds outpaced those going into index funds and ETFs, with the total combined flows for the year (of $202 billion) surpassing what we saw last year and putting 2012 on pace to hit the level of inflows seen for taxable bond funds overall in 2010 (and, quite possibly, 2009). It does, however, look like taxable bond fund flows have moderated some during the first 12 days of September, with total flows barely exceeding $5 billion (which would imply total flows for the month in the neighborhood of $15 billion). Inflows into intermediate-term bond funds continue to dominate the flows going into both actively managed and passively managed taxable bond funds, with high-yield bond funds and short-term bond funds continuing to battle for that more distant second-place spot. It is also interesting to see flows into municipal bond funds remaining relatively robust, considering how much of a pariah they were during the first three quarters of 2011.
Flows for BlackRock's Actively and Passively Managed Funds Remain Positive
After a fairly dismal showing during the second quarter, BlackRock's iShares division bounced back in July and August, picking up its fair share of the capital that flowed into passively managed equity and fixed-income funds last month. The company also continues to see positive momentum in its actively managed funds, with outflows from its stock funds more than offset by flows into its cash management and fixed-income funds offerings. The big news for BlackRock this month, though, was the announcement that the firm will be lowering fees for some of its larger, more liquid core asset class ETFs, which is where iShares has been hit the hardest by Vanguard's ETF offerings. We expect the cost of this to be alleviated somewhat by BlackRock's rollout of its own internal trading platform, and we believe it is an essential move for the firm to ultimately be successful with its push into the retail channel, where Vanguard has been making the biggest inroads, especially with financial advisors. While BlackRock's shares are standing exactly where they were at the beginning of the year, and there has been plenty of volatility in the shares (which reached a high of $206 in early April before falling to a low of $163 in late May), we continue to recommend investors wait for prices in the $150-$160 range before making significant commitments. This was the same trading level that the shares dropped to during the third quarter of last year, when investors seemed unwilling to differentiate between the quality diversified asset managers -- like BlackRock, Invesco, and Franklin Resources -- and the more equity-heavy names on our list.
Investors Have Recognized the Strength of Invesco's Operations
Having spent much of the third quarter of 2011 pounding the table on Invesco, which was trading at single-digit multiples (despite the fact that its assets under management were holding up well in the face of declining global markets), it is refreshing to see its common stock now trading more in tandem with BlackRock and Franklin Resources, which we think are its two most comparable peers. Invesco continues to add to the positive impression that it has seemingly gained with investors by posting positive inflows across both its actively and passively managed AUM. The company recently noted that its managed assets reached $670 billion during August, just shy of the record level of $673 billion in total AUM that Invesco reported at the end of March 2012. We firmly believe that Invesco is firing on all cylinders, and given the cross-selling opportunities that have been created by the Van Kampen deal, we believe the company is uniquely positioned to generate inflows in an environment where internal growth has been hard to come by for many of the asset managers we cover. With the firm's shares up nearly 30% year to date, there is not much room for its common stock to run in the current environment, in our view.
Muted Flows at Templeton Global Bond Limiting Franklin's AUM Growth
Even though Franklin Resources has seen a dramatic turnaround in the performance of Templeton Global Bond this year, flows into its global/international fixed-income operations remain fairly muted. Still, the company continues to pick up assets through its other fund offerings, reporting a nearly 2% increase in its total AUM last month, spread out fairly evenly among its equity, balanced, and fixed-income product lines. Of note, too, is the fact that the firm's managed assets reached $731 billion last month, putting Franklin's total AUM within shouting distance of the record level of $734 billion reached at the end of June 2011. Barring a dramatic downturn in the global equity markets this month, Franklin should close out fiscal 2012 (ending September) with $730 billion-$740 billion in total AUM. With the shares already up 30% since the start of calendar 2012 and trading at a slight premium to BlackRock and Invesco, it's hard to get too excited. We'd be buyers of Franklin's common stock, though, if it were to drop back down below $100, which was where it was trading during the third and fourth quarters of last year, when the global markets were in turmoil and investors were concerned about the impact that poor performance at Templeton Global Bond, as well as Templeton Global Total Return, would have on organic growth and AUM levels at the firm.
Disclosure: Morningstar licenses its indexes to certain ETF and ETN providers, including BlackRock, Invesco, Merrill Lynch, Northern Trust, and Scottrade for use in exchange-traded funds and notes. These ETFs and ETNs are not sponsored, issued, or sold by Morningstar. Morningstar does not make any representation regarding the advisability of investing in ETFs or ETNs that are based on Morningstar indexes.
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The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. | In many ways, the story at American Funds mirrors those we've seen unfold at Legg Mason ( LM ) and AllianceBernstein ( AB ). Actively Managed Taxable Bond Fund Flows Back On Track Flows into actively managed taxable bond funds, which had been on a torrid pace during the first three months of 2012 (averaging around $22 billion a month), dropped off fairly significantly during the second quarter, with total inflows of $17 billion during April followed up by even weaker flows of $8 billion in May and $9 billion in June. Much as we saw during the first quarter, flows into actively managed taxable bond funds outpaced those going into index funds and ETFs, with the total combined flows for the year (of $202 billion) surpassing what we saw last year and putting 2012 on pace to hit the level of inflows seen for taxable bond funds overall in 2010 (and, quite possibly, 2009). | In many ways, the story at American Funds mirrors those we've seen unfold at Legg Mason ( LM ) and AllianceBernstein ( AB ). Actively Managed Taxable Bond Fund Flows Back On Track Flows into actively managed taxable bond funds, which had been on a torrid pace during the first three months of 2012 (averaging around $22 billion a month), dropped off fairly significantly during the second quarter, with total inflows of $17 billion during April followed up by even weaker flows of $8 billion in May and $9 billion in June. Much as we saw during the first quarter, flows into actively managed taxable bond funds outpaced those going into index funds and ETFs, with the total combined flows for the year (of $202 billion) surpassing what we saw last year and putting 2012 on pace to hit the level of inflows seen for taxable bond funds overall in 2010 (and, quite possibly, 2009). | Actively Managed Taxable Bond Fund Flows Back On Track Flows into actively managed taxable bond funds, which had been on a torrid pace during the first three months of 2012 (averaging around $22 billion a month), dropped off fairly significantly during the second quarter, with total inflows of $17 billion during April followed up by even weaker flows of $8 billion in May and $9 billion in June. In many ways, the story at American Funds mirrors those we've seen unfold at Legg Mason ( LM ) and AllianceBernstein ( AB ). Much as we saw during the first quarter, flows into actively managed taxable bond funds outpaced those going into index funds and ETFs, with the total combined flows for the year (of $202 billion) surpassing what we saw last year and putting 2012 on pace to hit the level of inflows seen for taxable bond funds overall in 2010 (and, quite possibly, 2009). | Actively Managed Taxable Bond Fund Flows Back On Track Flows into actively managed taxable bond funds, which had been on a torrid pace during the first three months of 2012 (averaging around $22 billion a month), dropped off fairly significantly during the second quarter, with total inflows of $17 billion during April followed up by even weaker flows of $8 billion in May and $9 billion in June. In many ways, the story at American Funds mirrors those we've seen unfold at Legg Mason ( LM ) and AllianceBernstein ( AB ). Much as we saw during the first quarter, flows into actively managed taxable bond funds outpaced those going into index funds and ETFs, with the total combined flows for the year (of $202 billion) surpassing what we saw last year and putting 2012 on pace to hit the level of inflows seen for taxable bond funds overall in 2010 (and, quite possibly, 2009). |
21940.0 | 2012-08-01 00:00:00 UTC | Pre-Market Earnings Report for August 2, 2012 : APA, AEE, ANSS, ARIA, APO, ALE, AB, ABMD, AYR, AVD, ARQL, AGEN | AB | https://www.nasdaq.com/articles/pre-market-earnings-report-august-2-2012-apa-aee-anss-aria-apo-ale-ab-abmd-ayr-avd-arql | nan | nan | The following companies are expected to report earnings prior to market open on 08/02/2012. Visit our Earnings Calendar for a full list of expected earnings releases.
Apache Corporation ( APA ) is reporting for the quarter ending June 30, 2012. The oil (us exp & production) company's consensus earnings per share forecast from the 21 analysts that follow the stock is $2.52. This value represents a -21.74% decrease compared to the same quarter last year. APA missed the consensus earnings per share in the 1st calendar quarter by -2.91%. Zacks Investment Research reports that the 2012 Price to Earnings ratio for APA is 8.13 vs. an industry ratio of 999.00.
Ameren Corporation ( AEE ) is reporting for the quarter ending June 30, 2012. The electric power utilities company's consensus earnings per share forecast from the 5 analysts that follow the stock is $0.60. This value represents a 1.69% increase compared to the same quarter last year. Zacks Investment Research reports that the 2012 Price to Earnings ratio for AEE is 14.68 vs. an industry ratio of 999.00.
ANSYS, Inc. ( ANSS ) is reporting for the quarter ending June 30, 2012. The computer software company's consensus earnings per share forecast from the 4 analysts that follow the stock is $0.63. This value represents a 12.50% increase compared to the same quarter last year. Zacks Investment Research reports that the 2012 Price to Earnings ratio for ANSS is 22.89 vs. an industry ratio of 70.60.
ARIAD Pharmaceuticals, Inc. ( ARIA ) is reporting for the quarter ending June 30, 2012. The drug company's consensus earnings per share forecast from the 15 analysts that follow the stock is $-0.26. This value represents a 36.84% increase compared to the same quarter last year. The last two quarters ARIA had negative earnings surprises; the latest report they missed by -8.7%. The days to cover, as reported in the 7/13/2012 12:00:00 AM short interest update, increased137.725305083964 from previous report on6/29/2012 12:00:00 AM Zacks Investment Research reports that the 2012 Price to Earnings ratio for ARIA is -14.83 vs. an industry ratio of -5.00.
Apollo Global Management, LLC ( APO ) is reporting for the quarter ending June 30, 2012. The finance/investment management company's consensus earnings per share forecast from the 6 analysts that follow the stock is $-0.05. This value represents a -104.50% decrease compared to the same quarter last year. The "days to cover" for this stock exceeds 12 days. Zacks Investment Research reports that the 2012 Price to Earnings ratio for APO is 5.63 vs. an industry ratio of 16.50.
Allete, Inc. ( ALE ) is reporting for the quarter ending June 30, 2012. The electric power utilities company's consensus earnings per share forecast from the 3 analysts that follow the stock is $0.37. This value represents a -22.92% decrease compared to the same quarter last year. Zacks Investment Research reports that the 2012 Price to Earnings ratio for ALE is 16.20 vs. an industry ratio of 999.00.
Alliance Capital Management Holding L.P. ( AB ) is reporting for the quarter ending June 30, 2012. The finance/investment management company's consensus earnings per share forecast from the 6 analysts that follow the stock is $0.23. This value represents a -34.29% decrease compared to the same quarter last year. Zacks Investment Research reports that the 2012 Price to Earnings ratio for AB is 11.77 vs. an industry ratio of 16.50.
ABIOMED, Inc. ( ABMD ) is reporting for the quarter ending June 30, 2012. The medical instruments company's consensus earnings per share forecast from the 5 analysts that follow the stock is $0.03. This value represents a -127.27% decrease compared to the same quarter last year. ABMD missed the consensus earnings per share in the 2nd calendar quarter by -120%. The "days to cover" for this stock exceeds 22 days. Zacks Investment Research reports that the 2013 Price to Earnings ratio for ABMD is 102.50 vs. an industry ratio of 40.90, implying that they will have a higher earnings growth than their competitors in the same industry.
Aircastle Limited ( AYR ) is reporting for the quarter ending June 30, 2012. The transportation company's consensus earnings per share forecast from the 6 analysts that follow the stock is $0.27. This value represents a no change for the same quarter last year. AYR missed the consensus earnings per share in the 3rd calendar quarter by -8.7%. Zacks Investment Research reports that the 2012 Price to Earnings ratio for AYR is 8.39 vs. an industry ratio of 9.60.
American Vanguard Corporation ( AVD ) is reporting for the quarter ending June 30, 2012. The chemical company's consensus earnings per share forecast from the 3 analysts that follow the stock is $0.25. This value represents a 13.64% increase compared to the same quarter last year. AVD missed the consensus earnings per share in the 3rd calendar quarter by -11.11%. Zacks Investment Research reports that the 2012 Price to Earnings ratio for AVD is 22.71 vs. an industry ratio of 13.20, implying that they will have a higher earnings growth than their competitors in the same industry.
ArQule, Inc. ( ARQL ) is reporting for the quarter ending June 30, 2012. The drug company's consensus earnings per share forecast from the 6 analysts that follow the stock is $-0.07. This value represents a -65.00% decrease compared to the same quarter last year. ARQL missed the consensus earnings per share in the 1st calendar quarter by -14.29%. The "days to cover" for this stock exceeds 10 days. Zacks Investment Research reports that the 2012 Price to Earnings ratio for ARQL is -20.86 vs. an industry ratio of -5.00.
Agenus Inc. ( AGEN ) is reporting for the quarter ending June 30, 2012. The biomedical (gene) company's consensus earnings per share forecast from the 3 analysts that follow the stock is $-0.26. This value represents a -13.33% decrease compared to the same quarter last year. The days to cover, as reported in the 7/13/2012 12:00:00 AM short interest update, increased207.519273659096 from previous report on6/29/2012 12:00:00 AM Zacks Investment Research reports that the 2012 Price to Earnings ratio for AGEN is -9.66 vs. an industry ratio of 11.10.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. | Alliance Capital Management Holding L.P. ( AB ) is reporting for the quarter ending June 30, 2012. Zacks Investment Research reports that the 2012 Price to Earnings ratio for AB is 11.77 vs. an industry ratio of 16.50. ABIOMED, Inc. ( ABMD ) is reporting for the quarter ending June 30, 2012. | Alliance Capital Management Holding L.P. ( AB ) is reporting for the quarter ending June 30, 2012. Zacks Investment Research reports that the 2012 Price to Earnings ratio for AB is 11.77 vs. an industry ratio of 16.50. ABIOMED, Inc. ( ABMD ) is reporting for the quarter ending June 30, 2012. | Zacks Investment Research reports that the 2013 Price to Earnings ratio for ABMD is 102.50 vs. an industry ratio of 40.90, implying that they will have a higher earnings growth than their competitors in the same industry. Alliance Capital Management Holding L.P. ( AB ) is reporting for the quarter ending June 30, 2012. Zacks Investment Research reports that the 2012 Price to Earnings ratio for AB is 11.77 vs. an industry ratio of 16.50. | ABMD missed the consensus earnings per share in the 2nd calendar quarter by -120%. Alliance Capital Management Holding L.P. ( AB ) is reporting for the quarter ending June 30, 2012. Zacks Investment Research reports that the 2012 Price to Earnings ratio for AB is 11.77 vs. an industry ratio of 16.50. |
21941.0 | 2012-07-03 00:00:00 UTC | Fitch Maintains Outlook on Invesco - Analyst Blog | AB | https://www.nasdaq.com/articles/fitch-maintains-outlook-on-invesco-analyst-blog-2012-07-03 | nan | nan | Fitch ratings have maintained its outlook on Invesco Ltd. ( IVZ ) at 'Stable' as a part of its review of four rated investment managers. Despite a decent first quarter 2012 results, the outlook remains unchanged as the agency is concerned about the impact of volatile equity markets on the company's financials.
Rationale for Stable Outlook
Invesco reported a moderate quarterly performance along with continuous growth in assets under management as well as enhanced debt and leverage ratios. The balance sheet also remained low on risk quotient. Benefits availed from the acquisition of Van Kampen also contributed to the marginally improved performance.
Results mainly benefited from increased net revenue, partially mitigated by rising operating expenses. Net revenue inched up 2.7% sequentially and 1.7% year over year to $736.3 million, whereas operating expenses hiked 1.4% sequentially and 3.3% year over year to $467.1 million.
As of March 31, 2012, leverage ratio stood at 1.03 to1.00 as against 1.01 to1.00 as of December 31, 2011 whereas interest coverage ratio was 22.06 to 1.00 compared with 22.93 to 1.00 as of December 31, 2011.
The long-term issuer default ratings and senior unsecured debt ratings of Invesco as well as its subsidiaries - Invesco Holding Company Ltd and IVZ, Inc. - remained unchanged at 'A-'.
Fitch expects Invesco to maintain its current rating given a lack of steadiness in the equity market. However, Invesco's ratings may benefit from the constant improvement in debt and leverage ratios along with expansion of operational activities. On the other hand, sudden unfavorable changes in equity markets and unexpected losses from its business activities will significantly affect Fitch's outlook on the company.
Rating action on Other Companies
Other investment managers under Fitch's scrutiny were Alliance Bernstein Holding L.P. ( AB ), Affiliated Managers Group Inc. ( AMG ) and Schroders plc. Fitch has reiterated 'Stable' rating on all these firms.
Conclusion
Though the outlook and ratings remain unchanged, we remain cautious about Invesco's rising expenses that have the potential to dent its profitability in the upcoming quarters. However, the company's extensive share deployment activities will reinforce investors' confidence in the stock. Moreover, opportunities stemming from enhanced global investment flows will likely promote its expansion activities.
Persistent problems in the overall economy, especially volatility of U.S. dollar and stressful equity markets, pose serious threat to the company.
Currently, shares of Invesco retain a Zacks #5 Rank, which translates into a Strong Sell rating. Considering the fundamentals, we also maintain a long term Underperform recommendation.
ALLIANCEBERNSTN (AB): Free Stock Analysis Report
AFFIL MANAGERS (AMG): Free Stock Analysis Report
INVESCO LTD (IVZ): Free Stock Analysis Report
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The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. | Despite a decent first quarter 2012 results, the outlook remains unchanged as the agency is concerned about the impact of volatile equity markets on the company's financials. Rationale for Stable Outlook Invesco reported a moderate quarterly performance along with continuous growth in assets under management as well as enhanced debt and leverage ratios. On the other hand, sudden unfavorable changes in equity markets and unexpected losses from its business activities will significantly affect Fitch's outlook on the company. | Conclusion Though the outlook and ratings remain unchanged, we remain cautious about Invesco's rising expenses that have the potential to dent its profitability in the upcoming quarters. ALLIANCEBERNSTN (AB): Free Stock Analysis Report AFFIL MANAGERS (AMG): Free Stock Analysis Report INVESCO LTD (IVZ): Free Stock Analysis Report To read this article on Zacks.com click here. Fitch ratings have maintained its outlook on Invesco Ltd. ( IVZ ) at 'Stable' as a part of its review of four rated investment managers. | Fitch ratings have maintained its outlook on Invesco Ltd. ( IVZ ) at 'Stable' as a part of its review of four rated investment managers. ALLIANCEBERNSTN (AB): Free Stock Analysis Report AFFIL MANAGERS (AMG): Free Stock Analysis Report INVESCO LTD (IVZ): Free Stock Analysis Report To read this article on Zacks.com click here. Despite a decent first quarter 2012 results, the outlook remains unchanged as the agency is concerned about the impact of volatile equity markets on the company's financials. | Fitch ratings have maintained its outlook on Invesco Ltd. ( IVZ ) at 'Stable' as a part of its review of four rated investment managers. Conclusion Though the outlook and ratings remain unchanged, we remain cautious about Invesco's rising expenses that have the potential to dent its profitability in the upcoming quarters. Despite a decent first quarter 2012 results, the outlook remains unchanged as the agency is concerned about the impact of volatile equity markets on the company's financials. |
21942.0 | 2012-05-30 00:00:00 UTC | The Complete College Savings Solution | AB | https://www.nasdaq.com/articles/complete-college-savings-solution-2012-05-30 | nan | nan | With student loan debt gradually becoming what some believe will be the next major financial crisis, saving for college has never been more important. Yet, as if figuring out the best investments for a regular portfolio weren't hard enough, parents saving for college have to navigate an even more complex array of different accounts, each of which has pros and cons. Added to the difficulties involved in finding extra cash to set aside in the first place, it's no wonder that so many parents simply punt and hope their child gets a dream scholarship.
But the right solution for college savings doesn't involve finding one perfect solution. Instead, by cobbling together an overall strategy using all the tools at your disposal , you'll likely end up in far better shape than you would if you simply chose a single option and hoped for the best.
Yesterday was officially "529 Day," a celebration that various college-savings advocacy groups latched onto on May 29 to raise awareness of one of the more popular methods for saving for college: the 529 plan. Named after the section of the Internal Revenue Code that authorizes them, 529 plans promised to do for college saving what 401(k) plans did for retirement saving: provide a simple way to set aside money for college using a variety of easy-to-understand investment options. A dozen and a half 529 plans offered special incentives, including small scholarships and account application fee waivers.
529 plans give savers a lot of perks . Tax-deferred growth that becomes tax-free when money is used for college expenses can be worth a lot when investments are actually going up in value. But too many account holders have seen their savings go more or less nowhere over the past several years as the market meltdown took away much of their hard-earned savings, leaving them to claw back to break-even over the past three years. That's one reason why Fifth Third Bank (Nasdaq: FITB) , Zions Bancorp (Nasdaq: ZION) , and other banking peers have started offering insured CDs and savings accounts within 529 plans.
Even in good markets, 529 plans aren't perfect . Some plans have fairly expensive investment options, as money managers AllianceBernstein ( AB ) , Franklin Resources ( BEN ) , and Hartford Financial ( HIG ) include actively managed options that charge much more than index-fund choices that other plans offer. Sometimes, those active funds earn enough extra yield to pay for their higher fees, but often, they fall short.
The better approach to college savings combines several different tools at your disposal. If 529 plans are the collegiate equivalent of 401(k) plans for retirement, Coverdell Education Savings Accounts act more like Roth IRAs. Unlike 529 plans, Coverdell ESAs let you invest in just about anything you want. But with annual contribution limits of just $2,000 -- and the potential for those limits to drop to just $500 in the future -- they won't get the job done by themselves.
Custodial accounts don't carry the obvious tax breaks that 529 plans and Coverdell ESAs offer. But assuming your child is in a lower tax bracket than you, you can effectively cut your tax bill by putting assets in your child's name and including their income on your child's return. The challenge with custodial accounts is that when your child reaches the age of majority in your state -- typically 18 -- you're required to turn over assets to the child. Many parents feel uncomfortable giving their children that amount of freedom.
Finally, simply keeping assets in a parent or grandparent's name retains maximum flexibility to invest and spend for expenses that might not otherwise qualify for favorable treatment in tax-favored college savings accounts. Even better, you typically won't have to include a grandparent's assets on financial aid forms, ensuring that savings doesn't penalize your child from aid packages.
With all the different financial demands vying for your attention, saving for college is one that's easy to put on the back burner. But the sooner you start, the better the chances that you'll save enough over time to make a big difference in your child's life -- and help keep your child away from what could become crippling debt from student loans.
But once you've got your various accounts set up, the next step is figuring out exactly what to invest in. The Motley Fool's special report on long-term investing has some tips you can follow for any long-term goal, including retirement or college savings. You'll also find three time-tested stock names that could produce attractive returns over the long haul. I invite you to click here and start reading your free copy right now.
Tune in every Monday and Wednesday for Dan's columns on retirement, investing, and personal finance. You can follow him on Twitter@DanCaplinger.
Fool contributor Dan Caplinger has been saving for his 7-year-old for quite a while. He doesn't own any shares of the companies mentioned in this article. The Motley Fool owns shares of Fifth Third Bancorp. Try any of our Foolish newsletter services free for 30 days. We Fools may not all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Fool's disclosure policy gives you a good education.
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The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. | Finally, simply keeping assets in a parent or grandparent's name retains maximum flexibility to invest and spend for expenses that might not otherwise qualify for favorable treatment in tax-favored college savings accounts. Some plans have fairly expensive investment options, as money managers AllianceBernstein ( AB ) , Franklin Resources ( BEN ) , and Hartford Financial ( HIG ) include actively managed options that charge much more than index-fund choices that other plans offer. Unlike 529 plans, Coverdell ESAs let you invest in just about anything you want. | Some plans have fairly expensive investment options, as money managers AllianceBernstein ( AB ) , Franklin Resources ( BEN ) , and Hartford Financial ( HIG ) include actively managed options that charge much more than index-fund choices that other plans offer. Unlike 529 plans, Coverdell ESAs let you invest in just about anything you want. Many parents feel uncomfortable giving their children that amount of freedom. | Some plans have fairly expensive investment options, as money managers AllianceBernstein ( AB ) , Franklin Resources ( BEN ) , and Hartford Financial ( HIG ) include actively managed options that charge much more than index-fund choices that other plans offer. Unlike 529 plans, Coverdell ESAs let you invest in just about anything you want. Many parents feel uncomfortable giving their children that amount of freedom. | Some plans have fairly expensive investment options, as money managers AllianceBernstein ( AB ) , Franklin Resources ( BEN ) , and Hartford Financial ( HIG ) include actively managed options that charge much more than index-fund choices that other plans offer. Unlike 529 plans, Coverdell ESAs let you invest in just about anything you want. Many parents feel uncomfortable giving their children that amount of freedom. |
21943.0 | 2012-04-30 00:00:00 UTC | Can College Savings Be Saved? | AB | https://www.nasdaq.com/articles/can-college-savings-be-saved-2012-04-30 | nan | nan | Students are facing a crisis , as they struggle to afford the education they want and need. But while many focus on the impact of student-loan debt on young adults, few are looking at the other side of the coin -- namely, the incentives promoting college savings that in many cases aren't getting the job done.
The rising cost of college has set off a firestorm of debate. Skeptics argue that the rising tide of student-loan debt and ever-increasing tuition costs have reduced the economic benefit of going to college. And while proponents point to increased pay after earning a college or graduate degree, others -- including Fool contributor Brian Stoffel -- have questioned whether there aren't less expensive ways to get the knowledge and experience that will help young adults succeed and prosper in their careers.
But in the ideal situation, students wouldn't have boatloads of debt to deal with because their parents would have been able to set aside enough money to cover their college educations. One vehicle that was established precisely to encourage college savings, the 529 plan , has seen some trouble attracting savings from some quarters -- and even some of the industry professionals that earn handsome incomes from such plans are starting to lose interest.
With 529 plans holding billions in assets, it may seem surprising that some money managers are abandoning the market. But as TheWall Street Journal reported over the weekend, WellsFargo ( WFC ) chose not to keep managing Wisconsin's 529 plans (effective later this year), and Fidelity made a similar decision with its California plan.
Part of the problem comes from the trend toward lower-fee investments. With index-tracking exchange-traded funds charging fees that are far less than actively managed mutual funds, the higher-cost investment options that AllianceBernstein ( AB ) , Hartford Financial ( HIG ) , and other active-management firms have within some 529 plans come under greater pressure from the state board established to oversee the plans.
But one clear component of dissatisfaction with 529 plans has been the losses that investors have suffered during the market's volatile stretch since 2008. Unlike retirement savings, in which many investors have decades to recover from a loss, the time horizon for college savings is by definition shorter. A badly timed market downturn can spell disaster for college savers, and the threat of stock market losses has turned off potential investors from badly performing 529 plans.
That risk has prompted broader investment offerings from 529 plans, including bank CDs and other fixed-income options. Although Fifth Third (Nasdaq: FITB) and some other banks have benefited from increased CD volume through those offerings, low rates aren't helping college savers.
Despite attempts to broaden their investment offerings, 529 plans suffer from the same problem as employer 401(k) retirement plans: a limited menu of options. Even considering that all 50 states offer at least one 529 plan of their own, none of them gives you more than a handful of investments to choose from.
The better solution would be to expand another, more flexible tax-advantaged vehicle that already exists. The Coverdell Education Savings Account acts like an IRA, letting you invest in just about anything you want. As long as you use the money for educational expenses, the income you earn is tax-free when you take it out. Yet despite allowing people to save hundreds of thousands of dollars in 529 plans, the annual limit for Coverdell ESAs is a piddling $2,000 -- and that number is slated to go down to just $500 next year if the bigger contribution limit isn't renewed.
529 plans were a good idea for college savings. But it's increasingly clear that in the tug of war between states trying to draw revenue from administrative fees and financial companies trying to maximize their own revenue, the entire purpose of the plans -- helping people save for a college education -- has been put on the back burner. Until policymakers remember that purpose, 529 plans may well continue to suffer a decline in interest from both savers and the financial community.
Investing for the long run demands special attention. The Motley Fool can help by pointing you in the right direction. Take a look at our special report on long-term investing to help you identify smart investments that can help you with all of your financial goals, from college savings to retirement. But please, don't wait -- click here to get your free report today!
Fool contributor Dan Caplinger is hedging his bets with a variety of savings vehicles, including Ohio's 529 plan. He doesn't own shares of the companies mentioned in this article. The Motley Fool owns shares of Fifth Third Bancorp and Wells Fargo, and has created a covered strangle position in Wells Fargo. Motley Fool newsletter services have recommended buying shares of Wells Fargo. Try any of our Foolish newsletter services free for 30 days. We Fools may not all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Fool's disclosure policy won't 86 you.
Copyright © 1995 - 2012 The Motley Fool, LLC. All rights reserved. The Motley Fool has a disclosure policy .
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. | But in the ideal situation, students wouldn't have boatloads of debt to deal with because their parents would have been able to set aside enough money to cover their college educations. One vehicle that was established precisely to encourage college savings, the 529 plan , has seen some trouble attracting savings from some quarters -- and even some of the industry professionals that earn handsome incomes from such plans are starting to lose interest. With 529 plans holding billions in assets, it may seem surprising that some money managers are abandoning the market. | But in the ideal situation, students wouldn't have boatloads of debt to deal with because their parents would have been able to set aside enough money to cover their college educations. One vehicle that was established precisely to encourage college savings, the 529 plan , has seen some trouble attracting savings from some quarters -- and even some of the industry professionals that earn handsome incomes from such plans are starting to lose interest. With 529 plans holding billions in assets, it may seem surprising that some money managers are abandoning the market. | One vehicle that was established precisely to encourage college savings, the 529 plan , has seen some trouble attracting savings from some quarters -- and even some of the industry professionals that earn handsome incomes from such plans are starting to lose interest. With index-tracking exchange-traded funds charging fees that are far less than actively managed mutual funds, the higher-cost investment options that AllianceBernstein ( AB ) , Hartford Financial ( HIG ) , and other active-management firms have within some 529 plans come under greater pressure from the state board established to oversee the plans. But in the ideal situation, students wouldn't have boatloads of debt to deal with because their parents would have been able to set aside enough money to cover their college educations. | But in the ideal situation, students wouldn't have boatloads of debt to deal with because their parents would have been able to set aside enough money to cover their college educations. One vehicle that was established precisely to encourage college savings, the 529 plan , has seen some trouble attracting savings from some quarters -- and even some of the industry professionals that earn handsome incomes from such plans are starting to lose interest. With 529 plans holding billions in assets, it may seem surprising that some money managers are abandoning the market. |
21944.0 | 2012-02-21 00:00:00 UTC | XL GROUP PLC (XL) - Profit Tracks | AB | https://www.nasdaq.com/articles/xl-group-plc-xl-profit-tracks-2012-02-21 | nan | nan | Since inception in 1988, the S&P 500 has outperformed the Zacks #5 Rank List - Stocks to Sell Now by 80% annually (+2% versus +10%). While the rest of Wall Street continued to tout stocks during the market declines of the last few years, Zacks told investors which stocks to sell or avoid.
Here is a synopsis of why AB and XL have a Zacks Rank of #5 (Strong Sell) and should most likely be sold or avoided for the next one to three months. Note that a #5 Strong Sell rating is applied to 5% of all the stocks in the Zacks Rank universe:
AllianceBernstein Holding LP ( AB ) announced fourth-quarter profit of 7 cents per share on February 10 that missed analysts? expectations by 66.67%. The Zacks Consensus Estimate for the current year slid to $1.03 per share from $1.12 per share in the last 30 days as next year?s estimate dipped 8 cents per share to $1.18 per share in that time span.
XL Group plc ( XL ) posted a fourth-quarter loss of 25 cents per share on February 7, which came in 41 cents wider than the average forecast. The Zacks Consensus Estimate for the full year fell to $1.88 per share from $2.22 per share over the past month. For 2013, analysts expect a profit of $2.18 per share, compared to last month?s projection for a profit of $2.45 per share.
Here is a synopsis of why BGC and MWV have a Zacks Rank of 4 (Sell) and should also most likely be sold or avoided for the next one to three months. Note that a #4 Sell rating is applied to 15% of all the stocks ranked by Zacks;
General Cable Corporation?s ( BGC ) fourth-quarter profit of 30 cents per share, posted on February 8, lagged analysts? projections by 18.92%. Estimate for current year slid 33 cents per share to $2.70 per share over a month as next year?s estimate dipped 42 cents per share to $3.51 per share in that time span.
MeadWestvaco Corp. ( MWV ) reported a fourth-quarter profit of 26 cents per share on January 25 that fell 10.34% short of the Zacks Consensus Estimate. The full-year average forecast is currently $1.78 per share, compared with last month?s projection of $1.98 per share. Next year?s forecast dropped to $2.15 per share from $2.23 per share in the same period.
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The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. | Note that a #5 Strong Sell rating is applied to 5% of all the stocks in the Zacks Rank universe: AllianceBernstein Holding LP ( AB ) announced fourth-quarter profit of 7 cents per share on February 10 that missed analysts? Note that a #4 Sell rating is applied to 15% of all the stocks ranked by Zacks; General Cable Corporation?s ( BGC ) fourth-quarter profit of 30 cents per share, posted on February 8, lagged analysts? Here is a synopsis of why AB and XL have a Zacks Rank of #5 (Strong Sell) and should most likely be sold or avoided for the next one to three months. | Note that a #4 Sell rating is applied to 15% of all the stocks ranked by Zacks; General Cable Corporation?s ( BGC ) fourth-quarter profit of 30 cents per share, posted on February 8, lagged analysts? ALLIANCEBERNSTN ( AB ): Free Stock Analysis Report GENL CABLE CORP ( BGC ): Free Stock Analysis Report MEADWESTVACO CP ( MWV ): Free Stock Analysis Report XL GROUP PLC ( XL ): Free Stock Analysis Report To read this article on Zacks.com click here. Here is a synopsis of why AB and XL have a Zacks Rank of #5 (Strong Sell) and should most likely be sold or avoided for the next one to three months. | ALLIANCEBERNSTN ( AB ): Free Stock Analysis Report GENL CABLE CORP ( BGC ): Free Stock Analysis Report MEADWESTVACO CP ( MWV ): Free Stock Analysis Report XL GROUP PLC ( XL ): Free Stock Analysis Report To read this article on Zacks.com click here. Here is a synopsis of why AB and XL have a Zacks Rank of #5 (Strong Sell) and should most likely be sold or avoided for the next one to three months. Note that a #5 Strong Sell rating is applied to 5% of all the stocks in the Zacks Rank universe: AllianceBernstein Holding LP ( AB ) announced fourth-quarter profit of 7 cents per share on February 10 that missed analysts? | Here is a synopsis of why AB and XL have a Zacks Rank of #5 (Strong Sell) and should most likely be sold or avoided for the next one to three months. Note that a #5 Strong Sell rating is applied to 5% of all the stocks in the Zacks Rank universe: AllianceBernstein Holding LP ( AB ) announced fourth-quarter profit of 7 cents per share on February 10 that missed analysts? Note that a #4 Sell rating is applied to 15% of all the stocks ranked by Zacks; General Cable Corporation?s ( BGC ) fourth-quarter profit of 30 cents per share, posted on February 8, lagged analysts? |
21945.0 | 2012-02-21 00:00:00 UTC | Zacks Sell List Highlights: AllianceBernstein Holding LP, XL Group plc, General Cable and MeadWestvaco - Press Releases | AB | https://www.nasdaq.com/articles/zacks-sell-list-highlights%3A-alliancebernstein-holding-lp-xl-group-plc-general-cable-and | nan | nan | For Immediate Release
Chicago, IL - February 21, 2012 - Zacks.com releases details on a group of stocks that are currently members of the exclusive Zacks #5 Rank List - Stocks to Sell Now. These stocks are currently rated as a Zacks Rank #5 (Strong Sell): AllianceBernstein Holding LP ( AB ) and XL Group plc ( XL ). Further, Zacks announced #4 Rankings (Sell) on two other widely held stocks: General Cable Corporation ( BGC ) and MeadWestvaco Corp. ( MWV ).
To see the full Zacks #5 Rank List - Stocks to Sell Now visit : http://at.zacks.com/?id=92
Since inception in 1988, the S&P 500 has outperformed the Zacks #5 Rank List of Stocks to Sell Now by 80% annually (+2% vs. +10%). While the rest of Wall Street continued to tout stocks during the market declines of the last few years, Zacks told investors which stocks to sell or avoid.
Here is a synopsis of why AB and XL have a Zacks Rank of #5 (Strong Sell) and should most likely be sold or avoided for the next one to three months. Note that a #5 Strong Sell rating is applied to 5% of all the stocks in the Zacks Rank universe:
AllianceBernstein Holding LP ( AB ) announced fourth-quarter profit of 7 cents per share on February 10 that missed analysts' expectations by 66.67%. The Zacks Consensus Estimate for the current year slid to $1.03 per share from $1.12 per share in the last 30 days as next year's estimate dipped 8 cents per share to $1.18 per share in that time span.
XL Group plc ( XL ) posted a fourth-quarter loss of 25 cents per share on February 7, which came in 41 cents wider than the average forecast. The Zacks Consensus Estimate for the full year fell to $1.88 per share from $2.22 per share over the past month. For 2013, analysts expect a profit of $2.18 per share, compared to last month's projection for a profit of $2.45 per share.
Here is a synopsis of why BGC and MWV have a Zacks Rank of 4 (Sell) and should also most likely be sold or avoided for the next one to three months. Note that a #4 Sell rating is applied to 15% of all the stocks ranked by Zacks;
General Cable Corporation's ( BGC ) fourth-quarter profit of 30 cents per share, posted on February 8, lagged analysts' projections by 18.92%. Estimate for current year slid 33 cents per share to $2.70 per share over a month as next year's estimate dipped 42 cents per share to $3.51 per share in that time span.
MeadWestvaco Corp. ( MWV ) reported a fourth-quarter profit of 26 cents per share on January 25 that fell 10.34% short of the Zacks Consensus Estimate. The full-year average forecast is currently $1.78 per share, compared with last month's projection of $1.98 per share. Next year's forecast dropped to $2.15 per share from $2.23 per share in the same period.
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ALLIANCEBERNSTN ( AB ): Free Stock Analysis Report
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XL GROUP PLC ( XL ): Free Stock Analysis Report
To read this article on Zacks.com click here.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. | Note that a #5 Strong Sell rating is applied to 5% of all the stocks in the Zacks Rank universe: AllianceBernstein Holding LP ( AB ) announced fourth-quarter profit of 7 cents per share on February 10 that missed analysts' expectations by 66.67%. Note that a #4 Sell rating is applied to 15% of all the stocks ranked by Zacks; General Cable Corporation's ( BGC ) fourth-quarter profit of 30 cents per share, posted on February 8, lagged analysts' projections by 18.92%. The free special report; "Zacks Rank Guide: Harnessing the Power of Earnings Estimate Revisions" is available to provide this insightful background. | These stocks are currently rated as a Zacks Rank #5 (Strong Sell): AllianceBernstein Holding LP ( AB ) and XL Group plc ( XL ). Note that a #4 Sell rating is applied to 15% of all the stocks ranked by Zacks; General Cable Corporation's ( BGC ) fourth-quarter profit of 30 cents per share, posted on February 8, lagged analysts' projections by 18.92%. 9339 support@zacks.com http://www.zacks.com ALLIANCEBERNSTN ( AB ): Free Stock Analysis Report GENL CABLE CORP ( BGC ): Free Stock Analysis Report MEADWESTVACO CP ( MWV ): Free Stock Analysis Report XL GROUP PLC ( XL ): Free Stock Analysis Report To read this article on Zacks.com click here. | 9339 support@zacks.com http://www.zacks.com ALLIANCEBERNSTN ( AB ): Free Stock Analysis Report GENL CABLE CORP ( BGC ): Free Stock Analysis Report MEADWESTVACO CP ( MWV ): Free Stock Analysis Report XL GROUP PLC ( XL ): Free Stock Analysis Report To read this article on Zacks.com click here. These stocks are currently rated as a Zacks Rank #5 (Strong Sell): AllianceBernstein Holding LP ( AB ) and XL Group plc ( XL ). Further, Zacks announced #4 Rankings (Sell) on two other widely held stocks: General Cable Corporation ( BGC ) and MeadWestvaco Corp. ( MWV ). | Subscribe to this free newsletter today by visiting http://at.zacks.com/?id=94 About Zacks Zacks.com is a property of Zacks Investment Research, Inc., which was formed in 1978 by Len Zacks. These stocks are currently rated as a Zacks Rank #5 (Strong Sell): AllianceBernstein Holding LP ( AB ) and XL Group plc ( XL ). Further, Zacks announced #4 Rankings (Sell) on two other widely held stocks: General Cable Corporation ( BGC ) and MeadWestvaco Corp. ( MWV ). |
21946.0 | 2011-10-11 00:00:00 UTC | How You Can Pass Today's Market Test | AB | https://www.nasdaq.com/articles/how-you-can-pass-todays-market-test-2011-10-11 | nan | nan | During good times, there's nothing more satisfying than investing in stocks and watching your portfolio value move steadily upward. But when turbulence hits, many investors reflexively head for the exits. Unfortunately for those who don't have much experience with investing, many financial companies make it easier rather than harder for their customers to do exactly the wrong thing during market panics.
One place where this phenomenon runs rampant is in the world of 529 plans. These college savings vehicles have many useful benefits, but they also require you to choose from a limited selection of investment choices -- some of which won't give you the returns you need to achieve your savings goals.
How 529 plans can be a smart move
In theory, saving for college with 529 plans makes a huge amount of sense. Like a Roth IRA for retirement savings, 529 plan accounts allow you to make contributions on an after-tax basis, and you don't have to pay any tax on the earnings from the account while you're accumulating money within the 529 plan. Moreover, as long as you use the money for approved school expenses, the income becomes tax- free -- giving you a big tax break in helping to finance your children's education.
The downside, however, is that 529 plans don't give you carte blanche to invest in whatever you like. Similar to employer-sponsored 401(k) retirement accounts, 529 plans have a fixed slate of investment choices from which you must select ones that will work for you. That can open the door to big problems, especially when the investment choices you have don't match up well with your risk tolerance and your overall investing strategy.
Diversifying in the wrong direction
In fact, 529 plans often seem to give participants new investment choices at precisely the wrong moments. For instance, as SmartMoney reported last night, several states have recently made changes or added new investment choices to their 529 plans, seemingly in response to the big drop in the stock market during August and September. Here are a couple of them:
AllianceBernstein ( AB ) has added a feature that will allow it to reduce risk levels of 529 investment portfolios whenever its managers expect periods of higher volatility.
Fidelity has added multimanager investment options to its plans in Massachusetts, Arizona, Delaware, and New Hampshire.
Nebraska plans to add a choice to two of its plans that will act like a bank account rather than offering exposure to the stock market.
These moves may seem to make sense in light of the terrible performance in stocks over the past few months. But as usual, these moves come too late to do anyone any good -- and they encourage scared savers to flee stocks after the damage has already been done.
A common occurrence
It wouldn't be the first time financial companies have benefited from investors moving in the wrong direction. After the market meltdown, insurance companies Prudential ( PRU ) , MetLife ( MET ) , and Lincoln Financial ( LNC ) all experienced big gains in variable annuity sales even as they implemented cost increases or reduced guaranteed benefits. Yet after the plunge that lopped off more than half of the S&P 500's worth, the value of those guaranteed benefits was much less than it had been when the market was much higher. Low-risk savings options like bank accounts may reduce volatility, but they come at a similar price: sacrificing return.
Similarly, higher-cost investment options can sap more of your college savings return than you can afford. Fidelity's new offerings will cost significantly more than index fund choices you can set up on your own. Yet like competitors Franklin Resources ( BEN ) , Legg Mason (LM) , and Invesco (IVZ) with their 529 plan investment options, Fidelity benefits from more fee income when investors choose higher-cost investments.
Don't pay for this education
It's tempting to try to run away from the stock market when your college savings account is hitting the skids. But over the long haul, the best chance you have to afford college will come from having a balanced portfolio that includes stocks. If you bail out entirely, you could well make it impossible to save up the money you need.
Even if your 529 plan doesn't let you own individual stocks, they're still worth looking at for college savings. Get some great ideas in the Fool's free special report "5 Stocks The Motley Fool Owns -- And You Should Too." In it, we share some of our best picks -- and tell you how you can cash in on them.
Copyright © 1995 - 2011 The Motley Fool, LLC. All rights reserved. The Motley Fool has a disclosure policy .
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. | After the market meltdown, insurance companies Prudential ( PRU ) , MetLife ( MET ) , and Lincoln Financial ( LNC ) all experienced big gains in variable annuity sales even as they implemented cost increases or reduced guaranteed benefits. Here are a couple of them: AllianceBernstein ( AB ) has added a feature that will allow it to reduce risk levels of 529 investment portfolios whenever its managers expect periods of higher volatility. Moreover, as long as you use the money for approved school expenses, the income becomes tax- free -- giving you a big tax break in helping to finance your children's education. | Here are a couple of them: AllianceBernstein ( AB ) has added a feature that will allow it to reduce risk levels of 529 investment portfolios whenever its managers expect periods of higher volatility. After the market meltdown, insurance companies Prudential ( PRU ) , MetLife ( MET ) , and Lincoln Financial ( LNC ) all experienced big gains in variable annuity sales even as they implemented cost increases or reduced guaranteed benefits. A common occurrence It wouldn't be the first time financial companies have benefited from investors moving in the wrong direction. | Here are a couple of them: AllianceBernstein ( AB ) has added a feature that will allow it to reduce risk levels of 529 investment portfolios whenever its managers expect periods of higher volatility. After the market meltdown, insurance companies Prudential ( PRU ) , MetLife ( MET ) , and Lincoln Financial ( LNC ) all experienced big gains in variable annuity sales even as they implemented cost increases or reduced guaranteed benefits. These college savings vehicles have many useful benefits, but they also require you to choose from a limited selection of investment choices -- some of which won't give you the returns you need to achieve your savings goals. | Here are a couple of them: AllianceBernstein ( AB ) has added a feature that will allow it to reduce risk levels of 529 investment portfolios whenever its managers expect periods of higher volatility. After the market meltdown, insurance companies Prudential ( PRU ) , MetLife ( MET ) , and Lincoln Financial ( LNC ) all experienced big gains in variable annuity sales even as they implemented cost increases or reduced guaranteed benefits. Like a Roth IRA for retirement savings, 529 plan accounts allow you to make contributions on an after-tax basis, and you don't have to pay any tax on the earnings from the account while you're accumulating money within the 529 plan. |
21947.0 | 2010-04-26 00:00:00 UTC | Goldman Sparks Financial Stock Upgrades, Downgrades - BAC, BAM, WFC, UBS, CS, GS | AB | https://www.nasdaq.com/articles/goldman-sparks-financial-stock-upgrades-downgrades-bac-bam-wfc-ubs-cs-gs-2010-04-26-1 | nan | nan | In the wake of the Goldman Sachs ( GS ) bombshell, there have been a number of stock upgrades and stock downgrades to financial companies in the last week. GS stock was beaten down recently on news of a civil fraud investigation of Goldman by the SEC , and has sent shockwaves through the financial sector. Stock upgrades include Bank of America ( BAC ), Brookfield Asset Management ( BAM ), TD Ameritrade ( AMTD ) and New York Community Bancorp ( NYB ). Stock downgrades include Wells Fargo ( WFC ), UBS ( UBS ) and Credit Suisse ( CS ). Goldman Sachs itself also saw a stock downgrade.
Here's a complete breakdown of the biggest financial stocks and bank stocks (by market capitalization) that were upgraded or downgraded last week. All of these stock upgrades and downgrades are current as of April 26, 2010:
Financial Stock Upgrades - Bank of America, Brookfield Asset, TD Ameritrade
Financial stocks upgraded this week include Bank of America ( BAC ), Brookfield Asset Management ( BAM ), TD Ameritrade ( AMTD ), New York Community Bancorp ( NYB ), Zions Bancorp ( ZION ), and AllianceBernstein Holding ( AB ).
Bank of America ( BAC ), a diversified financial services firm and one of the largest banks in the world, was upgraded to a C grade or a "hold" in Louis Navellier's database of stocks to buy and sell. The database is updated weekly, and these new stock upgrades and stock downgrades are current as of April 26. Last week the company was rated a D overall, or "sell." BAC stock has been firming up lately and is up over 20% year to date. Directors Frank Bramble and Charles Holliday are the leading contenders to become Bank of America's new chairman when BAC stock announces its new leader, probably sometime this week.
Brookfield Asset Management ( BAM ), was also upgraded to a C grade or a "hold" in Portfolio Grader from a D grade or "sell" last week. BAM stock has also outperformed the market year-to-date, with a surge of about 18% since January 1. That's about twice the broader market. Brookfield Asset Management has been upgraded as a result. Looking forward to BAM earnings on May 6, Wall Street expects Brookfield Asset Management to report earnings of 17 cents a share on the quarter and full-year earnings of 67 cents. Last year, BAM earnings were 15 cents on sales of $2.7 billion, and last quarter Brookfield earnings were 15 cents a share, , topping estimates of 11 cents.
TD Ameritrade ( AMTD ) was also upgraded this week in Portfolio Grader to "hold" from a "sell" last week. Zions Bancorp ( ZION ) saw a similar stock upgrade from "sell" to "hold." New York Community Bancorp ( NYB ) was upgraded to a B grade or "Buy" from "Hold," and AllianceBernstein Holding ( AB ) saw the same stock upgrade.
Top 7 Bank Upgrades - ARE, AB, BAC, BAM, NYB, AMTD, ZION
Here are the complete list of financial stock upgrades this week. Remember that Portfolio Grader uses a simple letter-based system for stock upgrades and downgrades, where A is "strong buy" and F is "strong sell."
Financial Stock Downgrades - Wells Fargo, UBS, Goldman Sachs
Financial stocks downgraded this week include Credit Suisse ( CS ), Goldman Sachs ( GS ), UBS ( UBS ), and Wells Fargo ( WFC ).
Credit Suisse ( CS ) was downgraded from a C grade or "hold" to a D grade or "sell" in Louis Navellier's database of stocks to buy and sell. On April 22, Credit Suisse reported earnings that were fairly impressive, including rising profits on a wealthier banking clientele. however, revenue failed to keep pace with top U.S. rivals so the stock was downgraded in Navellier's latest report on April 26.
Goldman Sachs ( GS ) was also downgraded from a C grade or "hold" to a D grade or "sell" in Portfolio Grader. GS stock troubles have been widely publicized lately, and the stock continues to slip.
Wells Fargo ( WFC ) was also downgraded from a C grade or "hold" to a D grade or "sell" in Portfolio Grader on April 26, and UBS ( UBS ) was downgraded from a D grade or "sell" last week to the worst grade -- an F, or "strong sell."
Top 10 Bank Downgrades - AMP, CS, GS, HCBK, MTU, NTRS, TROW, UBS, WFC, WBK
Here are the complete list of financial stock downgrades this week. Remember that Portfolio Grader uses a simple letter-based system for stock upgrades and downgrades, where A is "strong buy" and F is "strong sell."
About Portfolio Grader: Every Sunday, renowned growth stock adviser Louis Navellier runs a fundamental analysis on the top 5,000 Wall Street companies. Armed with this research, Navellier offers a rating for each company reflected as a simple letter grade, with A being "strong buy" and F being "strong sell." Portfolio Grader's stock data is free and open to the public, and can be accessed online here .
More Portfolio Grader stock analysis:
4/19 small cap stock upgrades: ALTR, HCBK, GOLD, WAT, PRE, MXIM (click for complete list of stocks to buy)
4/19 large cap stock upgrades: BA, BP, CS (click for complete list of stocks to buy)
4/19 large cap stock downgrades: GOOG, LMT, SNE (click for complete list of stocks to sell)
4/12 large cap stock upgrades: COST, LLY, RDS, WMT (click for complete list of stocks to buy)
4/12 large cap stock downgrades: BAC, BA, PC, TM (click for complete list of stocks to sell)
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. | Directors Frank Bramble and Charles Holliday are the leading contenders to become Bank of America's new chairman when BAC stock announces its new leader, probably sometime this week. About Portfolio Grader: Every Sunday, renowned growth stock adviser Louis Navellier runs a fundamental analysis on the top 5,000 Wall Street companies. All of these stock upgrades and downgrades are current as of April 26, 2010: Financial Stock Upgrades - Bank of America, Brookfield Asset, TD Ameritrade Financial stocks upgraded this week include Bank of America ( BAC ), Brookfield Asset Management ( BAM ), TD Ameritrade ( AMTD ), New York Community Bancorp ( NYB ), Zions Bancorp ( ZION ), and AllianceBernstein Holding ( AB ). | All of these stock upgrades and downgrades are current as of April 26, 2010: Financial Stock Upgrades - Bank of America, Brookfield Asset, TD Ameritrade Financial stocks upgraded this week include Bank of America ( BAC ), Brookfield Asset Management ( BAM ), TD Ameritrade ( AMTD ), New York Community Bancorp ( NYB ), Zions Bancorp ( ZION ), and AllianceBernstein Holding ( AB ). Bank of America ( BAC ), a diversified financial services firm and one of the largest banks in the world, was upgraded to a C grade or a "hold" in Louis Navellier's database of stocks to buy and sell. The database is updated weekly, and these new stock upgrades and stock downgrades are current as of April 26. | All of these stock upgrades and downgrades are current as of April 26, 2010: Financial Stock Upgrades - Bank of America, Brookfield Asset, TD Ameritrade Financial stocks upgraded this week include Bank of America ( BAC ), Brookfield Asset Management ( BAM ), TD Ameritrade ( AMTD ), New York Community Bancorp ( NYB ), Zions Bancorp ( ZION ), and AllianceBernstein Holding ( AB ). Bank of America ( BAC ), a diversified financial services firm and one of the largest banks in the world, was upgraded to a C grade or a "hold" in Louis Navellier's database of stocks to buy and sell. The database is updated weekly, and these new stock upgrades and stock downgrades are current as of April 26. | Bank of America ( BAC ), a diversified financial services firm and one of the largest banks in the world, was upgraded to a C grade or a "hold" in Louis Navellier's database of stocks to buy and sell. Credit Suisse ( CS ) was downgraded from a C grade or "hold" to a D grade or "sell" in Louis Navellier's database of stocks to buy and sell. All of these stock upgrades and downgrades are current as of April 26, 2010: Financial Stock Upgrades - Bank of America, Brookfield Asset, TD Ameritrade Financial stocks upgraded this week include Bank of America ( BAC ), Brookfield Asset Management ( BAM ), TD Ameritrade ( AMTD ), New York Community Bancorp ( NYB ), Zions Bancorp ( ZION ), and AllianceBernstein Holding ( AB ). |
21948.0 | 2023-12-16 04:00:00 UTC | AbbVie lawsuit says rival Adcentrx stole anti-cancer secrets | ABBV | https://www.nasdaq.com/articles/abbvie-lawsuit-says-rival-adcentrx-stole-anti-cancer-secrets | nan | nan | By Blake Brittain
Dec 18 (Reuters) - Pharmaceutical company AbbVie ABBV.N has sued startup Adcentrx Therapeutics in California federal court, accusing it of stealing trade secrets to develop competing cancer-fighting antibodies by hiring away an AbbVie scientist.
AbbVie said in the lawsuit, filed on Friday, that the "very existence" of its antibody program was secret before Adcentrx and former AbbVie researcher Danny Lee allegedly took the company's confidential information and disclosed it in patent applications and investor materials.
Lee and representatives for AbbVie and Adcentrx did not immediately respond to requests for comment on Monday.
AbbVie's lawsuit said that the North Chicago-based company has been developing "antibody drug conjugates" since 2015 that deliver cancer-fighting "payloads" directly to cancer cells.
San Diego-based startup Adcentrx hired Lee, a key scientist on the program, in 2021, according to the complaint. AbbVie accused Lee of taking confidential information to Adcentrx that the startup allegedly used to apply for ADC-related patents.
AbbVie said that Adcentrx filed the applications four months after Lee joined and that the startup's competing antibodies are already in Phase I clinical trials, which the lawsuit called "unusually fast" developments that showed Adcentrx had misused its trade secrets.
AbbVie requested an unspecified amount of monetary damages and ownership of Adcentrx's patent applications.
AbbVie announced last month that it would acquire ADC maker ImmunoGen for more than $10 billion.
The case is AbbVie Inc v. Adcentrx Therapeutics Inc, U.S. District Court for the Southern District of California, No. 3:23-cv-02290.
For AbbVie: Andrea Jeffries and Randy Kay of Jones Day
For Adcentrx: Not yet available
(Reporting by Blake Brittain in Washington)
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. | By Blake Brittain Dec 18 (Reuters) - Pharmaceutical company AbbVie ABBV.N has sued startup Adcentrx Therapeutics in California federal court, accusing it of stealing trade secrets to develop competing cancer-fighting antibodies by hiring away an AbbVie scientist. AbbVie's lawsuit said that the North Chicago-based company has been developing "antibody drug conjugates" since 2015 that deliver cancer-fighting "payloads" directly to cancer cells. AbbVie accused Lee of taking confidential information to Adcentrx that the startup allegedly used to apply for ADC-related patents. | By Blake Brittain Dec 18 (Reuters) - Pharmaceutical company AbbVie ABBV.N has sued startup Adcentrx Therapeutics in California federal court, accusing it of stealing trade secrets to develop competing cancer-fighting antibodies by hiring away an AbbVie scientist. AbbVie said in the lawsuit, filed on Friday, that the "very existence" of its antibody program was secret before Adcentrx and former AbbVie researcher Danny Lee allegedly took the company's confidential information and disclosed it in patent applications and investor materials. AbbVie accused Lee of taking confidential information to Adcentrx that the startup allegedly used to apply for ADC-related patents. | By Blake Brittain Dec 18 (Reuters) - Pharmaceutical company AbbVie ABBV.N has sued startup Adcentrx Therapeutics in California federal court, accusing it of stealing trade secrets to develop competing cancer-fighting antibodies by hiring away an AbbVie scientist. AbbVie said in the lawsuit, filed on Friday, that the "very existence" of its antibody program was secret before Adcentrx and former AbbVie researcher Danny Lee allegedly took the company's confidential information and disclosed it in patent applications and investor materials. AbbVie said that Adcentrx filed the applications four months after Lee joined and that the startup's competing antibodies are already in Phase I clinical trials, which the lawsuit called "unusually fast" developments that showed Adcentrx had misused its trade secrets. | By Blake Brittain Dec 18 (Reuters) - Pharmaceutical company AbbVie ABBV.N has sued startup Adcentrx Therapeutics in California federal court, accusing it of stealing trade secrets to develop competing cancer-fighting antibodies by hiring away an AbbVie scientist. AbbVie said in the lawsuit, filed on Friday, that the "very existence" of its antibody program was secret before Adcentrx and former AbbVie researcher Danny Lee allegedly took the company's confidential information and disclosed it in patent applications and investor materials. AbbVie said that Adcentrx filed the applications four months after Lee joined and that the startup's competing antibodies are already in Phase I clinical trials, which the lawsuit called "unusually fast" developments that showed Adcentrx had misused its trade secrets. |
21949.0 | 2023-12-16 00:00:00 UTC | Is ProShares S&P 500 Dividend Aristocrats ETF (NOBL) a Strong ETF Right Now? | ABBV | https://www.nasdaq.com/articles/is-proshares-sp-500-dividend-aristocrats-etf-nobl-a-strong-etf-right-now-9 | nan | nan | Launched on 10/09/2013, the ProShares S&P 500 Dividend Aristocrats ETF (NOBL) is a smart beta exchange traded fund offering broad exposure to the Style Box - Large Cap Value category of the market.
What Are Smart Beta ETFs?
Market cap weighted indexes were created to reflect the market, or a specific segment of the market, and the ETF industry has traditionally been dominated by products based on this strategy.
Market cap weighted indexes work great for investors who believe in market efficiency. They provide a low-cost, convenient and transparent way of replicating market returns.
If you're the kind of investor who would rather try and beat the market through good stock selection, then smart beta funds are your best choice; this fund class is known for tracking non-cap weighted strategies.
These indexes attempt to select stocks that have better chances of risk-return performance, based on certain fundamental characteristics or a combination of such characteristics.
Methodologies like equal-weighting, one of the simplest options out there, fundamental weighting, and volatility/momentum based weighting are all choices offered to investors in this space, but not all of them can deliver superior returns.
Fund Sponsor & Index
The fund is managed by Proshares. NOBL has been able to amass assets over $11.73 billion, making it one of the larger ETFs in the Style Box - Large Cap Value. This particular fund, before fees and expenses, seeks to match the performance of the S&P 500 DividendAristocrats Index.
The S&P 500 Dividend Aristocrats Index targets companies that are currently members of the S&P 500, have increased dividend payments each year for at least 25 years & meet certain market capitalization & liquidity requirements.
Cost & Other Expenses
Since cheaper funds tend to produce better results than more expensive funds, assuming all other factors remain equal, it is important for investors to pay attention to an ETF's expense ratio.
Operating expenses on an annual basis are 0.35% for this ETF, which makes it on par with most peer products in the space.
It's 12-month trailing dividend yield comes in at 2.05%.
Performance and Risk
The ETF has added about 6.47% and is up roughly 5.53% so far this year and in the past one year (as of 12/18/2023), respectively. NOBL has traded between $84.12 and $97.15 during this last 52-week period.
NOBL has a beta of 0.90 and standard deviation of 15.30% for the trailing three-year period, which makes the fund a medium risk choice in the space. With about 68 holdings, it effectively diversifies company-specific risk.
Alternatives
ProShares S&P 500 Dividend Aristocrats ETF is an excellent option for investors seeking to outperform the Style Box - Large Cap Value segment of the market. There are other ETFs in the space which investors could consider as well.
IShares Core Dividend Growth ETF (DGRO) tracks Morningstar US Dividend Growth Index and the Vanguard Dividend Appreciation ETF (VIG) tracks NASDAQ US Dividend Achievers Select Index. IShares Core Dividend Growth ETF has $25 billion in assets, Vanguard Dividend Appreciation ETF has $73.35 billion. DGRO has an expense ratio of 0.08% and VIG charges 0.06%.
Investors looking for cheaper and lower-risk options should consider traditional market cap weighted ETFs that aim to match the returns of the Style Box - Large Cap Value.
Bottom Line
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ProShares S&P 500 Dividend Aristocrats ETF (NOBL): ETF Research Reports
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Zacks Investment Research
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. | Click to get this free report ProShares S&P 500 Dividend Aristocrats ETF (NOBL): ETF Research Reports Abbott Laboratories (ABT) : Free Stock Analysis Report Aflac Incorporated (AFL) : Free Stock Analysis Report AbbVie Inc. (ABBV) : Free Stock Analysis Report Vanguard Dividend Appreciation ETF (VIG): ETF Research Reports iShares Core Dividend Growth ETF (DGRO): ETF Research Reports To read this article on Zacks.com click here. Launched on 10/09/2013, the ProShares S&P 500 Dividend Aristocrats ETF (NOBL) is a smart beta exchange traded fund offering broad exposure to the Style Box - Large Cap Value category of the market. NOBL has a beta of 0.90 and standard deviation of 15.30% for the trailing three-year period, which makes the fund a medium risk choice in the space. | Click to get this free report ProShares S&P 500 Dividend Aristocrats ETF (NOBL): ETF Research Reports Abbott Laboratories (ABT) : Free Stock Analysis Report Aflac Incorporated (AFL) : Free Stock Analysis Report AbbVie Inc. (ABBV) : Free Stock Analysis Report Vanguard Dividend Appreciation ETF (VIG): ETF Research Reports iShares Core Dividend Growth ETF (DGRO): ETF Research Reports To read this article on Zacks.com click here. IShares Core Dividend Growth ETF (DGRO) tracks Morningstar US Dividend Growth Index and the Vanguard Dividend Appreciation ETF (VIG) tracks NASDAQ US Dividend Achievers Select Index. IShares Core Dividend Growth ETF has $25 billion in assets, Vanguard Dividend Appreciation ETF has $73.35 billion. | Click to get this free report ProShares S&P 500 Dividend Aristocrats ETF (NOBL): ETF Research Reports Abbott Laboratories (ABT) : Free Stock Analysis Report Aflac Incorporated (AFL) : Free Stock Analysis Report AbbVie Inc. (ABBV) : Free Stock Analysis Report Vanguard Dividend Appreciation ETF (VIG): ETF Research Reports iShares Core Dividend Growth ETF (DGRO): ETF Research Reports To read this article on Zacks.com click here. Launched on 10/09/2013, the ProShares S&P 500 Dividend Aristocrats ETF (NOBL) is a smart beta exchange traded fund offering broad exposure to the Style Box - Large Cap Value category of the market. IShares Core Dividend Growth ETF (DGRO) tracks Morningstar US Dividend Growth Index and the Vanguard Dividend Appreciation ETF (VIG) tracks NASDAQ US Dividend Achievers Select Index. | Click to get this free report ProShares S&P 500 Dividend Aristocrats ETF (NOBL): ETF Research Reports Abbott Laboratories (ABT) : Free Stock Analysis Report Aflac Incorporated (AFL) : Free Stock Analysis Report AbbVie Inc. (ABBV) : Free Stock Analysis Report Vanguard Dividend Appreciation ETF (VIG): ETF Research Reports iShares Core Dividend Growth ETF (DGRO): ETF Research Reports To read this article on Zacks.com click here. Methodologies like equal-weighting, one of the simplest options out there, fundamental weighting, and volatility/momentum based weighting are all choices offered to investors in this space, but not all of them can deliver superior returns. NOBL has a beta of 0.90 and standard deviation of 15.30% for the trailing three-year period, which makes the fund a medium risk choice in the space. |
21950.0 | 2023-12-16 00:00:00 UTC | Validea Detailed Fundamental Analysis - ABBV | ABBV | https://www.nasdaq.com/articles/validea-detailed-fundamental-analysis-abbv-31 | nan | nan | Below is Validea's guru fundamental report for ABBVIE INC (ABBV). Of the 22 guru strategies we follow, ABBV rates highest using our P/B Growth Investor model based on the published strategy of Partha Mohanram. This growth model looks for low book-to-market stocks that exhibit characteristics associated with sustained future growth.
ABBVIE INC (ABBV) is a large-cap growth stock in the Biotechnology & Drugs industry. The rating using this strategy is 77% based on the firm’s underlying fundamentals and the stock’s valuation. A score of 80% or above typically indicates that the strategy has some interest in the stock and a score above 90% typically indicates strong interest.
The following table summarizes whether the stock meets each of this strategy's tests. Not all criteria in the below table receive equal weighting or are independent, but the table provides a brief overview of the strong and weak points of the security in the context of the strategy's criteria.
BOOK/MARKET RATIO: PASS
RETURN ON ASSETS: PASS
CASH FLOW FROM OPERATIONS TO ASSETS: PASS
CASH FLOW FROM OPERATIONS TO ASSETS VS. RETURN ON ASSETS: PASS
RETURN ON ASSETS VARIANCE: PASS
SALES VARIANCE: PASS
ADVERTISING TO ASSETS: PASS
CAPITAL EXPENDITURES TO ASSETS: FAIL
RESEARCH AND DEVELOPMENT TO ASSETS: FAIL
Detailed Analysis of ABBVIE INC
ABBV Guru Analysis
ABBV Fundamental Analysis
More Information on Partha Mohanram
Partha Mohanram Portfolio
About Partha Mohanram: Sometimes the best investing strategies don't come from the world of investing. Sometimes research that changes the investing world can come from the halls of academia. Partha Mohanram is a great example of this. While academic research has shown that value investing works over time, it has found the opposite for growth investing. Mohanram turned that research on its head by developing a growth model that produced significant market outperformance. His research paper "Separating Winners from Losers among Low Book-to-Market Stocks using Financial Statement Analysis" looked at the criteria that can be used to separate growth stocks that continue their upward trajectory from those that don't. Mohanram is currently the John H. Watson Chair in Value Investing at the University of Toronto and was previously an Associate Professor at the Columbia Business School.
Additional Research Links
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About Validea: Validea is aninvestment researchservice that follows the published strategies of investment legends. Validea offers both stock analysis and model portfolios based on gurus who have outperformed the market over the long-term, including Warren Buffett, Benjamin Graham, Peter Lynch and Martin Zweig. For more information about Validea, click here
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. | Below is Validea's guru fundamental report for ABBVIE INC (ABBV). Of the 22 guru strategies we follow, ABBV rates highest using our P/B Growth Investor model based on the published strategy of Partha Mohanram. ABBVIE INC (ABBV) is a large-cap growth stock in the Biotechnology & Drugs industry. | Of the 22 guru strategies we follow, ABBV rates highest using our P/B Growth Investor model based on the published strategy of Partha Mohanram. Detailed Analysis of ABBVIE INC ABBV Guru Analysis ABBV Fundamental Analysis More Information on Partha Mohanram Partha Mohanram Portfolio About Partha Mohanram: Sometimes the best investing strategies don't come from the world of investing. Below is Validea's guru fundamental report for ABBVIE INC (ABBV). | Of the 22 guru strategies we follow, ABBV rates highest using our P/B Growth Investor model based on the published strategy of Partha Mohanram. Detailed Analysis of ABBVIE INC ABBV Guru Analysis ABBV Fundamental Analysis More Information on Partha Mohanram Partha Mohanram Portfolio About Partha Mohanram: Sometimes the best investing strategies don't come from the world of investing. Below is Validea's guru fundamental report for ABBVIE INC (ABBV). | Below is Validea's guru fundamental report for ABBVIE INC (ABBV). Of the 22 guru strategies we follow, ABBV rates highest using our P/B Growth Investor model based on the published strategy of Partha Mohanram. Detailed Analysis of ABBVIE INC ABBV Guru Analysis ABBV Fundamental Analysis More Information on Partha Mohanram Partha Mohanram Portfolio About Partha Mohanram: Sometimes the best investing strategies don't come from the world of investing. |
21951.0 | 2023-12-16 00:00:00 UTC | Better Income Stock: AT&T or AbbVie? | ABBV | https://www.nasdaq.com/articles/better-income-stock%3A-att-or-abbvie | nan | nan | Dividend stocks can offer a valuable source of income for investors who want to diversify their portfolios. However, investors should also be aware that most of these stocks will gradually decline in value over time unless the dividend is reinvested.
This may seem surprising, but ample evidence supports this claim. Only a few dividend stocks have been able to provide cash payments to shareholders consistently while also increasing their share prices over time.
Two of the most popular dividend stocks in the market today are AT&T (NYSE: T) and AbbVie (NYSE: ABBV), but they have different appeals. AT&T is attractive for its high yield, currently 6.72%. AbbVie also has a decent yield of 4.02% and has established itself as a leading dividend growth stock and reliable passive income source for shareholders. To illustrate these points, the company has increased its dividend by 287.5% since it spun off from Abbott Laboratories in 2013, and it is a Dividend King due to its heritage.
Image source: Getty Images.
Which of these top dividend stocks is the better income play? Let's dig deeper to find out.
The case for AT&T
Over the next few years, AT&T is expected to steadily reduce its debt thanks to its improved free cash flows and lower costs. The company should also face less competitive pressure from its rivals because the U.S. wireless market has become more stable after T-Mobile's merger with Sprint and the completion of the 5G network rollout.
Lastly, AT&T's stock screens as markedly undervalued, with its shares trading at less than 7 times expected earnings. In fact, the telecom giant's stock is currently trading near a historical low on this classic valuation metric.
The case for AbbVie
AbbVie is a biopharmaceutical company that rewards its shareholders with a generous and growing dividend. The company has a proven track record of delivering strong revenue growth and expanding its market share in autoimmune diseases, where its best-selling drug, Humira, is a market share leader in multiple indications. AbbVie has also diversified its portfolio into other lucrative areas, such as oncology, with breakthrough drugs like Imbruvica for various blood cancers.
The company has a solid pipeline of innovative drugs, and its recent acquisitions could add more value to its business. AbbVie's dividend yield is slightly higher than the average for its industry, and its stock is trading at a low valuation compared to its peers at less than 14 times forward earnings. However, Humira's sales are declining due to biosimilar competition, and novel branded competitors could further challenge its dominance in immunology over the next five to 10 years.
Verdict
AbbVie scans as the better buy in this comparison. The drugmaker is facing some important challenges, but it also operates in a fast-growing and dynamic healthcare sector that benefits from favorable demographic trends, scientific breakthroughs, and robust global demand.
AT&T, on the other hand, is struggling to grow its sales in a mature and highly competitive U.S. telecom market. So, even though it offers a higher dividend yield, AT&T stock may not be as appealing as AbbVie's at the moment.
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The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. | AbbVie's dividend yield is slightly higher than the average for its industry, and its stock is trading at a low valuation compared to its peers at less than 14 times forward earnings. Two of the most popular dividend stocks in the market today are AT&T (NYSE: T) and AbbVie (NYSE: ABBV), but they have different appeals. AbbVie also has a decent yield of 4.02% and has established itself as a leading dividend growth stock and reliable passive income source for shareholders. | Two of the most popular dividend stocks in the market today are AT&T (NYSE: T) and AbbVie (NYSE: ABBV), but they have different appeals. AbbVie also has a decent yield of 4.02% and has established itself as a leading dividend growth stock and reliable passive income source for shareholders. The case for AbbVie AbbVie is a biopharmaceutical company that rewards its shareholders with a generous and growing dividend. | AbbVie also has a decent yield of 4.02% and has established itself as a leading dividend growth stock and reliable passive income source for shareholders. AbbVie's dividend yield is slightly higher than the average for its industry, and its stock is trading at a low valuation compared to its peers at less than 14 times forward earnings. Two of the most popular dividend stocks in the market today are AT&T (NYSE: T) and AbbVie (NYSE: ABBV), but they have different appeals. | AbbVie also has a decent yield of 4.02% and has established itself as a leading dividend growth stock and reliable passive income source for shareholders. Two of the most popular dividend stocks in the market today are AT&T (NYSE: T) and AbbVie (NYSE: ABBV), but they have different appeals. The case for AbbVie AbbVie is a biopharmaceutical company that rewards its shareholders with a generous and growing dividend. |
21952.0 | 2023-12-16 00:00:00 UTC | 3 Biotech Stocks Most Wall Street Analysts Are Bullish About | ABBV | https://www.nasdaq.com/articles/3-biotech-stocks-most-wall-street-analysts-are-bullish-about | nan | nan | The scenario for the biotech industry in 2024 looks upbeat after a challenging ride in 2023. New drug approvals, pipeline development, and an increase in mergers & acquisitions (M&A) activity boosted investor sentiment in the last couple of months, even though an uncertain macroeconomic environment was a headwind.
Pharma and biotech bigwigs are now looking to bolster their product portfolios and pipelines through collaborations and buyouts. Hence, M&A is back in the spotlight. Pharma giant AbbVie ABBV recently announced two back-to-back acquisitions — Cerevel Therapeutics for $8.7 billion and ImmunoGen for $10.1 billion. Bristol Myers is set to acquire oncology-focused company Mirati Therapeutics for a total equity value of $5.8 billion. Earlier, Novartis acquired Chinook Therapeutics. Biogen acquired Reata Pharmaceuticals, Inc.
The recent spate of acquisitions has put the spotlight on biotech companies with a focus on oncology and rare diseases as acquisition targets. Companies having obesity drugs in their portfolio/pipeline and gene-editing companies hold great potential, particularly with the FDA approval of two recent gene therapies, making them lucrative investment areas.
Given the continuous need for innovative medical treatments, irrespective of the state of the economy, the biotech industry can be a haven despite the inherent volatility and uncertain macroeconomic environment.
Here, we discuss three biotech stocks that put up a robust show in 2023 and are likely to maintain the same in 2024 on the back of a solid portfolio and a promising pipeline. These are CRISPR Therapeutics AG CRSP, Intra-Cellular Therapies, Inc. ITCI and Dynavax DVAX.
CRISPR Therapeutics AG
It is a leading gene editing company focused on developing CRISPR/Cas9-based therapeutics, which promise huge potential. The company received a significant boost with the FDA approval of exagamglogene autotemcel, a CRISPR/Cas9 genome-edited cell therapy, for the treatment of sickle cell disease in patients 12 years and older with recurrent vaso-occlusive crises. Exagamglogene autotemcel was approved under the brand name Casgevy, making it the first FDA-approved treatment to utilize a type of novel genome editing technology. The company has partnered with Vertex Pharmaceuticals for the development and commercialization of Casgevy. Hence, Vertex will make a $200 million milestone payment to CRISPR following the FDA’s approval of Casgevy.
The company is now solely focused on developing CRISPR/Cas9 gene-edited allogeneic CAR T cell product candidates — CTX112 and CTX131. As part of this decision, it will transition patients treated with first-generation candidates (CTX110 and CTX130) to long-term follow-up programs when needed.
CRISPR Therapeutics also recently announced its plans to expand the next-generation candidates beyond immuno-oncology indications. The company intends to expand CTX112 into autoimmune indications. In this regard, management intends to start a clinical study evaluating CTX112 in systemic lupus erythematosus indication by first-half 2024.
The approval of Casgevy and a strong pipeline has boosted investor sentiment. CRSP has put up a stellar performance in 2023, with shares surging 52.7% year to date against the industry’s decline of 17.7%. Loss estimates for 2023 and 2024 have narrowed by $1.83 and 92 cents, respectively, in the past 60 days. The current average target price of $86.5 for CRSP represents an upside of 39.34%. The stock currently carries a Zacks Rank #2 (Buy). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
Image Source: Zacks Investment Research
Intra-Cellular Therapies
This biotech company experienced steady growth in 2023. Its prospects for 2024 look bright despite an extremely challenging space. The company is focused on the development and commercialization of drugs for neuropsychiatric and neurological disorders. The FDA approval for Caplyta (lumateperone) in December 2019 for the treatment of schizophrenia in adults (42mg/day) was a significant boost to the company. The drug’s label was expanded by the FDA in December 2021 for the treatment of bipolar depression in adults (42mg/day). The uptake of the drug has been good in the bipolar depression space despite the inherent challenges in the market.
Intra-Cellular’s efforts to further expand lumateperone’s label should also reap reward. The candidate is in late-stage development as a novel treatment for major depressive disorders. The company expects to file a supplemental new drug application with the FDA for the approval of lumateperone as an adjunctive therapy to antidepressants for the treatment of MDD in the second half of 2024. A potential approval of the drug for additional indications will boost the growth prospects.
Importantly, Intra-Cellular also owns a promising pipeline — lenrispodun (ITI-214) for Parkinson’s disease, ITI-1020 as cancer immunotherapy and ITI-333 for opioid use disorder and pain.
Intra-Cellular Therapies’ current average target price of $77.36 represents an upside of 18.43%. The stock currently carries a Zacks Rank #2. Loss estimates for 2023 and 2024 have narrowed by 42 cents and 15 cents, respectively, in the past 60 days. Shares of the company have gained 23.7% so far in 2023.
Dynavax
This commercial-stage biopharmaceutical company is developing and commercializing innovative vaccines against infectious diseases. It has two commercial products, HEPLISAV-B vaccine (Hepatitis B Vaccine [Recombinant], Adjuvanted), which is approved in the United States and the European Union for the prevention of infection caused by all known subtypes of hepatitis B virus in adults 18 years of age and older, and CpG 1018 adjuvant, currently used in multiple adjuvanted COVID-19 vaccines.
HEPLISAV-B revenues are being driven by continued market share growth and overall expansion of the adult hepatitis B market. HEPLISAV-B's total market share in the United States increased to approximately 41% at the end of the third quarter, compared with approximately 32% at the end of the third quarter of 2022. The company is also working to expand its label, which should boost the top line.
Dynavax is also advancing CpG 1018 adjuvant as a premier vaccine adjuvant with adjuvanted vaccine clinical programs for shingles and Tdap. The company has also formed global research collaborations and partnerships focused on adjuvanted vaccines for COVID-19, seasonal influenza, universal influenza and plague.
The consistent increase in the share price has generated steady returns for the company and the momentum is expected to continue in 2024. Shares of DVAX have gained 28.4% year to date. Loss estimates for 2023 have narrowed to 12 cents from 23 cents in the past 60 days, while the earnings estimate for 2024 currently stands at 18 cents per share.
The company currently has a Zacks Rank #2. Dynavax’s current average target price of $26.67 represents an upside of 95.24%.
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Dynavax Technologies Corporation (DVAX) : Free Stock Analysis Report
AbbVie Inc. (ABBV) : Free Stock Analysis Report
Intra-Cellular Therapies Inc. (ITCI) : Free Stock Analysis Report
CRISPR Therapeutics AG (CRSP) : Free Stock Analysis Report
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The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. | Pharma giant AbbVie ABBV recently announced two back-to-back acquisitions — Cerevel Therapeutics for $8.7 billion and ImmunoGen for $10.1 billion. Click to get this free report Dynavax Technologies Corporation (DVAX) : Free Stock Analysis Report AbbVie Inc. (ABBV) : Free Stock Analysis Report Intra-Cellular Therapies Inc. (ITCI) : Free Stock Analysis Report CRISPR Therapeutics AG (CRSP) : Free Stock Analysis Report To read this article on Zacks.com click here. New drug approvals, pipeline development, and an increase in mergers & acquisitions (M&A) activity boosted investor sentiment in the last couple of months, even though an uncertain macroeconomic environment was a headwind. | Click to get this free report Dynavax Technologies Corporation (DVAX) : Free Stock Analysis Report AbbVie Inc. (ABBV) : Free Stock Analysis Report Intra-Cellular Therapies Inc. (ITCI) : Free Stock Analysis Report CRISPR Therapeutics AG (CRSP) : Free Stock Analysis Report To read this article on Zacks.com click here. Pharma giant AbbVie ABBV recently announced two back-to-back acquisitions — Cerevel Therapeutics for $8.7 billion and ImmunoGen for $10.1 billion. These are CRISPR Therapeutics AG CRSP, Intra-Cellular Therapies, Inc. ITCI and Dynavax DVAX. | Click to get this free report Dynavax Technologies Corporation (DVAX) : Free Stock Analysis Report AbbVie Inc. (ABBV) : Free Stock Analysis Report Intra-Cellular Therapies Inc. (ITCI) : Free Stock Analysis Report CRISPR Therapeutics AG (CRSP) : Free Stock Analysis Report To read this article on Zacks.com click here. Pharma giant AbbVie ABBV recently announced two back-to-back acquisitions — Cerevel Therapeutics for $8.7 billion and ImmunoGen for $10.1 billion. Companies having obesity drugs in their portfolio/pipeline and gene-editing companies hold great potential, particularly with the FDA approval of two recent gene therapies, making them lucrative investment areas. | Pharma giant AbbVie ABBV recently announced two back-to-back acquisitions — Cerevel Therapeutics for $8.7 billion and ImmunoGen for $10.1 billion. Click to get this free report Dynavax Technologies Corporation (DVAX) : Free Stock Analysis Report AbbVie Inc. (ABBV) : Free Stock Analysis Report Intra-Cellular Therapies Inc. (ITCI) : Free Stock Analysis Report CRISPR Therapeutics AG (CRSP) : Free Stock Analysis Report To read this article on Zacks.com click here. Here, we discuss three biotech stocks that put up a robust show in 2023 and are likely to maintain the same in 2024 on the back of a solid portfolio and a promising pipeline. |
21953.0 | 2023-12-16 00:00:00 UTC | 3 of the Most Attractive Dividend Stocks in the Pharma Space | ABBV | https://www.nasdaq.com/articles/3-of-the-most-attractive-dividend-stocks-in-the-pharma-space | nan | nan | InvestorPlace - Stock Market News, Stock Advice & Trading Tips
In the realm of investment, pharma dividend stocks are a beacon for both stability and growth. This sector not only enhances the quality of life on a global scale but also presents lucrative opportunities for long-term investors.
Moreover, given the evergreen nature of healthcare demand which remains sturdy across economic cycles, pharma businesses exhibit remarkable resilience. They channel substantial investments into research and development. And, they effectively pave the way for innovative treatments and potential blockbuster drugs. Often, such advancements lead to substantial revenue boosts, reflecting positively on stock market performance.
Moreover, for investors, pharma stocks that pay dividends are incredibly enticing. They offer the dual advantages of potential capital appreciation and the allure of consistent dividend income.
AbbVie (ABBV)
Source: Valeriya Zankovych / Shutterstock.com
In the dynamic realm of pharmaceuticals, AbbVie (NYSE:ABBV) stands out with its strategic pivot away from Humira dependency. Its stellar growth platform, with stars such as Skyrizi, Rinvoq, Vraylar, and Botox, proves to be a game changer. Particularly, Skyrizi and Rinvoq have delivered over 50% operational growth in its most recent quarter. This underscores the firm’s adept move into diverse therapeutic realms.
Moreover, AbbVie’s expansion into sectors like immunology, neuroscience, oncology, and aesthetics is paying off immensely. For instance, neuroscience and oncology have demonstrated impressive operational sales growth north of 20%.
Additionally, the company has a stronghold in specific market segments, like Skyrizi’s dominance in the psoriasis market. This highlights its ability to not only compete but also lead in highly competitive spaces. Therefore, AbbVie’s journey from reliance on a single blockbuster to becoming a diversified powerhouse is a blueprint for success in the ever-evolving pharma landscape. It yields an attractive 4.1%, growing its dividend payout for over a decade.
Johnson & Johnson (JNJ)
Source: Alexander Tolstykh / Shutterstock.com
Johnson & Johnson (NYSE:JNJ) is a true behemoth in the pharma and medical devices industry, which continues to be a bedrock for investors.
Its dogged consistency is exemplified by the recent dividend hike this April. This marks an extraordinary 61 years of consecutive dividend increases. This feat is a testament to J&J’s commitment to delivering value to its shareholders.
The secret to J&J’s enduring success lies in its strategic internal diversification. With an array of pharmaceutical and medical device products in its portfolio, J&J has consistently navigated market fluctuations. The recent spin-off of its consumer wellness business, Kenvue signals a strategic shift, streamlining the firm’s focus on high-growth areas.
Financially, J&J’s performance is nothing short of amazing. A year-over-year (YOY) top-line growth rate of 16.3% puts it well above the sector median. This demonstrates the company’s exceptional market positioning. Its A-graded profitability profile, boasting impressive metrics like a 35% net income margin, 19% return on common equity, and 21% levered FCF margin, speaks volumes about its financial health. Additionally, it boasts a dividend yield of 3.08% and a 6% growth in dividends, surpassing both the sector median and its five-year historical average. Truly, J&J continues to be a model of financial stability and shareholder value.
Pfizer (PFE)
Source: Manuel Esteban / Shutterstock.com
In the ever-evolving bio-pharmaceutical industry, Pfizer (NYSE:PFE) emerges as a compelling long-term investment, especially for dividend-focused portfolios. Amidst a shifting market landscape post-Covid, Pfizer’s stock trades at a significant bargain. And this presents a unique opportunity for investors.
A key attraction for Pfizer is its powerful pipeline of new products in its portfolio. With plans to launch up to 18 new products through the first half of 2024 alone, it has an expected $20 billion in incremental sales from new molecular entities by 2030. Pfizer is not just staying relevant – it’s aggressively forging a path toward long-term growth. The company’s strategic moves include the acquisition of cancer drug maker Seagen for a whopping $43 billion. PFE is poised to further bolster its sales by an additional $25 billion by 2030.
For dividend investors, Pfizer’s figures are particularly attractive. Its forward dividend yield stands at a healthy 5.70%, with a five-year dividend growth rate of 4.95%. It owns a history of 13 years of dividend growth. Furthermore, as the sector regains the market’s attention, Pfizer, currently at oversold levels, is likely to experience a significant uptick in value. Hence, it stands as an attractive proposition for both growth and income investors.
On the date of publication, Muslim Farooque did not have (either directly or indirectly) any positions in the securities mentioned in this article. The opinions expressed in this article are those of the writer, subject to the InvestorPlace.com Publishing Guidelines
Muslim Farooque is a keen investor and an optimist at heart. A life-long gamer and tech enthusiast, he has a particular affinity for analyzing technology stocks. Muslim holds a bachelor’s of science degree in applied accounting from Oxford Brookes University.
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The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. | AbbVie (ABBV) Source: Valeriya Zankovych / Shutterstock.com In the dynamic realm of pharmaceuticals, AbbVie (NYSE:ABBV) stands out with its strategic pivot away from Humira dependency. Moreover, AbbVie’s expansion into sectors like immunology, neuroscience, oncology, and aesthetics is paying off immensely. Therefore, AbbVie’s journey from reliance on a single blockbuster to becoming a diversified powerhouse is a blueprint for success in the ever-evolving pharma landscape. | AbbVie (ABBV) Source: Valeriya Zankovych / Shutterstock.com In the dynamic realm of pharmaceuticals, AbbVie (NYSE:ABBV) stands out with its strategic pivot away from Humira dependency. Moreover, AbbVie’s expansion into sectors like immunology, neuroscience, oncology, and aesthetics is paying off immensely. Therefore, AbbVie’s journey from reliance on a single blockbuster to becoming a diversified powerhouse is a blueprint for success in the ever-evolving pharma landscape. | AbbVie (ABBV) Source: Valeriya Zankovych / Shutterstock.com In the dynamic realm of pharmaceuticals, AbbVie (NYSE:ABBV) stands out with its strategic pivot away from Humira dependency. Moreover, AbbVie’s expansion into sectors like immunology, neuroscience, oncology, and aesthetics is paying off immensely. Therefore, AbbVie’s journey from reliance on a single blockbuster to becoming a diversified powerhouse is a blueprint for success in the ever-evolving pharma landscape. | AbbVie (ABBV) Source: Valeriya Zankovych / Shutterstock.com In the dynamic realm of pharmaceuticals, AbbVie (NYSE:ABBV) stands out with its strategic pivot away from Humira dependency. Moreover, AbbVie’s expansion into sectors like immunology, neuroscience, oncology, and aesthetics is paying off immensely. Therefore, AbbVie’s journey from reliance on a single blockbuster to becoming a diversified powerhouse is a blueprint for success in the ever-evolving pharma landscape. |
21954.0 | 2023-12-14 00:00:00 UTC | 3 Fantastic Stocks That Could Enjoy a Santa Claus Rally | ABBV | https://www.nasdaq.com/articles/3-fantastic-stocks-that-could-enjoy-a-santa-claus-rally | nan | nan | You might think that the stock market would be really quiet during the holidays. After all, many investors are on vacation and take a break from buying and selling stocks. Interestingly, though, the S&P 500 often rises noticeably in the final five trading days of December and the first two days in January.
Three Motley Fool contributors think they've identified fantastic stocks that are especially likely to enjoy this kind of "Santa Claus rally." Here's why they picked AbbVie (NYSE: ABBV), CRISPR Therapeutics (NASDAQ: CRSP), and Pfizer (NYSE: PFE).
A rally has already begun for this stock
Keith Speights (AbbVie): We won't have to wait until after Christmas for one beaten-down stock to rally. The rally has already begun for AbbVie: Shares of the big drugmaker have jumped more than 10% since Thanksgiving. I think this momentum could continue into the new year.
Two big business-development deals appear to have renewed investors' interest in AbbVie. On Nov. 30, the company announced plans to buy ImmunoGen for $10.1 billion. A week later, AbbVie revealed that it intends to acquire Cerevel Therapeutics for $8.7 billion. Both transactions appear to be smart moves that will bolster AbbVie's pipeline and, in the case of ImmunoGen, add an approved cancer therapy with fast-growing sales to its lineup.
Speaking of cancer therapies, investors also have a reason to be optimistic about AbbVie's epcoritamab. The drugmaker recently announced positive results for the experimental bispecific antibody in a phase 1/2 study for treating relapsed/refractory follicular lymphoma. The therapy has already been approved in both the United States and the European Union in treating certain types of large B-cell lymphoma. Analysts project that epcoritamab could generate peak annual sales of close to $3 billion.
I also think that the increasing prospects of interest-rate cuts next year could entice some income investors to shift money into AbbVie stock. Lower rates will cause bond yields to fall, but could provide a catalyst for stocks. AbbVie's current dividend yield of 4% and its status as a Dividend King could be a winning combination for income investors seeking better alternatives to bonds.
This biotech already got a holiday gift
Prosper Junior Bakiny (CRISPR Therapeutics): The past few weeks have been eventful for CRISPR Therapeutics. The most crucial development for the company is that it finally earned approval for gene-editing therapy Casgevy as a treatment for sickle cell disease in the U.S. and the U.K., and for transfusion-dependent beta-thalassemia (TDT) in the U.K. A U.S. approval decision on the TDT indication is expected by March 30, 2024.
However, CRISPR Therapeutics' shares have been falling, probably partly because some investors decided to take their profits now that the biotech has achieved this important milestone. So why think CRISPR Therapeutics could profit from a Santa Claus rally?
These things are always hard to predict, but the feat the company just accomplished is nothing to sneeze at. It earned the world's first approval for a CRISPR-based gene-editing treatment -- a technique that recently won its creators a Nobel prize.
Furthermore, with a price tag of $2.2 million in the U.S., Casgevy's total addressable market is massive. Even with just the 32,000 patients it plans to target together with its partner, Vertex Pharmaceuticals (NASDAQ: VRTX), it comes out to a total of a little over $70 billion. That's before we consider that CRISPR Therapeutics and Vertex could target far more patients if given label expansions. Casgevy's peak sales probably won't come anywhere close to matching its full market opportunity, but they don't have to for CRISPR Therapeutics to be a big winner.
While it isn't surprising to see some investors jump on the opportunity to take some profits, others might soon decide to initiate positions given how promising CRISPR Therapeutics' prospects just became. This could be just the first of many approvals for breakthrough gene-editing therapies for the biotech.
That's why a Santa Claus rally could be in the cards for CRISPR Therapeutics. More importantly, long-term investors should stick with the stock regardless of what transpires in the next two weeks.
With a beaten-down valuation, this pharma could be due for a rally
David Jagielski (Pfizer): One underrated stock that investors have been dumping this year is Pfizer. The healthcare giant is on track to generate up to $61 billion in revenue this year -- more than it brought in before the pandemic. It's been busy loading up on acquisitions to bolster its growth prospects, but investors can't get past looming patent cliffs and the steep declines in COVID-related revenue this year.
While those are valid concerns, the stock should be trading at higher levels than it is now. If you ignore the brief market crash of 2020 when investors went into a panic about the coronavirus, then Pfizer's stock would be trading at near-seven-year lows right now.
But Pfizer's business isn't in peril the way it would have to be to justify the massive sell-off the stock has seen this year. Down 44%, it's trading at just 9 times forward earnings while the S&P 500 averages a multiple of 20.
The company has multiple growth catalysts it can tap into. CEO Albert Bourla has a plan to add $25 billion to the company's top line by 2030, through acquisitions and in-house drug development, to offset declines from patent cliffs and diminishing demand for COVID-related products.
Pfizer is coming off a tough quarter in which it reported a net loss of $2.4 billion for the period ending Oct. 1. But the big drugmaker is trimming costs and plans to shave $3.5 billion in annual expenses as it scales down its COVID operations.
Overall, I think this is still a top stock to own. Its valuation is attractive, and the dividend yield currently stands at 5.7%. Pfizer just might be ripe for the picking in a Santa Claus rally, as value investors recognize the great bargain offered by the stock.
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David Jagielski has no position in any of the stocks mentioned. Keith Speights has positions in AbbVie, Pfizer, and Vertex Pharmaceuticals. Prosper Junior Bakiny has positions in Vertex Pharmaceuticals. The Motley Fool has positions in and recommends CRISPR Therapeutics, Cerevel Therapeutics, Pfizer, and Vertex Pharmaceuticals. The Motley Fool has a disclosure policy.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. | Both transactions appear to be smart moves that will bolster AbbVie's pipeline and, in the case of ImmunoGen, add an approved cancer therapy with fast-growing sales to its lineup. Here's why they picked AbbVie (NYSE: ABBV), CRISPR Therapeutics (NASDAQ: CRSP), and Pfizer (NYSE: PFE). A rally has already begun for this stock Keith Speights (AbbVie): We won't have to wait until after Christmas for one beaten-down stock to rally. | Here's why they picked AbbVie (NYSE: ABBV), CRISPR Therapeutics (NASDAQ: CRSP), and Pfizer (NYSE: PFE). A rally has already begun for this stock Keith Speights (AbbVie): We won't have to wait until after Christmas for one beaten-down stock to rally. The rally has already begun for AbbVie: Shares of the big drugmaker have jumped more than 10% since Thanksgiving. | A rally has already begun for this stock Keith Speights (AbbVie): We won't have to wait until after Christmas for one beaten-down stock to rally. Here's why they picked AbbVie (NYSE: ABBV), CRISPR Therapeutics (NASDAQ: CRSP), and Pfizer (NYSE: PFE). The rally has already begun for AbbVie: Shares of the big drugmaker have jumped more than 10% since Thanksgiving. | Here's why they picked AbbVie (NYSE: ABBV), CRISPR Therapeutics (NASDAQ: CRSP), and Pfizer (NYSE: PFE). A rally has already begun for this stock Keith Speights (AbbVie): We won't have to wait until after Christmas for one beaten-down stock to rally. The rally has already begun for AbbVie: Shares of the big drugmaker have jumped more than 10% since Thanksgiving. |
21955.0 | 2023-12-13 00:00:00 UTC | Validea Detailed Fundamental Analysis - ABBV | ABBV | https://www.nasdaq.com/articles/validea-detailed-fundamental-analysis-abbv-30 | nan | nan | Below is Validea's guru fundamental report for ABBVIE INC (ABBV). Of the 22 guru strategies we follow, ABBV rates highest using our P/B Growth Investor model based on the published strategy of Partha Mohanram. This growth model looks for low book-to-market stocks that exhibit characteristics associated with sustained future growth.
ABBVIE INC (ABBV) is a large-cap growth stock in the Biotechnology & Drugs industry. The rating using this strategy is 77% based on the firm’s underlying fundamentals and the stock’s valuation. A score of 80% or above typically indicates that the strategy has some interest in the stock and a score above 90% typically indicates strong interest.
The following table summarizes whether the stock meets each of this strategy's tests. Not all criteria in the below table receive equal weighting or are independent, but the table provides a brief overview of the strong and weak points of the security in the context of the strategy's criteria.
BOOK/MARKET RATIO: PASS
RETURN ON ASSETS: PASS
CASH FLOW FROM OPERATIONS TO ASSETS: PASS
CASH FLOW FROM OPERATIONS TO ASSETS VS. RETURN ON ASSETS: PASS
RETURN ON ASSETS VARIANCE: PASS
SALES VARIANCE: PASS
ADVERTISING TO ASSETS: PASS
CAPITAL EXPENDITURES TO ASSETS: FAIL
RESEARCH AND DEVELOPMENT TO ASSETS: FAIL
Detailed Analysis of ABBVIE INC
ABBV Guru Analysis
ABBV Fundamental Analysis
More Information on Partha Mohanram
Partha Mohanram Portfolio
About Partha Mohanram: Sometimes the best investing strategies don't come from the world of investing. Sometimes research that changes the investing world can come from the halls of academia. Partha Mohanram is a great example of this. While academic research has shown that value investing works over time, it has found the opposite for growth investing. Mohanram turned that research on its head by developing a growth model that produced significant market outperformance. His research paper "Separating Winners from Losers among Low Book-to-Market Stocks using Financial Statement Analysis" looked at the criteria that can be used to separate growth stocks that continue their upward trajectory from those that don't. Mohanram is currently the John H. Watson Chair in Value Investing at the University of Toronto and was previously an Associate Professor at the Columbia Business School.
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About Validea: Validea is aninvestment researchservice that follows the published strategies of investment legends. Validea offers both stock analysis and model portfolios based on gurus who have outperformed the market over the long-term, including Warren Buffett, Benjamin Graham, Peter Lynch and Martin Zweig. For more information about Validea, click here
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. | Below is Validea's guru fundamental report for ABBVIE INC (ABBV). Of the 22 guru strategies we follow, ABBV rates highest using our P/B Growth Investor model based on the published strategy of Partha Mohanram. ABBVIE INC (ABBV) is a large-cap growth stock in the Biotechnology & Drugs industry. | Of the 22 guru strategies we follow, ABBV rates highest using our P/B Growth Investor model based on the published strategy of Partha Mohanram. Detailed Analysis of ABBVIE INC ABBV Guru Analysis ABBV Fundamental Analysis More Information on Partha Mohanram Partha Mohanram Portfolio About Partha Mohanram: Sometimes the best investing strategies don't come from the world of investing. Below is Validea's guru fundamental report for ABBVIE INC (ABBV). | Of the 22 guru strategies we follow, ABBV rates highest using our P/B Growth Investor model based on the published strategy of Partha Mohanram. Detailed Analysis of ABBVIE INC ABBV Guru Analysis ABBV Fundamental Analysis More Information on Partha Mohanram Partha Mohanram Portfolio About Partha Mohanram: Sometimes the best investing strategies don't come from the world of investing. Below is Validea's guru fundamental report for ABBVIE INC (ABBV). | Below is Validea's guru fundamental report for ABBVIE INC (ABBV). Of the 22 guru strategies we follow, ABBV rates highest using our P/B Growth Investor model based on the published strategy of Partha Mohanram. Detailed Analysis of ABBVIE INC ABBV Guru Analysis ABBV Fundamental Analysis More Information on Partha Mohanram Partha Mohanram Portfolio About Partha Mohanram: Sometimes the best investing strategies don't come from the world of investing. |
21956.0 | 2023-12-12 00:00:00 UTC | Here's How Much You'd Have If You Invested $1000 in AbbVie a Decade Ago | ABBV | https://www.nasdaq.com/articles/heres-how-much-youd-have-if-you-invested-%241000-in-abbvie-a-decade-ago | nan | nan | How much a stock's price changes over time is important for most investors, since price performance can both impact your investment portfolio and help you compare investment results across sectors and industries.
The fear of missing out, or FOMO, also plays a factor in investing, especially with particular tech giants, as well as popular consumer-facing stocks.
What if you'd invested in AbbVie (ABBV) ten years ago? It may not have been easy to hold on to ABBV for all that time, but if you did, how much would your investment be worth today?
AbbVie's Business In-Depth
With that in mind, let's take a look at AbbVie's main business drivers.
North Chicago, IL-based AbbVie has become one of the top-most pharma companies after it acquired Botox maker Allergan in a cash-and-stock deal for $63 billion in May 2020. The deal has transformed AbbVie’s portfolio by lowering its dependence on Humira, its flagship product, which has lost patent protection in Europe as well as the United States. AbbVie has one of the most popular cancer drugs in its portfolio, Imbruvica. Its newest immunology drugs Skyrizi (risankizumab) and Rinvoq (upadacitinib) position it well for long-term growth.
AbbVie came into existence on Jan 1, 2013, after Abbott Laboratories divested its pharmaceutical division. In May 2020, AbbVie acquired Allergan for about $20 billion. In June 2016, AbbVie acquired cancer drugmaker, Stemcentrx in a cash-and-stock deal worth $5.8 billion.
AbbVie enjoys leadership positions in key therapeutic areas including immunology, hematologic oncology, neuroscience, aesthetics and eye care.
Humira is approved for several autoimmune diseases like rheumatoid arthritis (RA), active psoriatic arthritis, active ankylosing spondylitis, Crohn’s disease and others. Imbruvica (hematological cancers) became part of the company’s portfolio following the Pharmacyclics acquisition.
Other key drugs include Venclexta (venetoclax) (hematological malignancies), Botox Cosmetic (aesthetic use), Botox Therapeutics (neuroscience indications), Vraylar (schizophrenia and bipolar I disorder), Skyrizi (plaque psoriasis, psoriatic arthritis and Crohn’s disease) and Rinvoq (RA, psoriatic arthritis, ankylosing spondylitis, atopic dermatitis, axial spondyloarthropathy, Crohn’s disease and ulcerative colitis). The company also has partnerships with companies like Roche and J&J.
AbbVie reported total sales of $58.1 billion for 2022, up 3.3% on a reported basis and 5.1% on an operational basis. Humira and Skyrizi accounted for 36.6% and 8.9%, respectively, of AbbVie’s total revenues in 2022. Imbruvica accounted for 7.9% while Botox (cosmetic and therapeutic) accounted for 9.2% of AbbVie’s total revenues in 2022.
Bottom Line
Anyone can invest, but building a successful investment portfolio takes a combination of a few things: research, patience, and a little bit of risk. So, if you had invested in AbbVie a decade ago, you're probably feeling pretty good about your investment today.
According to our calculations, a $1000 investment made in December 2013 would be worth $2,946.34, or a gain of 194.63%, as of December 14, 2023, and this return excludes dividends but includes price increases.
Compare this to the S&P 500's rally of 165.14% and gold's return of 57.17% over the same time frame.
Analysts are forecasting more upside for ABBV too.
AbbVie has several new drugs in its portfolio with the potential to drive the top line and make up for lost Humira revenues. Newer products, Skyrizi and Rinvoq, are performing extremely well, bolstered by approval in new indications, which should support top-line growth in the next few years. The company has several early/mid-stage candidates that have the potential to drive long-term growth. Though revenues are expected to decline in 2023, AbbVie expects to return to robust sales growth in 2025. However, the company faces several near-term headwinds like Humira loss of exclusivity, increasing competitive pressure on Imbruvica and economic pressure on Juvederm sales. AbbVie’s shares have underperformed the industry so far this year.
Over the past four weeks, shares have rallied 12.14%, and there have been 10 higher earnings estimate revisions in the past two months for fiscal 2023 compared to none lower. The consensus estimate has moved up as well.
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AbbVie Inc. (ABBV) : Free Stock Analysis Report
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The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. | AbbVie enjoys leadership positions in key therapeutic areas including immunology, hematologic oncology, neuroscience, aesthetics and eye care. What if you'd invested in AbbVie (ABBV) ten years ago? It may not have been easy to hold on to ABBV for all that time, but if you did, how much would your investment be worth today? | AbbVie enjoys leadership positions in key therapeutic areas including immunology, hematologic oncology, neuroscience, aesthetics and eye care. What if you'd invested in AbbVie (ABBV) ten years ago? It may not have been easy to hold on to ABBV for all that time, but if you did, how much would your investment be worth today? | So, if you had invested in AbbVie a decade ago, you're probably feeling pretty good about your investment today. What if you'd invested in AbbVie (ABBV) ten years ago? It may not have been easy to hold on to ABBV for all that time, but if you did, how much would your investment be worth today? | It may not have been easy to hold on to ABBV for all that time, but if you did, how much would your investment be worth today? AbbVie has one of the most popular cancer drugs in its portfolio, Imbruvica. What if you'd invested in AbbVie (ABBV) ten years ago? |
21957.0 | 2023-12-12 00:00:00 UTC | US Consumer group seeks stronger warnings on Botox, similar treatments | ABBV | https://www.nasdaq.com/articles/us-consumer-group-seeks-stronger-warnings-on-botox-similar-treatments | nan | nan | By Leroy Leo
Dec 12 (Reuters) - Consumer advocacy group Public Citizen on Tuesday filed a petition with the U.S. Food and Drug Administration seeking to require makers of Botox and several similar injections to include stronger warnings about the risk of a potentially fatal muscle-paralyzing disease.
These injections, which use various versions of botulinum toxins to contract specific muscles by blocking certain nerve signals to erase wrinkles, already have a 'black box' warning in their labels about the risks of the intended effect spreading to other areas. The consumer group asked the FDA to make it clear that these adverse effects could happen even at recommended dosages.
The new petition seeks a stronger warning on the label of six toxin-based injections including market leader Botox from AbbVie ABBV.V, Revance Therapeutics' RVNC.O Daxxify, Evolus' EOLS.O Jeuveau, Supernus Pharmaceuticals' SUPN.O Myobloc, Galderma's Dysport and Xeomin from Merz Therapeutics.
Public Citizen also asked the FDA to remove promotional statements that claim there are no definitive serious side-effects of distant spread of toxin effect associated with the toxins.
The request comes after the advocacy group analyzed over 5,400 reports of deaths, life-threatening events and other serious side effect related to Botox and rival toxin-based wrinkle treatments between January 1989 and March 2021 that were recorded in FDA's adverse events database.
The FDA maintains the database to help it identify unusual or emerging side effect trends that may require further investigation or actions, such as adding warnings to a product.
The group is asking the FDA to add clear warnings about systemic iatrogenic botulism, a condition that can cause progressive muscle paralysis if the toxin used in these products spreads beyond the intended treatment site.
The FDA said it will review the petition and respond directly to Public Citizen. Merz said it closely tracks the FDA adverse event database, and submits safety reports to the agency on a regular basis, while Revance and Evolus declined to comment. The other companies did not respond to requests for comment.
An earlier petition by Public Citizen in 2008 based on an analysis of 180 reports led to the FDA adding the current black box warning about the risk of Botox's effect spreading to other areas of the body.
The group is now asking the FDA to add a clearer warning about the risk of botulism from Botox and other treatments. The term "botulism" is only mentioned in the labeling of Botox and related drugs once, toward the end of the prescribing information, it said.
The 5,400 reported adverse events may be an understatement, the advocacy group's health services researcher Azza AbuDagga said, citing a study that found less than a tenth of adverse events related to drugs are reported.
The group is also asking the FDA to make it clear in labels that botulism cases associated with recommended doses of the products need prompt administration of botulinum antitoxins to avoid disease progression.
(Reporting by Leroy Leo in Bengaluru; Editing by Bill Berkrot)
((Leroy.Dsouza@thomsonreuters.com ; https://twitter.com/LeroyLeo7;))
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. | The new petition seeks a stronger warning on the label of six toxin-based injections including market leader Botox from AbbVie ABBV.V, Revance Therapeutics' RVNC.O Daxxify, Evolus' EOLS.O Jeuveau, Supernus Pharmaceuticals' SUPN.O Myobloc, Galderma's Dysport and Xeomin from Merz Therapeutics. By Leroy Leo Dec 12 (Reuters) - Consumer advocacy group Public Citizen on Tuesday filed a petition with the U.S. Food and Drug Administration seeking to require makers of Botox and several similar injections to include stronger warnings about the risk of a potentially fatal muscle-paralyzing disease. These injections, which use various versions of botulinum toxins to contract specific muscles by blocking certain nerve signals to erase wrinkles, already have a 'black box' warning in their labels about the risks of the intended effect spreading to other areas. | The new petition seeks a stronger warning on the label of six toxin-based injections including market leader Botox from AbbVie ABBV.V, Revance Therapeutics' RVNC.O Daxxify, Evolus' EOLS.O Jeuveau, Supernus Pharmaceuticals' SUPN.O Myobloc, Galderma's Dysport and Xeomin from Merz Therapeutics. By Leroy Leo Dec 12 (Reuters) - Consumer advocacy group Public Citizen on Tuesday filed a petition with the U.S. Food and Drug Administration seeking to require makers of Botox and several similar injections to include stronger warnings about the risk of a potentially fatal muscle-paralyzing disease. The request comes after the advocacy group analyzed over 5,400 reports of deaths, life-threatening events and other serious side effect related to Botox and rival toxin-based wrinkle treatments between January 1989 and March 2021 that were recorded in FDA's adverse events database. | The new petition seeks a stronger warning on the label of six toxin-based injections including market leader Botox from AbbVie ABBV.V, Revance Therapeutics' RVNC.O Daxxify, Evolus' EOLS.O Jeuveau, Supernus Pharmaceuticals' SUPN.O Myobloc, Galderma's Dysport and Xeomin from Merz Therapeutics. By Leroy Leo Dec 12 (Reuters) - Consumer advocacy group Public Citizen on Tuesday filed a petition with the U.S. Food and Drug Administration seeking to require makers of Botox and several similar injections to include stronger warnings about the risk of a potentially fatal muscle-paralyzing disease. The request comes after the advocacy group analyzed over 5,400 reports of deaths, life-threatening events and other serious side effect related to Botox and rival toxin-based wrinkle treatments between January 1989 and March 2021 that were recorded in FDA's adverse events database. | The new petition seeks a stronger warning on the label of six toxin-based injections including market leader Botox from AbbVie ABBV.V, Revance Therapeutics' RVNC.O Daxxify, Evolus' EOLS.O Jeuveau, Supernus Pharmaceuticals' SUPN.O Myobloc, Galderma's Dysport and Xeomin from Merz Therapeutics. Public Citizen also asked the FDA to remove promotional statements that claim there are no definitive serious side-effects of distant spread of toxin effect associated with the toxins. The request comes after the advocacy group analyzed over 5,400 reports of deaths, life-threatening events and other serious side effect related to Botox and rival toxin-based wrinkle treatments between January 1989 and March 2021 that were recorded in FDA's adverse events database. |
21958.0 | 2023-12-12 00:00:00 UTC | AbbVie Just Followed Pfizer's Big Move. Here's What It Means For Investors | ABBV | https://www.nasdaq.com/articles/abbvie-just-followed-pfizers-big-move.-heres-what-it-means-for-investors | nan | nan | With AbbVie (NYSE: ABBV) reporting on Nov. 30 that it plans to acquire ImmunoGen, (NASDAQ: IMGN) a biotech developing antibody-drug conjugate (ADC) therapies for various cancers, it's clear that the pharma is intent on avoiding being left behind by the competition. Specifically, it's following in the footsteps of companies like Pfizer, which in March acquired the ADC-focused biotech Seagen for $43 billion in cash.
Now, with the conditions in the ADC market set to heat up over the coming years, investors are faced with a quandary. Which drug developers are serious about winning the segment, and which are simply trying to reduce the chances of missing out on potential revenue amid the approaching gold rush?
Is this a play driven by FOMO, or sound strategy?
In terms of its financial outlay, AbbVie is buying ImmunoGen for just over $10 billion in cash, so right off the bat it's clear that the scale of its commitment isn't as large as Pfizer's. The biotech has one ADC on the market, called Elahere, and it's indicated for chemotherapy-resistant ovarian cancer. As Elahere was only approved by the U.S. Food and Drug Administration (FDA) in November 2022, there isn't a baseline for how much revenue it'll bring in annually. Nonetheless, given that Vertex Pharmaceuticals sought to license its ADC technology for up to $337 million in milestone payments, there isn't any doubt that there's a lot of interest in what the company can do.
Its pipeline contains four mid- to late-stage programs dedicated to expanding Elahere's approved indications, and two mid-stage programs for other cancers, all of which are ADCs. So it's obvious that AbbVie's goal with the purchase is to bolster its own oncology pipeline, which had eight ADC programs as of its last major pipeline update in February. But what's so special about ADCs that major biopharmas are eager to buy them up?
The point of using an ADC for treating cancer instead of a traditional approach like systemically administered chemotherapy is twofold. First, the antibody portion of the molecule ensures that its payload, typically a potent chemotherapeutic molecule, is delivered directly to tumor cells. That spares healthy cells from experiencing many of the noxious effects associated with chemotherapy.
Second, because the healthy cells won't be as affected by the therapy, drugmakers have some leeway to use more powerful -- and more toxic -- chemotherapeutic molecules than they'd ever be able to safely use with a traditional regimen. And while ADCs aren't exactly new, with at least 11 on the market already, they're a very popular platform for drug development right now because of how versatile and effective they can be.
In other words, ADCs are here to stay, and AbbVie's ongoing scale-up of its ADC pipeline is unlikely to stop with the ImmunoGen purchase.
This is a long-term play, and it may not work out
The acquisition is expected to close in mid-2024, and management thinks that the purchase will start to boost the company's earnings per share (EPS) sometime in 2027. If all goes according to plan, between the sales of Elahere, the expansion of its approved indications to include additional cancers, and the development of Immunogen's pipeline programs, AbbVie figures that its revenue could see boosted growth through roughly 2035. That makes the deal quite the long-term investment by the standards of the biopharma industry, which typically only publicizes strategic plans for seven or eight years out.
Right now, AbbVie has about $13 billion in cash, equivalents, and short-term investments. After paying up for ImmunoGen, it won't be under any financial pressure, as its trailing 12-month free cash flow (FCF) is approaching $25 billion. It could even make another similarly sized acquisition, if it finds a suitable target. Therefore the near-term risk to shareholders stemming from the deal is quite low, and the additional growth it could spur is a decidedly bullish factor for those willing to hold their shares for the long haul.
But investors should take note that Elahere's future growth is not guaranteed. It might not get the approvals to commercialize any of its expanded indications until 2030. Most oncology programs, even sophisticated ones, fail before they are commercialized. And management is clear that Elahere will need considerable additional work in clinical trials before its revenue-driving potential will be as advertised today.
Furthermore, AbbVie still won't be a leader in the ADC space after the purchase, though that might not matter to investors as long as it can build on its earnings and sales consistently.
Still, between the potential upsides and the limited opportunity costs of the acquisition, this issue will likely eventually break in favor of AbbVie and its shareholders. If you're thinking of adding to your position, you have plenty of time to do so, and it's likely a good idea.
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The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. | With AbbVie (NYSE: ABBV) reporting on Nov. 30 that it plans to acquire ImmunoGen, (NASDAQ: IMGN) a biotech developing antibody-drug conjugate (ADC) therapies for various cancers, it's clear that the pharma is intent on avoiding being left behind by the competition. If all goes according to plan, between the sales of Elahere, the expansion of its approved indications to include additional cancers, and the development of Immunogen's pipeline programs, AbbVie figures that its revenue could see boosted growth through roughly 2035. In terms of its financial outlay, AbbVie is buying ImmunoGen for just over $10 billion in cash, so right off the bat it's clear that the scale of its commitment isn't as large as Pfizer's. | With AbbVie (NYSE: ABBV) reporting on Nov. 30 that it plans to acquire ImmunoGen, (NASDAQ: IMGN) a biotech developing antibody-drug conjugate (ADC) therapies for various cancers, it's clear that the pharma is intent on avoiding being left behind by the competition. If all goes according to plan, between the sales of Elahere, the expansion of its approved indications to include additional cancers, and the development of Immunogen's pipeline programs, AbbVie figures that its revenue could see boosted growth through roughly 2035. In terms of its financial outlay, AbbVie is buying ImmunoGen for just over $10 billion in cash, so right off the bat it's clear that the scale of its commitment isn't as large as Pfizer's. | With AbbVie (NYSE: ABBV) reporting on Nov. 30 that it plans to acquire ImmunoGen, (NASDAQ: IMGN) a biotech developing antibody-drug conjugate (ADC) therapies for various cancers, it's clear that the pharma is intent on avoiding being left behind by the competition. In other words, ADCs are here to stay, and AbbVie's ongoing scale-up of its ADC pipeline is unlikely to stop with the ImmunoGen purchase. If all goes according to plan, between the sales of Elahere, the expansion of its approved indications to include additional cancers, and the development of Immunogen's pipeline programs, AbbVie figures that its revenue could see boosted growth through roughly 2035. | If all goes according to plan, between the sales of Elahere, the expansion of its approved indications to include additional cancers, and the development of Immunogen's pipeline programs, AbbVie figures that its revenue could see boosted growth through roughly 2035. * They just revealed what they believe are the ten best stocks for investors to buy right now... and AbbVie wasn't one of them! With AbbVie (NYSE: ABBV) reporting on Nov. 30 that it plans to acquire ImmunoGen, (NASDAQ: IMGN) a biotech developing antibody-drug conjugate (ADC) therapies for various cancers, it's clear that the pharma is intent on avoiding being left behind by the competition. |
21959.0 | 2023-12-11 00:00:00 UTC | Economic Safety Nets: 7 Defensive Stocks Providing Portfolio Stability | ABBV | https://www.nasdaq.com/articles/economic-safety-nets%3A-7-defensive-stocks-providing-portfolio-stability | nan | nan | InvestorPlace - Stock Market News, Stock Advice & Trading Tips
Although investors have some evidence of a possible economic recovery, they should still consider defensive stock picks. We just don’t know what will happen next. Moreover, certain data points contradict the optimistic narrative, thus warranting a reexamination of stable investment choices.
To be sure, the latest jobs report offers much encouragement for everyday households. With the U.S. economy adding 199,000 new opportunities – an unexpected rise – circumstances should theoretically bode well for both consumers and investors. So, why the urgent focus on so-called economic safety stocks?
For one thing, InvestorPlace wouldn’t be running a layoffs tracker if the economy hummed brightly for all sectors. Second, subtle details – such as declining sales of Swiss luxury watches – imply that even the more affluent are feeling the heat. At the very least, they’re recognizing the signs of what might lie ahead.
For that, it’s important to not abandon a cautious approach by targeting defensive stock picks.
Duke Energy (DUK)
Source: Jonathan Weiss / Shutterstock.com
What it is: One of the biggest utilities in the nation, Duke Energy (NYSE:DUK) focuses on electric power and natural gas. Headquartered in Charlotte, North Carolina, the company serves more than 8 million customers across six states. Per its website, the enterprise collectively owns 50,000 megawatts (MW) of energy capacity.
Relevance: When it comes to defensive stock picks to mitigate uncertainties ahead, you really can’t acquire a more relevant idea. Fundamentally, Duke benefits from a natural monopoly; essentially, stiff regulations and other barriers to entry allow the company to be entrenched. Also, no matter what, people need to pay their bills. That’s a huge advantage in terms of stable investment choices.
Pros: Primarily, the main attraction for DUK under the theme of risk mitigation centers on its forward dividend yield of 4.34%. Yes, the payout ratio is a bit high at nearly 69%. However, DUK enjoys 19 years of consecutive dividend increases.
Cons: DUK is about risk mitigation rather than growth potential. While it carries a moderate buy view, the average price target comes in at only $96.73.
Lowe’s (LOW)
Source: Helen89 / Shutterstock.com
What it is: A top-tier enterprise in the home improvement sector, Lowe’s (NYSE:LOW) makes a natural case for economic safety stocks. No, it’s not particularly exciting. However, the company offers relevant products and services. After all, the economy doesn’t care if your sink starts to leak.
Relevance: Again, the relevance of LOW as one of the defensive stock picks speaks for itself. Because the home-improvement retailer provides necessities, the business benefits from a captive audience. Further, Lowe’s unsurprisingly enjoys strong, predictable long-term revenue growth along with consistent profitability.
Pros: As with the other defensive stock picks, Lowe’s provides passive income, in this case a forward yield of 2.12%. That’s low (no pun intended) but so is the payout ratio of 33.95%, meaning yield sustainability should be no problem. Also, analysts peg shares as a moderate buy.
Cons: Because the business is so predictable, the projected upside is limited. Analysts only see shares rising to $224.76 over the next 12 months.
Microsoft (MSFT)
Source: The Art of Pics / Shutterstock.com
What it is: As one of the top technology enterprises, Microsoft (NASDAQ:MSFT) might not immediately come to mind as one of the defensive stock picks to consider given the volatility of the space. However, the company’s products have become ingrained in everyday personal and business use.
Relevance: Because millions of people every day depend on Microsoft’s various software programs, it enjoys compelling (if not permanent) relevance. For example, in the realm of desktop operating systems, Microsoft carries a dominant market share of 68.87%. That’s even with intense competition from Apple (NASDAQ:AAPL), making MSFT a top idea among stable investment choices.
Pros: Fundamentally, investors can depend on the company’s solid and predictable three-year revenue growth rate of 15.1%. Also, it consistently prints positive figures on the bottom line, enabling the firm to provide modest passive income.
Cons: Although MSFT carries a consensus strong buy view, the core consumer tech field attracts heated competition. Therefore, the reward potential implied with the analyst price target of $415.75 carries some risk.
Procter & Gamble (PG)
Source: rblfmr/ShutterStock.com
What it is: A multinational consumer goods company, Procter & Gamble (NYSE:PG) ranks among the economic safety stocks thanks to providing everyday essentials. Under the company’s massive umbrella, you’ll find popular brands such as Pampers, Bounce, Charmin and Gillette. Since there will likely never be a time when consumer won’t need personal care and cleaning products, P&G benefits from predictability.
Relevance: Fundamentally, P&G leverages brand awareness and loyalty. With millions of people having grown up with these name-brand products, a natural gravitation exists. Further, the company enjoys business predictability. Its three-year revenue growth rate of 6.9%, while not earthshattering, represents a slightly better-than-average top-line expansion compared to the rest of the industry.
Pros: P&G is one of the top defensive stock picks because it leverages a captive-audience advantage. People need consumer goods and P&G carries name recognition. It also offers a forward yield of 2.59%.
Cons: If the economy continues to worsen, the aforementioned consumer loyalty may come under threat. That means consumers may just buy based purely on price, which could negatively impact PG stock.
AbbVie (ABBV)
Source: Valeriya Zankovych / Shutterstock.com
What it is: A biopharmaceutical company, AbbVie (NYSE:ABBV) develops and markets innovative medicines across various therapeutic areas. These include immunology, oncology and neuroscience. The company gained considerable awareness thanks to its buyout of Allergan, which gives AbbVie control of Botox. ABBV has been off to a rough start although it appears momentum is finally pick up late in 2023.
Relevance: Due to its biopharma business, AbbVie may enjoy some insulation. Of course, no enterprise nor industry offers complete insulation. However, when people get sick, they must seek treatment irrespective of market or economic conditions. Further, as I’ve stated many times before, AbbVie’s Botox could be a huge deal. According to Grand View Research, the underlying global botulinum toxin market could hit sector revenue of $21.1 billion in 2030.
Pros: Currently, analysts rate ABBV as a consensus moderate buy with a $170.25 average price target. Also, the company carries a forward yield of 4.15%.
Cons: Sector wise, the biopharma space can be volatile due to complex regulatory requirements and ever-intense competition. Also, price action has been April 2022.
PepsiCo (PEP)
Source: FotograFFF / Shutterstock
What it is: A multinational food, beverage, and snack company, PepsiCo (NASDAQ:PEP) is one of the more popular ideas for economic safety stocks. That’s because consumers inherently gravitate toward many of its brands, which include Gatorade, Frito-Lay and of course Pepsi. Further, the company’s products are cheap and may benefit from the trade-down effect.
Relevance: As just stated above, the trade-down effect – which may see consumers avoiding pricey eateries and retail beverage establishments for products carried in grocery aisles – may hugely reward PEP. Since the broader Pepsi brand carries so much recognition and pop-culture cachet, consumers trust the name. Therefore, PEP makes a compelling case for defensive stock picks.
Pros: PepsiCo carries a solid three-year revenue growth rate of 9.3% and it’s consistently profitable. These factors lead to a forward yield of 3.05%. Also, analysts peg PEP a moderate buy with a $189.67 average price target.
Cons: PepsiCo may suffer from competition from new entrants in the space. Also, its price/earnings-to-growth (PEG) ratio is way overheated at 5.52x.
Johnson & Johnson (JNJ)
Source: Alexander Tolstykh / Shutterstock.com
What it is: One of the most powerful names among defensive stock picks, Johnson & Johnson (NYSE:JNJ) is a multinational pharmaceutical and medical device specialist. After spinning off its consumer healthcare products line, the company can now focus efficiently on its advanced business units.
Relevance: As stated earlier with AbbVie, one of the key benefits of J&J moving forward is relative economic mitigation. When people need advanced medical solutions, they’re really thinking about themselves and their families. So, every effort will generally be made to secure effective treatment regimens. That makes JNJ a solid candidate for economic safety stocks.
Pros: From a financial perspective, J&J offers strong margins across the board. In particular, its net margin stands at a whopping 32.51%, above almost 96% of its peers. Further, the company rewards stakeholders with a forward yield of 3.08%. It’s even undervalued, with shares trading at only 11.46X trailing earnings.
Cons: Frankly, J&J’s three-year revenue growth rate of 5.2% could use some work because it’s below average for the industry. Also, it’s been printing disappointing market performances since August 2021.
On the date of publication, Josh Enomoto did not have (either directly or indirectly) any positions in the securities mentioned in this article. The opinions expressed in this article are those of the writer, subject to the InvestorPlace.com Publishing Guidelines.
A former senior business analyst for Sony Electronics, Josh Enomoto has helped broker major contracts with Fortune Global 500 companies. Over the past several years, he has delivered unique, critical insights for the investment markets, as well as various other industries including legal, construction management, and healthcare. Tweet him at @EnomotoMedia.
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The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. | AbbVie (ABBV) Source: Valeriya Zankovych / Shutterstock.com What it is: A biopharmaceutical company, AbbVie (NYSE:ABBV) develops and markets innovative medicines across various therapeutic areas. The company gained considerable awareness thanks to its buyout of Allergan, which gives AbbVie control of Botox. ABBV has been off to a rough start although it appears momentum is finally pick up late in 2023. | AbbVie (ABBV) Source: Valeriya Zankovych / Shutterstock.com What it is: A biopharmaceutical company, AbbVie (NYSE:ABBV) develops and markets innovative medicines across various therapeutic areas. The company gained considerable awareness thanks to its buyout of Allergan, which gives AbbVie control of Botox. ABBV has been off to a rough start although it appears momentum is finally pick up late in 2023. | AbbVie (ABBV) Source: Valeriya Zankovych / Shutterstock.com What it is: A biopharmaceutical company, AbbVie (NYSE:ABBV) develops and markets innovative medicines across various therapeutic areas. The company gained considerable awareness thanks to its buyout of Allergan, which gives AbbVie control of Botox. ABBV has been off to a rough start although it appears momentum is finally pick up late in 2023. | AbbVie (ABBV) Source: Valeriya Zankovych / Shutterstock.com What it is: A biopharmaceutical company, AbbVie (NYSE:ABBV) develops and markets innovative medicines across various therapeutic areas. The company gained considerable awareness thanks to its buyout of Allergan, which gives AbbVie control of Botox. ABBV has been off to a rough start although it appears momentum is finally pick up late in 2023. |
21960.0 | 2023-12-11 00:00:00 UTC | Goldman Sachs Upgrades Abbvie (ABBV) | ABBV | https://www.nasdaq.com/articles/goldman-sachs-upgrades-abbvie-abbv | nan | nan | Fintel reports that on December 11, 2023, Goldman Sachs upgraded their outlook for Abbvie (NYSE:ABBV) from Neutral to Buy .
Analyst Price Forecast Suggests 15.97% Upside
As of November 27, 2023, the average one-year price target for Abbvie is 173.11. The forecasts range from a low of 136.35 to a high of $215.25. The average price target represents an increase of 15.97% from its latest reported closing price of 149.28.
See our leaderboard of companies with the largest price target upside.
The projected annual revenue for Abbvie is 55,229MM, an increase of 0.17%. The projected annual non-GAAP EPS is 11.88.
What is the Fund Sentiment?
There are 4465 funds or institutions reporting positions in Abbvie. This is an increase of 124 owner(s) or 2.86% in the last quarter. Average portfolio weight of all funds dedicated to ABBV is 0.78%, an increase of 9.37%. Total shares owned by institutions increased in the last three months by 1.92% to 1,414,830K shares.
The put/call ratio of ABBV is 0.64, indicating a bullish outlook.
What are Other Shareholders Doing?
Jpmorgan Chase holds 55,231K shares representing 3.13% ownership of the company. In it's prior filing, the firm reported owning 56,773K shares, representing a decrease of 2.79%. The firm decreased its portfolio allocation in ABBV by 85.98% over the last quarter.
VTSMX - Vanguard Total Stock Market Index Fund Investor Shares holds 54,963K shares representing 3.11% ownership of the company. In it's prior filing, the firm reported owning 55,028K shares, representing a decrease of 0.12%. The firm increased its portfolio allocation in ABBV by 14.70% over the last quarter.
Capital International Investors holds 42,446K shares representing 2.40% ownership of the company. In it's prior filing, the firm reported owning 43,153K shares, representing a decrease of 1.67%. The firm increased its portfolio allocation in ABBV by 14.45% over the last quarter.
VFINX - Vanguard 500 Index Fund Investor Shares holds 42,416K shares representing 2.40% ownership of the company. In it's prior filing, the firm reported owning 42,007K shares, representing an increase of 0.96%. The firm increased its portfolio allocation in ABBV by 14.38% over the last quarter.
Geode Capital Management holds 36,207K shares representing 2.05% ownership of the company. In it's prior filing, the firm reported owning 34,953K shares, representing an increase of 3.46%. The firm increased its portfolio allocation in ABBV by 16.24% over the last quarter.
Abbvie Background Information
(This description is provided by the company.)
AbbVie's mission is to discover and deliver innovative medicines that solve serious health issues today and address the medical challenges of tomorrow. The Company strives to have a remarkable impact on people's lives across several key therapeutic areas: immunology, oncology, neuroscience, eye care, virology, women's health and gastroenterology, in addition to products and services across its Allergan Aesthetics portfolio.
Fintel is one of the most comprehensive investing research platforms available to individual investors, traders, financial advisors, and small hedge funds.
Our data covers the world, and includes fundamentals, analyst reports, ownership data and fund sentiment, options sentiment, insider trading, options flow, unusual options trades, and much more. Additionally, our exclusive stock picks are powered by advanced, backtested quantitative models for improved profits.
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This story originally appeared on Fintel.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. | AbbVie's mission is to discover and deliver innovative medicines that solve serious health issues today and address the medical challenges of tomorrow. Fintel reports that on December 11, 2023, Goldman Sachs upgraded their outlook for Abbvie (NYSE:ABBV) from Neutral to Buy . Analyst Price Forecast Suggests 15.97% Upside As of November 27, 2023, the average one-year price target for Abbvie is 173.11. | Fintel reports that on December 11, 2023, Goldman Sachs upgraded their outlook for Abbvie (NYSE:ABBV) from Neutral to Buy . Analyst Price Forecast Suggests 15.97% Upside As of November 27, 2023, the average one-year price target for Abbvie is 173.11. The projected annual revenue for Abbvie is 55,229MM, an increase of 0.17%. | Fintel reports that on December 11, 2023, Goldman Sachs upgraded their outlook for Abbvie (NYSE:ABBV) from Neutral to Buy . Analyst Price Forecast Suggests 15.97% Upside As of November 27, 2023, the average one-year price target for Abbvie is 173.11. The projected annual revenue for Abbvie is 55,229MM, an increase of 0.17%. | Analyst Price Forecast Suggests 15.97% Upside As of November 27, 2023, the average one-year price target for Abbvie is 173.11. Fintel reports that on December 11, 2023, Goldman Sachs upgraded their outlook for Abbvie (NYSE:ABBV) from Neutral to Buy . The projected annual revenue for Abbvie is 55,229MM, an increase of 0.17%. |
21961.0 | 2023-12-11 00:00:00 UTC | ABBV Factor-Based Stock Analysis | ABBV | https://www.nasdaq.com/articles/abbv-factor-based-stock-analysis-13 | nan | nan | Below is Validea's guru fundamental report for ABBVIE INC (ABBV). Of the 22 guru strategies we follow, ABBV rates highest using our P/B Growth Investor model based on the published strategy of Partha Mohanram. This growth model looks for low book-to-market stocks that exhibit characteristics associated with sustained future growth.
ABBVIE INC (ABBV) is a large-cap growth stock in the Biotechnology & Drugs industry. The rating using this strategy is 77% based on the firm’s underlying fundamentals and the stock’s valuation. A score of 80% or above typically indicates that the strategy has some interest in the stock and a score above 90% typically indicates strong interest.
The following table summarizes whether the stock meets each of this strategy's tests. Not all criteria in the below table receive equal weighting or are independent, but the table provides a brief overview of the strong and weak points of the security in the context of the strategy's criteria.
BOOK/MARKET RATIO: PASS
RETURN ON ASSETS: PASS
CASH FLOW FROM OPERATIONS TO ASSETS: PASS
CASH FLOW FROM OPERATIONS TO ASSETS VS. RETURN ON ASSETS: PASS
RETURN ON ASSETS VARIANCE: PASS
SALES VARIANCE: PASS
ADVERTISING TO ASSETS: PASS
CAPITAL EXPENDITURES TO ASSETS: FAIL
RESEARCH AND DEVELOPMENT TO ASSETS: FAIL
Detailed Analysis of ABBVIE INC
ABBV Guru Analysis
ABBV Fundamental Analysis
More Information on Partha Mohanram
Partha Mohanram Portfolio
About Partha Mohanram: Sometimes the best investing strategies don't come from the world of investing. Sometimes research that changes the investing world can come from the halls of academia. Partha Mohanram is a great example of this. While academic research has shown that value investing works over time, it has found the opposite for growth investing. Mohanram turned that research on its head by developing a growth model that produced significant market outperformance. His research paper "Separating Winners from Losers among Low Book-to-Market Stocks using Financial Statement Analysis" looked at the criteria that can be used to separate growth stocks that continue their upward trajectory from those that don't. Mohanram is currently the John H. Watson Chair in Value Investing at the University of Toronto and was previously an Associate Professor at the Columbia Business School.
Additional Research Links
Top Healthcare Stocks
Dividend Aristocrats2023
Wide Moat Stocks2023
High Insider Ownership Stocks
Factor-Based Stock Portfolios
About Validea: Validea is aninvestment researchservice that follows the published strategies of investment legends. Validea offers both stock analysis and model portfolios based on gurus who have outperformed the market over the long-term, including Warren Buffett, Benjamin Graham, Peter Lynch and Martin Zweig. For more information about Validea, click here
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. | Below is Validea's guru fundamental report for ABBVIE INC (ABBV). Of the 22 guru strategies we follow, ABBV rates highest using our P/B Growth Investor model based on the published strategy of Partha Mohanram. ABBVIE INC (ABBV) is a large-cap growth stock in the Biotechnology & Drugs industry. | Of the 22 guru strategies we follow, ABBV rates highest using our P/B Growth Investor model based on the published strategy of Partha Mohanram. Detailed Analysis of ABBVIE INC ABBV Guru Analysis ABBV Fundamental Analysis More Information on Partha Mohanram Partha Mohanram Portfolio About Partha Mohanram: Sometimes the best investing strategies don't come from the world of investing. Below is Validea's guru fundamental report for ABBVIE INC (ABBV). | Of the 22 guru strategies we follow, ABBV rates highest using our P/B Growth Investor model based on the published strategy of Partha Mohanram. Detailed Analysis of ABBVIE INC ABBV Guru Analysis ABBV Fundamental Analysis More Information on Partha Mohanram Partha Mohanram Portfolio About Partha Mohanram: Sometimes the best investing strategies don't come from the world of investing. Below is Validea's guru fundamental report for ABBVIE INC (ABBV). | Below is Validea's guru fundamental report for ABBVIE INC (ABBV). Of the 22 guru strategies we follow, ABBV rates highest using our P/B Growth Investor model based on the published strategy of Partha Mohanram. Detailed Analysis of ABBVIE INC ABBV Guru Analysis ABBV Fundamental Analysis More Information on Partha Mohanram Partha Mohanram Portfolio About Partha Mohanram: Sometimes the best investing strategies don't come from the world of investing. |
21962.0 | 2023-12-11 00:00:00 UTC | Validea Detailed Fundamental Analysis - ABBV | ABBV | https://www.nasdaq.com/articles/validea-detailed-fundamental-analysis-abbv-29 | nan | nan | Below is Validea's guru fundamental report for ABBVIE INC (ABBV). Of the 22 guru strategies we follow, ABBV rates highest using our P/B Growth Investor model based on the published strategy of Partha Mohanram. This growth model looks for low book-to-market stocks that exhibit characteristics associated with sustained future growth.
ABBVIE INC (ABBV) is a large-cap growth stock in the Biotechnology & Drugs industry. The rating using this strategy is 77% based on the firm’s underlying fundamentals and the stock’s valuation. A score of 80% or above typically indicates that the strategy has some interest in the stock and a score above 90% typically indicates strong interest.
The following table summarizes whether the stock meets each of this strategy's tests. Not all criteria in the below table receive equal weighting or are independent, but the table provides a brief overview of the strong and weak points of the security in the context of the strategy's criteria.
BOOK/MARKET RATIO: PASS
RETURN ON ASSETS: PASS
CASH FLOW FROM OPERATIONS TO ASSETS: PASS
CASH FLOW FROM OPERATIONS TO ASSETS VS. RETURN ON ASSETS: PASS
RETURN ON ASSETS VARIANCE: PASS
SALES VARIANCE: PASS
ADVERTISING TO ASSETS: PASS
CAPITAL EXPENDITURES TO ASSETS: FAIL
RESEARCH AND DEVELOPMENT TO ASSETS: FAIL
Detailed Analysis of ABBVIE INC
ABBV Guru Analysis
ABBV Fundamental Analysis
More Information on Partha Mohanram
Partha Mohanram Portfolio
About Partha Mohanram: Sometimes the best investing strategies don't come from the world of investing. Sometimes research that changes the investing world can come from the halls of academia. Partha Mohanram is a great example of this. While academic research has shown that value investing works over time, it has found the opposite for growth investing. Mohanram turned that research on its head by developing a growth model that produced significant market outperformance. His research paper "Separating Winners from Losers among Low Book-to-Market Stocks using Financial Statement Analysis" looked at the criteria that can be used to separate growth stocks that continue their upward trajectory from those that don't. Mohanram is currently the John H. Watson Chair in Value Investing at the University of Toronto and was previously an Associate Professor at the Columbia Business School.
Additional Research Links
Top Healthcare Stocks
Dividend Aristocrats2023
Wide Moat Stocks2023
High Insider Ownership Stocks
Factor-Based Stock Portfolios
About Validea: Validea is aninvestment researchservice that follows the published strategies of investment legends. Validea offers both stock analysis and model portfolios based on gurus who have outperformed the market over the long-term, including Warren Buffett, Benjamin Graham, Peter Lynch and Martin Zweig. For more information about Validea, click here
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. | Below is Validea's guru fundamental report for ABBVIE INC (ABBV). Of the 22 guru strategies we follow, ABBV rates highest using our P/B Growth Investor model based on the published strategy of Partha Mohanram. ABBVIE INC (ABBV) is a large-cap growth stock in the Biotechnology & Drugs industry. | Of the 22 guru strategies we follow, ABBV rates highest using our P/B Growth Investor model based on the published strategy of Partha Mohanram. Detailed Analysis of ABBVIE INC ABBV Guru Analysis ABBV Fundamental Analysis More Information on Partha Mohanram Partha Mohanram Portfolio About Partha Mohanram: Sometimes the best investing strategies don't come from the world of investing. Below is Validea's guru fundamental report for ABBVIE INC (ABBV). | Of the 22 guru strategies we follow, ABBV rates highest using our P/B Growth Investor model based on the published strategy of Partha Mohanram. Detailed Analysis of ABBVIE INC ABBV Guru Analysis ABBV Fundamental Analysis More Information on Partha Mohanram Partha Mohanram Portfolio About Partha Mohanram: Sometimes the best investing strategies don't come from the world of investing. Below is Validea's guru fundamental report for ABBVIE INC (ABBV). | Below is Validea's guru fundamental report for ABBVIE INC (ABBV). Of the 22 guru strategies we follow, ABBV rates highest using our P/B Growth Investor model based on the published strategy of Partha Mohanram. Detailed Analysis of ABBVIE INC ABBV Guru Analysis ABBV Fundamental Analysis More Information on Partha Mohanram Partha Mohanram Portfolio About Partha Mohanram: Sometimes the best investing strategies don't come from the world of investing. |
21963.0 | 2023-12-11 00:00:00 UTC | Goldman Sachs Says These 3 Healthcare Giants Look Very Attractive Right Now | ABBV | https://www.nasdaq.com/articles/goldman-sachs-says-these-3-healthcare-giants-look-very-attractive-right-now | nan | nan | Barring some outliers, the US large cap pharmaceutical group has underperformed the broader markets this year.
In a setting characterized by formidable macro factors, such as economic growth trends and the trajectory of interest rates, Goldman Sachs’ Chris Shibutani says the group has shown it is “unstable on a defensive basis.”
That has led to the overall lackluster performance in the market and has resulted in “steeper than average levels of relative valuation discounts.” For instance, while not quite at the level of the pandemic-era lows, global large cap pharma (again, sans some outliers) is currently trading substantially below the 10-year average historical discount to the S&P 500 of 14%.
But as is often the case, now is the time for savvy investors to take note. “Against this backdrop,” says the 5-star analyst, “the set-up into 2024 for US pharma could be viewed as attractive. A key factor in our view that could help propel healthier valuations remains the prospect of innovation, fueling new product cycles that have the potential to redefine market landscapes and growth trajectories.”
With this in mind, Shibutani has been pointing investors toward 3 healthcare giants with decent prospects ahead, so we decided to give them a closer look. All have underperformed this year, but Shibutani expects them to recover in 2024. To get an idea of what the rest of the Street makes of their chances, we also ran them through the TipRanks database. Here’s the lowdown.
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Merck & Company (MRK)
We’ll start with Merck, a leading pharmaceutical firm with global networks for both sales and research, wide-spread partnerships with other drug companies to facilitate research programs, and a market cap exceeding $264 billion. Merck’s name alone is worth plenty for reputation; the company created the wide-spread MMR vaccine that protects newborn infants against measles-mumps-rubella.
In today’s market, Merck is probably best-known for products like Gardasil, the widespread HPV vaccine that is used to protect women from virus-linked cervical cancers; Keytruda, the oncology-immunotherapy drug frequently used in the treatment of numerous malignancies; and Remicade, the biological anti-inflammatory drug used in the treatment of autoimmune conditions like Crohn’s or rheumatoid arthritis.
Merck’s global sales in 2022 totaled $59.3 billion, marking a 22% year-over-year increase. The company’s sales are lagging that pace slightly in 2023 – for the first nine months of this year, Merck’s total revenue comes to $45.66 billion, compared to $45.99 billion in the same period of last year. We should note that, year-to-date, Merck’s stock is down approximately 4%, an unfavorable comparison to the 20% year-to-date gain on the S&P 500.
At the same time, Merck’s report for 3Q23, the last released, shows solid year-over-year gains, with worldwide sales up 7% y/y to $16 billion, beating expectations by $730 million. The strong revenue was driven by solid sales in Keytruda (up 17% y/y), in Gardasil (up 13% y/y), and in the anti-COVID-19 drug Lagevrio (up 47% y/y). Quarterly sales for these three drugs totaled $9.54 billion. At the bottom line, Merck realized a non-GAAP earnings per share of $2.13, 18 cents better than had been expected.
For Shibutani, the key point to understand about Merck is the company’s overall sound position. He acknowledges that the firm will face loss of exclusivity (LOE) on several drugs in the near-term, but adds that it has both a solid portfolio of approved products and plenty of research projects in the pipeline. He says, “In an environment where end-of-decade LOEs remain a sticking point for much of US large cap pharma, we believe MRK has delivered effective superlative progress in terms of addressing concerns regarding the growth outlook for the company - through and beyond the Keytruda LOE. We further believe that MRK’s decision-making and execution on the business development front will increasingly be revealed as best-in-class amongst industry peers.”
For the near-term, and of interest to investors seeking an attractively priced entry point, Shibutani adds, “The relatively tempered share performance in the 2H23 has reflected in our view, the perception of a relative lack of headline generating catalysts. We see current levels as highly attractive, with the set-up for shares heading into 2024 framed by the opportunity for pipeline assets highlighted to become headliners, providing catalyst paths for a return to outperformance.”
All of this adds up to a Top Pick to go on Goldman’s Conviction List. The stock naturally gets a Buy rating, which Shibutani supplements with a $128 price target – implying a one-year upside potential of 23%. (To watch Shibutani’s track record, click here.)
The Strong Buy analyst consensus rating on Merck’s stock is based on 15 recent reviews that break down 13 to 2 in favor of Buy over Hold. The shares are trading for $104.36 and their $126.29 average price target suggests an increase of 21% in the coming 12 months. (See Merck’s stock forecast.)
AbbVie, Inc. (ABBV)
The second stock on our list of Goldman picks is AbbVie. This company has established itself as a leader in the research and development of biological anti-inflammatory medications, the class that has become prevalent in the treatment of autoimmune inflammatory disorders such as Crohn’s, ulcerative colitis, rheumatoid arthritis, and psoriasis. This puts AbbVie into direct competition with Merck’s Remicade.
We should note, however, that the market for such anti-inflammatory autoimmune drugs is both large and growing. According to Global Market Insights, it was thought to be worth $104 billion last year, and is expected to reach as high as $233.6 billion by 2032 – there is room here for both AbbVie and Merck to find customers. In addition, AbbVie has a larger portfolio of products in this niche, which has become something of a specialty for the company. AbbVie’s anti-inflammatory drugs include Humira, Skyrizi, and Rinvoq. The first of these was first approved for use in 2002, the latter two both in 2019.
AbbVie, which is based in North Chicago, Illinois, sees high potential for these drugs going forward – and the company, in its last quarterly report, revised its full-year 2023 earnings outlook upward accordingly, setting expectations for adjusted diluted EPS this year in the range of $11.19 to $11.23. This compares to the previous guidance of $10.86 to $11.06, and is well above the forecast number of $11.05.
Diving into that Q3 report, we find that AbbVie’s revenues and earnings in 3Q23 were both down y/y. The top line, showing revenue of $13.93 billion, was down 6%, while the bottom line, the adjusted diluted EPS of $2.95, was down more than 19%. Both figures beat expectations, however; revenue by $220 million and EPS by 8 cents per share. We should note here that shares in AbbVie have underperformed this year, and are down 2% overall.
In his write-up on AbbVie for Goldman, Shibutani takes an upbeat long-term view, basing his stance on the strength of the Humira-Skyrizi-Rinvoq stable of drugs. He writes, “As we exit 2023, ABBV’s delivery of more resilient than expected revenue performance for the Humira franchise in the face of multiple biosimilar entrants our confidence has increased in the potential for performance from growth products (Skyrizi, Rinvoq) and signature franchises (i.e., Botox) to generate an overall company growth profile heading through most of the remainder of the decade, that scales to management’s guidance, exceeds current Street expectations, and provides the basis for our view that ABBV’s current share price reflects underappreciation of the company’s improving growth outlook.”
This positive stance goes along with a Buy rating, an upgrade from Neutral, while Shibutani’s $173 price target points toward a one-year upside of 13%.
AbbVie has a Moderate Buy consensus rating from the Street, after picking up 13 recent analyst reviews, with 8 to Buy and 5 to Hold. The average target price of $170.25 suggests an increase of 11% from the current trading price of $153.24. (See AbbVie’s stock forecast.)
Pfizer (PFE)
We’ll wrap up this Goldman-backed list with Pfizer, the large-cap pharma that made headlines during the pandemic with its development of an early COVID-19 vaccine as well as the anti-viral drug Paxlovid. Pfizer, which boasts a $161 billion market cap, is one of the world’s premier biopharmaceutical firms. It has a long list of approved products on the market, and generated over $100 billion in revenue in 2022. The company defines its mission as creating a healthier world, and since the COVID pandemic, it has dedicated large resources to the combat of related highly contagious respiratory viral diseases.
In addition to its revenue-generating product lines, Pfizer has an active research pipeline that currently features 83 drug candidates in human clinical trials. Of these, 30 are at Phase 2, 23 are at Phase 3, and 4 are registrational, the final step before submitting applications for regulatory approval. The ‘areas of focus’ in Pfizer’s pipeline include anti-infectives and vaccines, inflammation and immunology, oncology, and rare diseases.
Leading-edge biotech research is a risky business, and Pfizer recently discontinued a clinical trial on a weight-loss drug, danuglipron. The drug had advanced through the Phase 2 stage – but while it achieved its primary endpoints in the study, there were high rates of side effects, including nausea and vomiting. The company chose not to pursue further research on this track.
That round of bad news comes after slowing sales year-to-date. Pfizer’s first three quarters this year all saw y/y declines in revenue. The company’s stock price reflects that – PFE is down 42% this year.
On a positive note, Pfizer received on December 12 regulatory approval from US government oversight agencies for its proposed merger-acquisition of the research-oriented biotech firm Seagen. The acquisition agreement is valued at $43 billion, and will add Seagen’s portfolio into Pfizer’s programs. Pfizer has said that it will create a dedicated cancer drugs operation from the expanded portfolio, and will split its business side into a US division and a global division.
Watching these developments, top analyst Shibutani notes first, that Pfizer’s share decline has tracked slowing sales of COVID-19 vaccines and treatments, and second, that there is reason for optimism here. He says, to start, “Acknowledging that PFE share performance has largely tracked expectations for sales from its COVID-19 franchise, we are constructive on the stock heading into 2024 following a material guidance reset in mid-October that, while negative and overdue, we believe better aligns management and investor expectations for Comirnaty (COVID-19 vaccine) and Paxlovid.”
Going on, Shibutani adds that Pfizer will be launching new products in the mid-term, and should expect returns from the Seagen deal: “Our positive outlook primarily derives from our view that COVID-19 revenues will be less debated on the forward, and we anticipate several of PFE’s bounty of new product launches will demonstrate success, heralded by commercial execution. We also believe that the potential closing of SGEN (expected by early 2024) and a return to a more balanced approach to capital allocation will represent a key strategic shift towards oncology and would achieve a significant portion of the company’s stated goal to acquire ~25bn in 2030 risk-adjusted revenue.”
With this in mind, Shibutani keeps his Buy rating on PFE, and although he has reduced his price target from $48 to $37, the new figure still indicates confidence in a 29% increase for the shares on the one-year horizon. (To watch Shibutani’s track record, click here.)
Turning now to the rest of the Street, where Pfizer gets a Moderate Buy consensus rating based on an additional 4 Buys and 8 Holds. The stock is selling for $28.58 and its $39.73 average price target implies a 39% increase from that level. (See Pfizer’s stock forecast.)
To find good ideas for stocks trading at attractive valuations, visit TipRanks’ Best Stocks to Buy, a tool that unites all of TipRanks’ equity insights.
Disclaimer: The opinions expressed in this article are solely those of the featured analysts. The content is intended to be used for informational purposes only. It is very important to do your own analysis before making any investment.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. | AbbVie, which is based in North Chicago, Illinois, sees high potential for these drugs going forward – and the company, in its last quarterly report, revised its full-year 2023 earnings outlook upward accordingly, setting expectations for adjusted diluted EPS this year in the range of $11.19 to $11.23. AbbVie, Inc. (ABBV) The second stock on our list of Goldman picks is AbbVie. This puts AbbVie into direct competition with Merck’s Remicade. | AbbVie, which is based in North Chicago, Illinois, sees high potential for these drugs going forward – and the company, in its last quarterly report, revised its full-year 2023 earnings outlook upward accordingly, setting expectations for adjusted diluted EPS this year in the range of $11.19 to $11.23. AbbVie, Inc. (ABBV) The second stock on our list of Goldman picks is AbbVie. This puts AbbVie into direct competition with Merck’s Remicade. | He writes, “As we exit 2023, ABBV’s delivery of more resilient than expected revenue performance for the Humira franchise in the face of multiple biosimilar entrants our confidence has increased in the potential for performance from growth products (Skyrizi, Rinvoq) and signature franchises (i.e., Botox) to generate an overall company growth profile heading through most of the remainder of the decade, that scales to management’s guidance, exceeds current Street expectations, and provides the basis for our view that ABBV’s current share price reflects underappreciation of the company’s improving growth outlook.” This positive stance goes along with a Buy rating, an upgrade from Neutral, while Shibutani’s $173 price target points toward a one-year upside of 13%. AbbVie, Inc. (ABBV) The second stock on our list of Goldman picks is AbbVie. This puts AbbVie into direct competition with Merck’s Remicade. | AbbVie, Inc. (ABBV) The second stock on our list of Goldman picks is AbbVie. According to Global Market Insights, it was thought to be worth $104 billion last year, and is expected to reach as high as $233.6 billion by 2032 – there is room here for both AbbVie and Merck to find customers. This puts AbbVie into direct competition with Merck’s Remicade. |
21964.0 | 2023-12-11 00:00:00 UTC | Health Rounds: New transplant approach may help more patients with sickle cell disease | ABBV | https://www.nasdaq.com/articles/health-rounds%3A-new-transplant-approach-may-help-more-patients-with-sickle-cell-disease | nan | nan | By Nancy Lapid
Dec 12 (Reuters) - Hello Health Rounds readers! Today we highlight two high profile studies presented at the ongoing American Society of Hematology (ASH) meeting in San Diego. The first involves a new bone marrow transplant approach that could help more patients with severe sickle cell disease. The other looks at a drug combination that helped people with advanced mantle cell lymphoma go significantly longer without disease progression.
Transplants possible for more sickle cell disease patients
More patients with severe sickle cell disease may be eligible for potentially curative bone marrow transplants using a new approach that is far less toxic than older methods and allows for more relatives to become donors, according to results of a study presented on Tuesday.
The usual treatment requires that the donor be a sibling who is a close genetic match, and involves intensive chemotherapy with side effects that can be difficult to tolerate, especially for patients with organ damage from the disease.
The new procedure, presented by researchers at the American Society of Hematology (ASH) meeting, uses a milder chemotherapy regimen. In addition, the donor only needs to be “half-matched” genetically to the recipient, which broadens the pool of potential donors to include parents, children, cousins, aunts, and uncles.
“This is a pragmatic approach for adults with sickle cell disease, and the results are fantastic,” study leader Dr. Adetola Kassim of Vanderbilt University Medical Center said in a statement. “It actually beat our expectations."
In sickle cell disease, red blood cells become misshapen, diminishing their ability to carry oxygen and causing episodes of severe, often debilitating pain as well as damage to tissues and organs that can lead to early death.
Forty-two adults with sickle cell disease and a history of stroke or reduced heart functioning, pain episodes, or frequent blood transfusions underwent the modified transplantation procedure, receiving stem cells from a family member that would produce healthy blood cells.
Two years later, 95% were alive, and 88% had functioning grafts without needing another infusion of stem cells, the researchers said.
Most participants experienced significant improvements in markers of healthy blood functioning, a reduction in pain episodes and fatigue, and improved heart and lung functioning, they added.
"This study has clearly shown that you can take selected adult patients (who are too weak to withstand the usual transplant procedure) and hopefully change the trajectory of their disease,” Kassim said.
Drug combo improves mantle cell lymphoma outcomes
In patients with relapsed or hard-to-control mantle cell lymphoma, a combination of two oral medications from AbbVie ABBV.N achieved an overall remission rate of 82% and prolonged the time until the disease got worse by about 10 months, researchers said on Tuesday at the ASH meeting.
“We are very encouraged by the data from this trial... using this targeted therapy. This combination allowed us to attack the cancer cells in two ways, which made it harder for the tumor to find resistance,” study leader Dr. Michael Wang of the University of Texas M. D. Anderson Cancer Center said in a statement.
Mantle cell lymphoma is an aggressive cancer often diagnosed at an advanced stage. It is presently diagnosed in about 4,000 patients each year in the United States and is becoming more common as the population ages, Wang said.
The late-stage trial involved 267 patients who had previously received at least one prior line of therapy. One group was treated with a combination of Imbruvica, a BTK inhibitor, and Venclexta, which has a different mechanism of action known as a BCL-2 inhibitor, while the others received Imbruvica and a placebo.
With half of them followed for more than four years, the average time without disease progression was roughly 32 months with the combination versus 22.1 months for the control group.
“We look forward to longer follow-up data from this trial,” Wang said, adding that the results are “a milestone achievement for our patients with mantle cell lymphoma.”
(Reporting by Nancy Lapid; Editing by Bill Berkrot)
((nancy.lapid@thomsonreuters.com))
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. | Drug combo improves mantle cell lymphoma outcomes In patients with relapsed or hard-to-control mantle cell lymphoma, a combination of two oral medications from AbbVie ABBV.N achieved an overall remission rate of 82% and prolonged the time until the disease got worse by about 10 months, researchers said on Tuesday at the ASH meeting. The usual treatment requires that the donor be a sibling who is a close genetic match, and involves intensive chemotherapy with side effects that can be difficult to tolerate, especially for patients with organ damage from the disease. “This is a pragmatic approach for adults with sickle cell disease, and the results are fantastic,” study leader Dr. Adetola Kassim of Vanderbilt University Medical Center said in a statement. | Drug combo improves mantle cell lymphoma outcomes In patients with relapsed or hard-to-control mantle cell lymphoma, a combination of two oral medications from AbbVie ABBV.N achieved an overall remission rate of 82% and prolonged the time until the disease got worse by about 10 months, researchers said on Tuesday at the ASH meeting. The other looks at a drug combination that helped people with advanced mantle cell lymphoma go significantly longer without disease progression. Transplants possible for more sickle cell disease patients More patients with severe sickle cell disease may be eligible for potentially curative bone marrow transplants using a new approach that is far less toxic than older methods and allows for more relatives to become donors, according to results of a study presented on Tuesday. | Drug combo improves mantle cell lymphoma outcomes In patients with relapsed or hard-to-control mantle cell lymphoma, a combination of two oral medications from AbbVie ABBV.N achieved an overall remission rate of 82% and prolonged the time until the disease got worse by about 10 months, researchers said on Tuesday at the ASH meeting. Transplants possible for more sickle cell disease patients More patients with severe sickle cell disease may be eligible for potentially curative bone marrow transplants using a new approach that is far less toxic than older methods and allows for more relatives to become donors, according to results of a study presented on Tuesday. Forty-two adults with sickle cell disease and a history of stroke or reduced heart functioning, pain episodes, or frequent blood transfusions underwent the modified transplantation procedure, receiving stem cells from a family member that would produce healthy blood cells. | Drug combo improves mantle cell lymphoma outcomes In patients with relapsed or hard-to-control mantle cell lymphoma, a combination of two oral medications from AbbVie ABBV.N achieved an overall remission rate of 82% and prolonged the time until the disease got worse by about 10 months, researchers said on Tuesday at the ASH meeting. The first involves a new bone marrow transplant approach that could help more patients with severe sickle cell disease. Forty-two adults with sickle cell disease and a history of stroke or reduced heart functioning, pain episodes, or frequent blood transfusions underwent the modified transplantation procedure, receiving stem cells from a family member that would produce healthy blood cells. |
21965.0 | 2023-12-11 00:00:00 UTC | ABBV, NVO, or LLY: Which Healthcare Stock Could Generate the Highest Returns? | ABBV | https://www.nasdaq.com/articles/abbv-nvo-or-lly%3A-which-healthcare-stock-could-generate-the-highest-returns | nan | nan | Healthcare companies are not completely immune to macro pressures but are generally more resilient compared to companies in other sectors. This is because of the essential nature of medicines and services offered by healthcare companies. Moreover, several healthcare companies are developing various treatments to address unmet medical needs, which is expected to drive their long-term growth. Using TipRanks’ Stock Comparison Tool, we placed AbbVie (NYSE:ABBV), Novo Nordisk (NYSE:NVO), and Eli Lilly (NYSE:LLY) against each other to find the healthcare stock that could fetch the most attractive returns as per Wall Street analysts.
AbbVie (NYSE:ABBV)
AbbVie investors have been worried about the impact of the loss of exclusivity of the company’s blockbuster rheumatoid arthritis drug Humira. In Q3 2023, Humira’s revenue declined 36.2% to $3.55 billion. However, the company is confident about mitigating the impact of Humira’s lower revenue with growing sales of other drugs like immunology treatments Skyrizi and Rinvoq.
Additionally, AbbVie recently announced two major acquisitions that are expected to boost the company’s growth in the times ahead. AbbVie is acquiring ImmunoGen for $10 billion to accelerate its entry into the ovarian cancer commercial market.
Earlier this month, the company announced the buyout of Cerevel Therapeutics for $8.7 billion, with the acquisition expected to enhance its neuroscience pipeline.
Is ABBV Stock a Buy or Sell?
On Monday, Goldman Sachs analyst Chris Shibutani upgraded AbbVie to Buy from Hold with a price target of $173. The analyst thinks that Humira’s sales have held up better than he expected despite competition from multiple biosimilars. Shibutani also noted the strong performance of AbbVi’s immunology treatments, Rinvoq and Skyrizi. He also expects AbbVie’s aesthetics franchise to reaccelerate next year, fueled by Botox’s dominant position in the industry.
Wall Street has a Moderate Buy consensus rating on Abbvie based on eight Buys and five Holds. The average price target of $170.25 implies 11.1% upside. Shares are down 5% year-to-date. ABBV offers a dividend yield of 4%.
Novo Nordisk (NYSE:NVO)
Denmark-based Novo Nordisk had a strong run this year, thanks to the buzz around the company’s weight loss drugs Wegovy and Ozempic. The company’s sales in the first nine months of 2023 increased 29% to 166.4 billion Danish Kroner, while operating profit rose 31% to 75.8 billion Danish Kroner. Novo Nordisk’s solid results were driven by a 36% rise in the sales of its Diabetes and Obesity care portfolio.
Looking ahead, the company aims to bolster its leadership in diabetes care, with a goal to reach aglobal marketvalue share of more than one-third by 2025. The company is also targeting obesity drug sales of 25 billion Danish Kroner by 2025. In the first nine months of 2023, NVO’s obesity care sales rose by 167% to 30.4 billion Danish Kroner.
What is the Price Target for Novo Nordisk Stock?
Earlier this month, Cantor Fitzgerald analyst Louise Chen initiated coverage on Novo Nordisk stock with a Buy rating and a price target of $120. Chen expects the demand for obesity drugs to remain attractive in the years ahead. The sales (annualized) for this category are already more than $10 billion.
The analyst estimates sales to grow to $100 billion over the next 5 to 7 years, reflecting nearly 40% to 60% CAGR (compound annual growth rate). Chen expects NVO to be an “outsized beneficiary” of this robust sales trend, given its leadership, which is currently a duopoly with Eli Lilly.
Overall, Novo Nordisk scores Wall Street’s Strong Buy consensus rating based on four unanimous Buys. The average price target of $116.67 implies 21.3% upside potential. Shares have risen over 42% since the start of this year.
Eli Lilly (NYSE:LLY)
Eli Lilly shares have rallied about 60% year-to-date due to the optimism around tirzepatide, which has been approved for diabetes (Mounjaro) and weight loss (Zepbound). However, on Monday, LLY stock declined 2.3% following the release of data that indicated that patients who took Zepbound regained about 14% of their weight over a period of about one year.
However, BMO Capital analyst Evan David Seigerman noted that this data was initially announced in October and was well-received back then. He thinks that the concern over post-treatment weight regain is “overblown,” with the pullback in the stock presenting a buying opportunity.
Coming to recent performance, Eli Lilly reported better-than-expected Q3 2023 results, driven by a 37% growth in its revenue to $9.5 billion. The top line gained from robust sales of its diabetes drug Mounjaro and higher revenue from several other treatments, including breast cancer pill Verzenio and diabetes drug Jardiance. The company is confident about the road ahead, supported by a robust pipeline that it continues to enhance through internal drug development and strategic acquisitions.
Is Eli Lilly a Good Stock to Buy?
On Tuesday, Morgan Stanley analyst Terence Flynn increased the price target for LLY stock to $727 from $722 and maintained a Buy rating. While providing a 2024 outlook for the North American biopharma sector, Flynn highlighted four themes – “diabesity,” product cycles, policy, and rates. For Eli Lilly, the analyst expects "another year of dispersion" and recommends investors to continue to focus on companies that can deliver growth in the second half of the decade.
Including Flynn, 19 analysts have a Buy rating on Eli Lilly stock, while one has a Hold recommendation. At $650.17, the average LLY price target implies 11.3% upside potential.
Conclusion
Wall Street is highly bullish on the prospects of Novo Nordisk and Eli Lilly but cautiously optimistic about AbbVie. Currently, analysts see higher upside potential in Novo Nordisk’s stock, thanks to the stellar demand for its weight loss drugs.
Disclosure
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. | Using TipRanks’ Stock Comparison Tool, we placed AbbVie (NYSE:ABBV), Novo Nordisk (NYSE:NVO), and Eli Lilly (NYSE:LLY) against each other to find the healthcare stock that could fetch the most attractive returns as per Wall Street analysts. AbbVie (NYSE:ABBV) AbbVie investors have been worried about the impact of the loss of exclusivity of the company’s blockbuster rheumatoid arthritis drug Humira. Additionally, AbbVie recently announced two major acquisitions that are expected to boost the company’s growth in the times ahead. | Using TipRanks’ Stock Comparison Tool, we placed AbbVie (NYSE:ABBV), Novo Nordisk (NYSE:NVO), and Eli Lilly (NYSE:LLY) against each other to find the healthcare stock that could fetch the most attractive returns as per Wall Street analysts. AbbVie (NYSE:ABBV) AbbVie investors have been worried about the impact of the loss of exclusivity of the company’s blockbuster rheumatoid arthritis drug Humira. Additionally, AbbVie recently announced two major acquisitions that are expected to boost the company’s growth in the times ahead. | Using TipRanks’ Stock Comparison Tool, we placed AbbVie (NYSE:ABBV), Novo Nordisk (NYSE:NVO), and Eli Lilly (NYSE:LLY) against each other to find the healthcare stock that could fetch the most attractive returns as per Wall Street analysts. AbbVie (NYSE:ABBV) AbbVie investors have been worried about the impact of the loss of exclusivity of the company’s blockbuster rheumatoid arthritis drug Humira. Additionally, AbbVie recently announced two major acquisitions that are expected to boost the company’s growth in the times ahead. | Using TipRanks’ Stock Comparison Tool, we placed AbbVie (NYSE:ABBV), Novo Nordisk (NYSE:NVO), and Eli Lilly (NYSE:LLY) against each other to find the healthcare stock that could fetch the most attractive returns as per Wall Street analysts. AbbVie (NYSE:ABBV) AbbVie investors have been worried about the impact of the loss of exclusivity of the company’s blockbuster rheumatoid arthritis drug Humira. Additionally, AbbVie recently announced two major acquisitions that are expected to boost the company’s growth in the times ahead. |
21966.0 | 2023-12-10 00:00:00 UTC | 4 Top Dividend Stocks Yielding More Than 4% to Buy Hand-Over-Fist This December | ABBV | https://www.nasdaq.com/articles/4-top-dividend-stocks-yielding-more-than-4-to-buy-hand-over-fist-this-december | nan | nan | Many dividend stocks have sold off over the past year. Higher interest rates made lower-risk investments like bonds and bank CDs more attractive income-generating options. That weighed on the value of some high-quality dividend stocks, pushing up their yields.
On the bright side, income-seeking investors can lock in some pretty attractive dividend yields these days. Realty Income (NYSE: O), Brookfield Renewable (NYSE: BEPC)(NYSE: BEP), AbbVie (NYSE: ABBV), and Verizon (NYSE: VZ) all currently offer dividend yields above 4%, which is more than double the S&P 500's yield (1.5%). Here's why income-seeking investors should scoop up their shares this month.
Building in growth for 2024
Realty Income currently offers a 5.6% dividend yield. The real estate investment trust (REIT) pays a monthly dividend, which makes it a great way to generate passive income. The company also has an excellent track record of increasing its payout. It has raised its dividend 122 times since its public market listing in 1994, including for the last 104 consecutive quarters.
The REIT should have no problem continuing to increase its payout. Despite the impact of rising interest rates on the commercial real estate market, Realty Income is on track to acquire $9 billion of income-producing properties this year, smashing its initial forecast of $5 billion. Meanwhile, it has already gotten a head start on next year's growth, agreeing to acquire fellow REIT Spirit Realty in a $9.3 billion deal. That acquisition alone should boost its funds from operations (FFO) per share by over 2.5% next year.
The REIT believes it can grow its FFO per share by 4% to 5% over the longer term as it continues to acquire income-producing real estate. It has one of the top balance sheets in the REIT sector, giving it ample financial flexibility to continue growing. Meanwhile, it continues to expand into new areas, enhancing its growth runway.
Robust growth ahead
Brookfield Renewable currently yields 4.9%. The global renewable energy giant has increased its payout by at least 4% annually for the past dozen years.
It has ample power to continue growing its payout. Brookfield Renewable has a quartet of growth drivers (inflation-indexed power contracts, margin enhancement activities, development projects, and acquisitions) that should power 10%+ FFO per share growth through 2028. The company recently closed several acquisitions, putting it in a strong position to deliver 10%+ FFO per share growth in the coming year. That easily supports the company's plan to increase its payout by 5% to 9% per year.
While one needle-moving acquisition could fall apart, the company is seeing an uptick in investment opportunities because of higher rates. They're making it harder for others in the industry to fund their growth, which could open new doors for Brookfield to grow.
A healthy dose of income
AbbVie currently yields 4.2%. The healthcare company has done a fantastic job of increasing its payout over the years. Since its formation in 2013, it has boosted its payout by an impressive 285% overall, including 4.7% in October.
The company's latest dividend increase "underscore[s] our confidence in AbbVie's long-term outlook," stated CEO Richard Gonzales in the third-quarter earnings release. While the company is facing pressures from slowing sales of its blockbuster drug Humira, others are helping pick up some of the slack.
Meanwhile, the company continues to invest heavily in developing new products. It also recently agreed to a transformative transaction to bolster its neuroscience pipeline by agreeing to acquire Cerevel Therapeutics for $8.7 billion. The company's growth-focused investments should help drive its revenue higher over the long term, enabling AbbVie to continue increasing its attractive dividend.
A free cash flow machine
Verizon's dividend currently yields 6.9%. That's in the top 5% dividend yields among S&P 500 members. Verizon recently nudged its payout up by another 1.9%, delivering its 17th straight year of dividend growth, the longest streak in the U.S. telecom sector.
Verizon should be able to continue pushing its payout higher. The telecom giant produces a tremendous amount of cash. That's giving it the money to invest in expanding its 5G network while also paying dividends and strengthening its already solid balance sheet.
The company expects its 5G investments to grow its revenue and cash flow. Meanwhile, capital spending is starting to come down as it passes the peak of a heavy investment phase. On top of that, the company is working to cut billions of dollars in costs over the next couple of years. These factors should supply Verizon with more excess free cash flow to pay dividends and continue firming up its financial foundation.
Great income investments to stock up on this month
Realty Income, Brookfield Renewable, AbbVie, and Verizon pay very attractive dividends these days. Better yet, they have excellent track records of increasing their payouts, which should continue in 2024. That makes them look like great income stocks to scoop up this month to boost your income in 2024 and beyond.
Should you invest $1,000 in Realty Income right now?
Before you buy stock in Realty Income, consider this:
The Motley Fool Stock Advisor analyst team just identified what they believe are the 10 best stocks for investors to buy now... and Realty Income wasn't one of them. The 10 stocks that made the cut could produce monster returns in the coming years.
Stock Advisor provides investors with an easy-to-follow blueprint for success, including guidance on building a portfolio, regular updates from analysts, and two new stock picks each month. The Stock Advisor service has more than tripled the return of S&P 500 since 2002*.
See the 10 stocks
*Stock Advisor returns as of December 7, 2023
Matthew DiLallo has positions in Brookfield Renewable, Brookfield Renewable Partners, Realty Income, and Verizon Communications. The Motley Fool has positions in and recommends Brookfield Renewable, Cerevel Therapeutics, and Realty Income. The Motley Fool recommends Brookfield Renewable Partners and Verizon Communications. The Motley Fool has a disclosure policy.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. | The company's latest dividend increase "underscore[s] our confidence in AbbVie's long-term outlook," stated CEO Richard Gonzales in the third-quarter earnings release. The company's growth-focused investments should help drive its revenue higher over the long term, enabling AbbVie to continue increasing its attractive dividend. Realty Income (NYSE: O), Brookfield Renewable (NYSE: BEPC)(NYSE: BEP), AbbVie (NYSE: ABBV), and Verizon (NYSE: VZ) all currently offer dividend yields above 4%, which is more than double the S&P 500's yield (1.5%). | Realty Income (NYSE: O), Brookfield Renewable (NYSE: BEPC)(NYSE: BEP), AbbVie (NYSE: ABBV), and Verizon (NYSE: VZ) all currently offer dividend yields above 4%, which is more than double the S&P 500's yield (1.5%). Great income investments to stock up on this month Realty Income, Brookfield Renewable, AbbVie, and Verizon pay very attractive dividends these days. A healthy dose of income AbbVie currently yields 4.2%. | Realty Income (NYSE: O), Brookfield Renewable (NYSE: BEPC)(NYSE: BEP), AbbVie (NYSE: ABBV), and Verizon (NYSE: VZ) all currently offer dividend yields above 4%, which is more than double the S&P 500's yield (1.5%). Great income investments to stock up on this month Realty Income, Brookfield Renewable, AbbVie, and Verizon pay very attractive dividends these days. A healthy dose of income AbbVie currently yields 4.2%. | The company's growth-focused investments should help drive its revenue higher over the long term, enabling AbbVie to continue increasing its attractive dividend. Great income investments to stock up on this month Realty Income, Brookfield Renewable, AbbVie, and Verizon pay very attractive dividends these days. Realty Income (NYSE: O), Brookfield Renewable (NYSE: BEPC)(NYSE: BEP), AbbVie (NYSE: ABBV), and Verizon (NYSE: VZ) all currently offer dividend yields above 4%, which is more than double the S&P 500's yield (1.5%). |
21967.0 | 2023-12-10 00:00:00 UTC | AbbVie Just Announced 2 Big Acquisitions: Is This Dividend King a No-Brainer Buy Right Now? | ABBV | https://www.nasdaq.com/articles/abbvie-just-announced-2-big-acquisitions%3A-is-this-dividend-king-a-no-brainer-buy-right-now | nan | nan | Change the narrative: That's been a classic strategy for businesses facing stiff challenges. And it's a strategy that AbbVie (NYSE: ABBV) appears to have pulled off successfully in recent days.
During 2023 investors have primarily focused on the company's declining revenue and profits, which stem from the loss of patent exclusivity for its top-selling autoimmune-disease drug Humira. AbbVie's share price reflected the concerns.
However, AbbVie just announced two big acquisitions, spurring its stock to rebound somewhat. Is this Dividend King now a no-brainer buy?
Two deals in seven days
AbbVie's executives and business development team have been quite busy lately. On Nov. 30, AbbVie announced its plans to acquire ImmunoGen (NASDAQ: IMGN) in an all-cash transaction valued at roughly $10.1 billion. This deal stands to become AbbVie's largest acquisition since it purchased Allergan for $63 billion in 2020. First, though, the transaction must be approved by ImmunoGen's shareholders, and clear regulatory hurdles.
Only seven days after announcing its acquisition of ImmunoGen, AbbVie revealed plans to also acquire Cerevel Therapeutics (NASDAQ: CERE). The big drugmaker again offered an all-cash buyout, this time for a total value of around $8.7 billion. This transaction also must first be approved by Cerevel shareholders and regulators.
As of Sept. 30, AbbVie reported cash, cash equivalents, and short-term investments of nearly $13.3 billion, so buying ImmunoGen and Cerevel will take more cash than the company has. AbbVie doesn't plan on using all of its cash, though. It intends to partially finance both deals by taking on additional debt.
How acquiring ImmunoGen and Cerevel will help AbbVie
Acquiring ImmunoGen should make a quicker splash for AbbVie. The biotech already markets Elahere, the first antibody-drug conjugate (ADC) approved for treating platinum-resistant ovarian cancer. Sales of the therapy totaled over $212 million in the first nine months of 2023 and are expected to continue growing steadily in its initial indication. AbbVie thinks that Elahere's sales should really take off in 2030 and afterward if it's approved for larger segments of the ovarian cancer market.
In addition to Elahere, ImmunoGen will also bring a strong pipeline of clinical-stage ADC programs to the table. The main one to watch is pivekimab sunirine, which is in a pivotal phase 2 study in treating blastic plasmacytoid dendritic cell neoplasm (BPDCN), a rare and aggressive type of blood cancer. Top-line results from this study are expected next year.
Cerevel doesn't have an approved product yet. Its lead pipeline candidate, tavapadon, is currently being evaluated in a phase 3 study targeting Parkinson's disease. Results from this study should be announced in 2024.
However, Cerevel's crown jewel could be emraclidine. The experimental therapy is in phase 2 testing as a treatment for schizophrenia and in phase 1 for treating Alzheimer's disease psychosis. AbbVie believes that emraclidine "has the potential to transform [the] schizophrenia treatment landscape."
Is this Dividend King a no-brainer buy?
I don't think the ImmunoGen and Cerevel acquisitions are obvious reasons to buy AbbVie stock right now. The company doesn't expect the ImmunoGen transaction to boost its earnings until 2027, and Cerevel won't be accretive to earnings until 2030.
That said, I like both deals. ImmunoGen will put AbbVie on the center stage with ADCs, one of the most promising arenas of cancer-drug development. Cerevel is a great fit for the company's existing neuroscience portfolio and pipeline. While AbbVie will take on debt to fund the transactions, its credit rating shouldn't be impacted at all.
I do believe that AbbVie is indeed an excellent stock to buy -- but not because of these acquisitions, as promising as they seem. I think AbbVie deserves to trade at a higher valuation than its current forward earnings multiple of 13.2. Sure, the company faces temporary headwinds with Humira. However, AbbVie should quickly return to strong growth by 2025 thanks to rising stars such as Rinvoq, Skyrizi, and Vraylar.
We can't overlook its dividend, either. As mentioned earlier, AbbVie is a Dividend King; it's had 52 consecutive dividend increases, and I fully expect it to extend its streak. And with a current yield of nearly 4.2%, the stock doesn't have to rise very much for investors to enjoy exceptional total returns.
An attractive valuation, a phenomenal dividend, and a clear growth path that's likely to be bolstered by two smart acquisitions: I think those are prime ingredients for a no-brainer investment.
Should you invest $1,000 in AbbVie right now?
Before you buy stock in AbbVie, consider this:
The Motley Fool Stock Advisor analyst team just identified what they believe are the 10 best stocks for investors to buy now... and AbbVie wasn't one of them. The 10 stocks that made the cut could produce monster returns in the coming years.
Stock Advisor provides investors with an easy-to-follow blueprint for success, including guidance on building a portfolio, regular updates from analysts, and two new stock picks each month. The Stock Advisor service has more than tripled the return of S&P 500 since 2002*.
See the 10 stocks
*Stock Advisor returns as of December 7, 2023
Keith Speights has positions in AbbVie. The Motley Fool has positions in and recommends Cerevel Therapeutics. The Motley Fool has a disclosure policy.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. | And it's a strategy that AbbVie (NYSE: ABBV) appears to have pulled off successfully in recent days. AbbVie's share price reflected the concerns. However, AbbVie just announced two big acquisitions, spurring its stock to rebound somewhat. | On Nov. 30, AbbVie announced its plans to acquire ImmunoGen (NASDAQ: IMGN) in an all-cash transaction valued at roughly $10.1 billion. Only seven days after announcing its acquisition of ImmunoGen, AbbVie revealed plans to also acquire Cerevel Therapeutics (NASDAQ: CERE). Before you buy stock in AbbVie, consider this: The Motley Fool Stock Advisor analyst team just identified what they believe are the 10 best stocks for investors to buy now... and AbbVie wasn't one of them. | How acquiring ImmunoGen and Cerevel will help AbbVie Acquiring ImmunoGen should make a quicker splash for AbbVie. I don't think the ImmunoGen and Cerevel acquisitions are obvious reasons to buy AbbVie stock right now. Before you buy stock in AbbVie, consider this: The Motley Fool Stock Advisor analyst team just identified what they believe are the 10 best stocks for investors to buy now... and AbbVie wasn't one of them. | I don't think the ImmunoGen and Cerevel acquisitions are obvious reasons to buy AbbVie stock right now. Before you buy stock in AbbVie, consider this: The Motley Fool Stock Advisor analyst team just identified what they believe are the 10 best stocks for investors to buy now... and AbbVie wasn't one of them. And it's a strategy that AbbVie (NYSE: ABBV) appears to have pulled off successfully in recent days. |
21968.0 | 2023-12-10 00:00:00 UTC | The 3 Best Cheap Stocks to Buy in December | ABBV | https://www.nasdaq.com/articles/the-3-best-cheap-stocks-to-buy-in-december | nan | nan | InvestorPlace - Stock Market News, Stock Advice & Trading Tips
The rising market in 2023 has not lifted all boats. Some stocks look extremely cheap right now. This offers investors an opportunity to buy shares of great companies at distressed prices and ride them higher in coming months and years. While some stocks are down for good reason, many have been dragged lower by cyclical economic factors, sector trends, and poor investor sentiment that are beyond the company’s control.
This is the time investors should pounce and take advantage of stocks that are trading at low multiples. After all, the goal is still to buy low and sell high, right? Let’s explore the three best cheap stocks to buy in December.
AbbVie (ABBV)
Source: Valeriya Zankovych / Shutterstock.com
Pharmaceutical giant AbbVie’s (NYSE:ABBV) stock looks cheap right now, having fallen 10% in 2023 and not far from its 52-week low.
The pharma company’s share price has been brought low by valid concerns. The first is that its top-selling arthritis medication, Humira, is losing its patent protection. Also, ABBV is subject to competition from cheaper generic alternatives. Humira has been one of the top-selling medications in the world for over a decade. AbbVie racked up $21 billion in sales during 2022 alone.
But AbbVie isn’t taking the patent expiration lying down. The company has been on a tear lately as it acquires new companies and the medications that come with them. Most recently, AbbVie announced that it is buying neuroscience drug maker Cerevel Therapeutics (NASDAQ:CERE) for $8.7 billion. That deal will give AbbVie access to Cerevel’s psychiatric and neurological disorder medications. Also, AbbVie announced that it is buying cancer drug maker ImmunoGen (NASDAQ:IMGN) for nearly $10 billion.
It likely won’t be long before AbbVie is back at the top of the pharmaceutical sales charts.
Dell Technologies (DELL)
Source: Jonathan Weiss / Shutterstock.com
Buy the pullback in Dell Technologies’ (NYSE:DELL) stock. Shares of the personal computer (PC) manufacturer have fallen 6% since it announced mixed third-quarter financial results.
The company reported earnings per share (EPS) of $1.88, which was well above the Wall Street consensus of $1.46 a share. However, Dell’s revenue totaled $22.30 billion, down 10% from a year ago and below the $23 billion that analysts had forecast.
Dell said that its revenues continue to be challenged by ongoing weakness in corporate PC demand. But, company executives say that they expect a rebound in corporate PC sales globally over the course of 2024. Additionally, Dell is expected to get a lift in the year ahead from artificial intelligence (AI). The company said that its backlog for AI-optimized servers doubled sequentially in the most recent quarter. In fact, Dell shipped over $500 million of AI-optimized severs during Q3.
Despite the post-earnings drawdown, DELL stock has risen 65% in 2023. Trading at 18 times future earnings estimates, the stock still looks affordable. Plus, it pays one of the best dividends of any tech security with a quarterly payout of 37 cents a share, giving it a yield of 2.19%. And finally, Dell bought back $744 million of its own stock in Q3.
Chevron (CVX)
Source: Jeff Whyte / Shutterstock.com
Oil prices continue to slump with West Texas Intermediate (WTI) crude oil currently trading at $70 a barrel, down from more than $90 earlier this year.
The drop in crude prices has dragged the stock of U.S. oil major Chevron (NYSE:CVX) down with it. CVX stock has declined 18% in 2023 and hovering near a 52-week low. Trading at just 10 times future earnings estimates, Chevron’s stock looks cheap. Also, it pays a quarterly dividend that yields 4.21%.
Additionally, weighing on CVX stock right now and helping to pull it lower than other oil securities, is its proposed $53 billion acquisition of Hess Corp. (NYSE:HES). Chevron is offering $171 for each share of Hess. The deal is valued at $60 billion, including some Hess debt that Chevron has agreed to absorb. Analysts have raised doubts about whether the deal is necessary or not, and investors appear to be taking a wait-and-see approach. Regardless, there’s no doubt that CVX stock is cheap right now.
On the date of publication, Joel Baglole did not have (either directly or indirectly) any positions in the securities mentioned in this article. The opinions expressed in this article are those of the writer, subject to the InvestorPlace.com Publishing Guidelines.
Joel Baglole has been a business journalist for 20 years. He spent five years as a staff reporter at The Wall Street Journal, and has also written for The Washington Post and Toronto Star newspapers, as well as financial websites such as The Motley Fool and Investopedia.
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The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. | AbbVie (ABBV) Source: Valeriya Zankovych / Shutterstock.com Pharmaceutical giant AbbVie’s (NYSE:ABBV) stock looks cheap right now, having fallen 10% in 2023 and not far from its 52-week low. Also, ABBV is subject to competition from cheaper generic alternatives. AbbVie racked up $21 billion in sales during 2022 alone. | AbbVie (ABBV) Source: Valeriya Zankovych / Shutterstock.com Pharmaceutical giant AbbVie’s (NYSE:ABBV) stock looks cheap right now, having fallen 10% in 2023 and not far from its 52-week low. Also, ABBV is subject to competition from cheaper generic alternatives. AbbVie racked up $21 billion in sales during 2022 alone. | AbbVie (ABBV) Source: Valeriya Zankovych / Shutterstock.com Pharmaceutical giant AbbVie’s (NYSE:ABBV) stock looks cheap right now, having fallen 10% in 2023 and not far from its 52-week low. Also, ABBV is subject to competition from cheaper generic alternatives. AbbVie racked up $21 billion in sales during 2022 alone. | AbbVie (ABBV) Source: Valeriya Zankovych / Shutterstock.com Pharmaceutical giant AbbVie’s (NYSE:ABBV) stock looks cheap right now, having fallen 10% in 2023 and not far from its 52-week low. Also, ABBV is subject to competition from cheaper generic alternatives. AbbVie racked up $21 billion in sales during 2022 alone. |
21969.0 | 2023-12-09 00:00:00 UTC | Better Dividend Stock: AbbVie vs. Medical Properties Trust | ABBV | https://www.nasdaq.com/articles/better-dividend-stock%3A-abbvie-vs.-medical-properties-trust | nan | nan | Income-seeking investors have some interesting options to choose from in the healthcare sector right now. AbbVie (NYSE: ABBV), the pharmaceutical giant behind the top-selling drug of the past decade, and Medical Properties Trust (NYSE: MPW), a real estate investment trust (REIT) that focuses on hospitals, both offer dividend yields that are way above average.
There are plenty of good reasons to buy both of these stocks. Unfortunately, there are also some serious risks to consider. Let's weigh the good news against the bad to see which of these stocks is the better buy right now.
Image source: Getty Images.
The case for AbbVie
AbbVie is a Dividend King that has raised its quarterly payout a whopping 288% since spinning off from Abbott Laboratories in 2013. Despite its amazing track record, the stock offers an eye-popping yield of 4.2% at recent prices.
Soaring sales of multiple new drugs make AbbVie look like a screaming buy. Skyrizi, a psoriasis injection that launched in 2019 is already generating more than $8.5 billion in annualized sales. Rinvoq, a tablet for rheumatoid arthritis, ulcerative colitis, and Crohn's disease that also launched in 2019, is on pace to generate $4.5 billion in annual sales.
AbbVie's lucrative drug sales generated $24.7 billion in free cash flow over the past year. It only needed 42% of this sum to meet its dividend obligation which leaves heaps of cash to invest in new drugs.
Flush with cash, AbbVie recently announced two major acquisitions in the space of a week. It will pay $10.1 billion for Immunogen, a company with an already approved cancer therapy called Elehare. The big pharma will also acquire Cerevel Therapeutics, a clinical-stage drugmaker developing a treatment for schizophrenia, for around $8.7 billion.
AbbVie's recent investments in neuroscience and oncology seem relatively likely to pay off well for investors. The company's neuroscience lineup already includes three blockbusters with over $1 billion in annual sales. AbbVie's track record in oncology is equally impressive. In 2015, it boldly invested $21 billion in rights to Imbruvica shortly before it became the first chemotherapy-free treatment option for the most commonly diagnosed form of leukemia.
The case for Medical Properties Trust
Medical Properties Trust is a REIT that owns 441 properties, mostly hospitals and acute care facilities in the U.S. and abroad. This particular REIT employs net leases that transfer all the variable costs of building ownership to its tenants. The leases and loans on this REIT's books don't mature for 16.7 years on average, so cash flows ought to be highly reliable.
In the third quarter, Medical Properties Trust reported normalized funds from operations, a proxy for earnings used to evaluate REITs, that reached $0.38 per share. This should be more than enough to fund a dividend currently set at just $0.15 per share.
At recent prices, Medical Properties Trust offers a huge 12.6% dividend yield.
The bad news
Dividend yields for REITs generally don't run into double digits unless there's concern about their ability to meet their commitments in the quarters ahead. Medical Properties Trust's stock price has fallen more than 65% over the past year because several of its hospital operating tenants have had trouble making ends meet and it had to slash its dividend.
Medical Properties Trust reported adequate FFO to cover its dividend in the third quarter but it's also selling properties left and right to increase liquidity. Investors with a high tolerance for risk could come out miles ahead with this stock but there are no guarantees. For most investors, it's probably best to keep a safe distance from this troubled REIT until it's in a position to expand its portfolio again.
Shares of AbbVie are under pressure because the market is worried about biosimilar competition for AbbVie's top-selling drug, Humira, which began in the U.S. this year. Third-quarter sales of Humira in the U.S. fell 39% year over year to an annualized $12 billion.
The better buy
Sinking Humira sales give AbbVie a big hole to fill but the company's well prepared to meet the challenge. Skyrizi and Rinvoq appear more than capable of offsetting Humira losses on their own and these aren't the only growth drivers in its new product lineup.
Medical Property Trust's huge dividend yield is tempting but it won't help you retire any sooner if the REIT has to trim its payout again shortly after you buy the stock. Unless you have a huge tolerance for risk, AbbVie looks like the better buy right now.
Should you invest $1,000 in AbbVie right now?
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The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. | AbbVie (NYSE: ABBV), the pharmaceutical giant behind the top-selling drug of the past decade, and Medical Properties Trust (NYSE: MPW), a real estate investment trust (REIT) that focuses on hospitals, both offer dividend yields that are way above average. The case for AbbVie AbbVie is a Dividend King that has raised its quarterly payout a whopping 288% since spinning off from Abbott Laboratories in 2013. Soaring sales of multiple new drugs make AbbVie look like a screaming buy. | AbbVie (NYSE: ABBV), the pharmaceutical giant behind the top-selling drug of the past decade, and Medical Properties Trust (NYSE: MPW), a real estate investment trust (REIT) that focuses on hospitals, both offer dividend yields that are way above average. The case for AbbVie AbbVie is a Dividend King that has raised its quarterly payout a whopping 288% since spinning off from Abbott Laboratories in 2013. Soaring sales of multiple new drugs make AbbVie look like a screaming buy. | AbbVie (NYSE: ABBV), the pharmaceutical giant behind the top-selling drug of the past decade, and Medical Properties Trust (NYSE: MPW), a real estate investment trust (REIT) that focuses on hospitals, both offer dividend yields that are way above average. Before you buy stock in AbbVie, consider this: The Motley Fool Stock Advisor analyst team just identified what they believe are the 10 best stocks for investors to buy now... and AbbVie wasn't one of them. The case for AbbVie AbbVie is a Dividend King that has raised its quarterly payout a whopping 288% since spinning off from Abbott Laboratories in 2013. | AbbVie's lucrative drug sales generated $24.7 billion in free cash flow over the past year. Should you invest $1,000 in AbbVie right now? Before you buy stock in AbbVie, consider this: The Motley Fool Stock Advisor analyst team just identified what they believe are the 10 best stocks for investors to buy now... and AbbVie wasn't one of them. |
21970.0 | 2023-12-08 00:00:00 UTC | Validea Detailed Fundamental Analysis - ABBV | ABBV | https://www.nasdaq.com/articles/validea-detailed-fundamental-analysis-abbv-28 | nan | nan | Below is Validea's guru fundamental report for ABBVIE INC (ABBV). Of the 22 guru strategies we follow, ABBV rates highest using our P/B Growth Investor model based on the published strategy of Partha Mohanram. This growth model looks for low book-to-market stocks that exhibit characteristics associated with sustained future growth.
ABBVIE INC (ABBV) is a large-cap growth stock in the Biotechnology & Drugs industry. The rating using this strategy is 77% based on the firm’s underlying fundamentals and the stock’s valuation. A score of 80% or above typically indicates that the strategy has some interest in the stock and a score above 90% typically indicates strong interest.
The following table summarizes whether the stock meets each of this strategy's tests. Not all criteria in the below table receive equal weighting or are independent, but the table provides a brief overview of the strong and weak points of the security in the context of the strategy's criteria.
BOOK/MARKET RATIO: PASS
RETURN ON ASSETS: PASS
CASH FLOW FROM OPERATIONS TO ASSETS: PASS
CASH FLOW FROM OPERATIONS TO ASSETS VS. RETURN ON ASSETS: PASS
RETURN ON ASSETS VARIANCE: PASS
SALES VARIANCE: PASS
ADVERTISING TO ASSETS: PASS
CAPITAL EXPENDITURES TO ASSETS: FAIL
RESEARCH AND DEVELOPMENT TO ASSETS: FAIL
Detailed Analysis of ABBVIE INC
ABBV Guru Analysis
ABBV Fundamental Analysis
More Information on Partha Mohanram
Partha Mohanram Portfolio
About Partha Mohanram: Sometimes the best investing strategies don't come from the world of investing. Sometimes research that changes the investing world can come from the halls of academia. Partha Mohanram is a great example of this. While academic research has shown that value investing works over time, it has found the opposite for growth investing. Mohanram turned that research on its head by developing a growth model that produced significant market outperformance. His research paper "Separating Winners from Losers among Low Book-to-Market Stocks using Financial Statement Analysis" looked at the criteria that can be used to separate growth stocks that continue their upward trajectory from those that don't. Mohanram is currently the John H. Watson Chair in Value Investing at the University of Toronto and was previously an Associate Professor at the Columbia Business School.
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About Validea: Validea is aninvestment researchservice that follows the published strategies of investment legends. Validea offers both stock analysis and model portfolios based on gurus who have outperformed the market over the long-term, including Warren Buffett, Benjamin Graham, Peter Lynch and Martin Zweig. For more information about Validea, click here
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. | Below is Validea's guru fundamental report for ABBVIE INC (ABBV). Of the 22 guru strategies we follow, ABBV rates highest using our P/B Growth Investor model based on the published strategy of Partha Mohanram. ABBVIE INC (ABBV) is a large-cap growth stock in the Biotechnology & Drugs industry. | Of the 22 guru strategies we follow, ABBV rates highest using our P/B Growth Investor model based on the published strategy of Partha Mohanram. Detailed Analysis of ABBVIE INC ABBV Guru Analysis ABBV Fundamental Analysis More Information on Partha Mohanram Partha Mohanram Portfolio About Partha Mohanram: Sometimes the best investing strategies don't come from the world of investing. Below is Validea's guru fundamental report for ABBVIE INC (ABBV). | Of the 22 guru strategies we follow, ABBV rates highest using our P/B Growth Investor model based on the published strategy of Partha Mohanram. Detailed Analysis of ABBVIE INC ABBV Guru Analysis ABBV Fundamental Analysis More Information on Partha Mohanram Partha Mohanram Portfolio About Partha Mohanram: Sometimes the best investing strategies don't come from the world of investing. Below is Validea's guru fundamental report for ABBVIE INC (ABBV). | Below is Validea's guru fundamental report for ABBVIE INC (ABBV). Of the 22 guru strategies we follow, ABBV rates highest using our P/B Growth Investor model based on the published strategy of Partha Mohanram. Detailed Analysis of ABBVIE INC ABBV Guru Analysis ABBV Fundamental Analysis More Information on Partha Mohanram Partha Mohanram Portfolio About Partha Mohanram: Sometimes the best investing strategies don't come from the world of investing. |
21971.0 | 2023-12-08 00:00:00 UTC | Pharma Stock Roundup: ABBV to Buy CERE, JNJ's 2024 View, LLY & NVS Get FDA Nod | ABBV | https://www.nasdaq.com/articles/pharma-stock-roundup%3A-abbv-to-buy-cere-jnjs-2024-view-lly-nvs-get-fda-nod | nan | nan | This week, AbbVie ABBV announced a definitive agreement to acquire neuroscience drugmaker Cerevel Therapeutics for $8.7 billion. The FDA approved Novartis’ NVS rare blood disorder drug, Fabhalta (iptacopan) and Eli Lilly’s LLY Jaypirca for its second leukemia indication. J&J JNJ announced sales and earnings growth expectations for 2024 and the 2025-2030 period. Pfizer PFE decided not to move forward with phase III studies on its twice-daily weight loss pill, danuglipron, due to side effects seen in a phase IIb study.
Recap of the Week’s Most Important Stories
AbbVie to Buy Cerevel Therapeutics: AbbVie offered to buy Cerevel Therapeutics for $45 per share in cash, which adds up to a total equity value of approximately $8.7 billion. The acquisition will strengthen AbbVie’s neuroscience pipeline by adding CERE’s novel pipeline candidatesbeing studied across a range of psychiatric and neurological disorders, including schizophrenia, Parkinson's disease (PD) and mood disorders.
Cerevel’s key pipeline candidates are emraclidine (phase II for schizophrenia), tavapadon (phase II for PD) and darigabat (phase II for epilepsy and panic disorder). Data from studies on emraclidine, darigabat and tavapadon are expected in 2024. The transaction is expected to close in mid-2024, subject to shareholder and regulatory approval. The boards of directors of both companies have approved the transaction.
Pfizer’s Obesity Drug Not to Move to Phase III Following Side-Effects: Pfizer announced top-line data from a phase IIb study evaluating its twice-daily oral GLP-1R agonist candidate, danuglipron, in adults with obesity. Top-line data from the study showed that twice-daily dosing of danuglipron resulted in mean placebo-adjusted weight reductions ranging from -8% to -13% at 32 weeks and -5% to -9.5% at 26 weeks. However, high rates of gastrointestinal side effects were observed in the study.
Discontinuation rates were greater than 50%, seen across all doses, much higher than approximately 40% with placebo. Pfizer thus decided not to move forward with phase III studies on the twice-daily formulation of danuglipron. The pharmacokinetic study of the once-daily formulation of danuglipron continues. Depending on the outcome of the once-daily formulation, it will decide on the path forward.
The failure of the phase IIb study on twice-daily oral formulation of danuglipron is a significant blow to Pfizer’s efforts to take a share of the growing market of GLP-1 drugs for treating obesity.
FDA Approves Novartis’ Fabhalta (iptacopan) for PNH: The FDA approved Novartis’ iptacopan for the treatment of adults with paroxysmal nocturnal hemoglobinuria (PNH), a rare and chronic blood disorder. Iptacopan, to be marketed by the name of Fabhalta, became the first oral monotherapy approved for treating adults with PNH. Fabhalta’s approval is based on data from the APPLY-PNH study in adults with PNH and anemia despite prior anti-C5 treatment and supported by the APPOINT-PNH study in complement inhibitor-naïve patients.
Novartis expects to launch Fabhalta for PNH in December.The drug is also being evaluated for a range of complement-mediated diseases, including immunoglobulin A nephropathy (IgA nephropathy), C3 glomerulopathy (C3G), immune complex membranoproliferative glomerulonephritis (IC-MPGN) and atypical hemolytic uremic syndrome (aHUS).
FDA Approves Lilly’s Jaypirca for 2nd Indication: The FDA granted accelerated approval to Lilly’s BTK inhibitor Jaypirca (pirtobrutinib) for the second indication, chronic lymphocytic leukemia (CLL). Jaypirca/pirtobrutinib was approved for the first indication, mantle cell lymphoma, in the United States in January 2023. The approval of Jaypirca (100 mg & 50 mg tablets)is for adult patients with CLL or small lymphocytic lymphoma who have received at least two lines of therapy, including a BTK inhibitor and a BCL-2 inhibitor. The decision was based on data from the phase I/II BRUIN study, which showed that treatment with Jaypirca led to an overall response rate of 72% in the above-mentioned patient group.
J&J’s 2024 and Long-Term Outlook: J&J announced that it expects operational sales growth in the range of 5-6% in 2024. Adjusted earnings are expected in the band of $10.55-$10.75 per share in 2024, which represents operational growth of 7.3% at the mid-point.
In 2025, operational sales are expected to grow around 3% due to the expected launch of biosimilar versions of its blockbuster immunology drug, Stelara, in the year. Stelara recorded sales of more than $8 billion in the first nine months of 2023.
J&J expects sales to pick up thereafter at a compound annual growth rate (CAGR) of 5-7% for the 2025-2030 period. In its Innovative Medicine unit, J&J expects operational sales to witness a CAGR of 5-7% for the 2025-2030 period. In the MedTech segment, operational sales are expected to grow in the upper range of its market, which is projected to rise 5-7% through 2027.
The FDA granted Breakthrough Therapy Designation (BTD) to J&J’s pipeline candidate, TAR-200, for treating patients with Bacillus Calmette-Guérin (BCG)-unresponsive, high-risk non-muscle-invasive bladder cancer (HR-NMIBC) who are ineligible for, or decline, radical cystectomy. The BTD is based on data from the phase IIb SunRISe-1 phase IIb study. Data from the study presented at the European Society for Medical Oncology showed that treatment with TAR-200 led to a 77% complete response rate in the above-mentioned patient group.
Roche to Acquire Obesity Drugmaker: Roche entered into a definitive agreement to acquire private biotech, Carmot Therapeutics, which is making subcutaneous and oral incretins to treat obesity. Carmot Therapeutics’ lead pipeline candidate is CT-388, which is a dual GLP-1/GIP receptor agonist being developed for treating obesity in patients with and without type II diabetes. Data from a phase Ib study on lead pipeline candidate, CT-388, demonstrated substantial weight loss, which suggests it can treat obesity with a differentiated profile.
It is also developing a once-daily oral, small molecule GLP-1 receptor agonist (CT-996 in phase I) and a once-daily subcutaneous injectable, dual GLP-1/GIP receptor agonist (CT-868 in phase II) for obesity.
For the acquisition, Roche will make a payment of $2.7 billion to Carmot Therapeutics in cash. In addition, Carmot Therapeutics will be entitled to potential milestone payments of up to $400 million.
The NYSE ARCA Pharmaceutical Index declined 0.59% in the last five trading sessions.
Large Cap Pharmaceuticals Industry 5YR % Return
Large Cap Pharmaceuticals Industry 5YR % Return
Here’s how the eight major stocks performed in the last five trading sessions.
Image Source: Zacks Investment Research
In the last five trading sessions, AbbVie rose the most (4.0%) while Pfizer declined the most (6.0%).
In the past six months, Lilly has risen the most (32.0%), while Pfizer has declined the most (26.8%).
(See the last pharma stock roundup here:ABBV to Buy Immunogen, NVS Ups Mid-Term Sales View & More)
What's Next in the Pharma World?
Watch for pipeline and regulatory updates next week.
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The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. | This week, AbbVie ABBV announced a definitive agreement to acquire neuroscience drugmaker Cerevel Therapeutics for $8.7 billion. Recap of the Week’s Most Important Stories AbbVie to Buy Cerevel Therapeutics: AbbVie offered to buy Cerevel Therapeutics for $45 per share in cash, which adds up to a total equity value of approximately $8.7 billion. The acquisition will strengthen AbbVie’s neuroscience pipeline by adding CERE’s novel pipeline candidatesbeing studied across a range of psychiatric and neurological disorders, including schizophrenia, Parkinson's disease (PD) and mood disorders. | Click to get this free report Novartis AG (NVS) : Free Stock Analysis Report Johnson & Johnson (JNJ) : Free Stock Analysis Report Pfizer Inc. (PFE) : Free Stock Analysis Report Eli Lilly and Company (LLY) : Free Stock Analysis Report AbbVie Inc. (ABBV) : Free Stock Analysis Report To read this article on Zacks.com click here. This week, AbbVie ABBV announced a definitive agreement to acquire neuroscience drugmaker Cerevel Therapeutics for $8.7 billion. Recap of the Week’s Most Important Stories AbbVie to Buy Cerevel Therapeutics: AbbVie offered to buy Cerevel Therapeutics for $45 per share in cash, which adds up to a total equity value of approximately $8.7 billion. | Click to get this free report Novartis AG (NVS) : Free Stock Analysis Report Johnson & Johnson (JNJ) : Free Stock Analysis Report Pfizer Inc. (PFE) : Free Stock Analysis Report Eli Lilly and Company (LLY) : Free Stock Analysis Report AbbVie Inc. (ABBV) : Free Stock Analysis Report To read this article on Zacks.com click here. This week, AbbVie ABBV announced a definitive agreement to acquire neuroscience drugmaker Cerevel Therapeutics for $8.7 billion. Recap of the Week’s Most Important Stories AbbVie to Buy Cerevel Therapeutics: AbbVie offered to buy Cerevel Therapeutics for $45 per share in cash, which adds up to a total equity value of approximately $8.7 billion. | This week, AbbVie ABBV announced a definitive agreement to acquire neuroscience drugmaker Cerevel Therapeutics for $8.7 billion. Recap of the Week’s Most Important Stories AbbVie to Buy Cerevel Therapeutics: AbbVie offered to buy Cerevel Therapeutics for $45 per share in cash, which adds up to a total equity value of approximately $8.7 billion. The acquisition will strengthen AbbVie’s neuroscience pipeline by adding CERE’s novel pipeline candidatesbeing studied across a range of psychiatric and neurological disorders, including schizophrenia, Parkinson's disease (PD) and mood disorders. |
21972.0 | 2023-12-08 00:00:00 UTC | 3 High-Yielding Dividend Stocks That Are Near Their 52-Week Lows | ABBV | https://www.nasdaq.com/articles/3-high-yielding-dividend-stocks-that-are-near-their-52-week-lows-0 | nan | nan | Are you looking for some quality dividend stocks to buy right now? When it comes to investing, it's often a good idea to check out those that haven't been doing too well lately and are trading near their lows. If the businesses are in good shape, that can make for great buying opportunities because when stock prices are down, that means yields are up.
Three dividend stocks that have underperformed the S&P 500 this year and are trading near their lows are AbbVie (NYSE: ABBV), ExxonMobil (NYSE: XOM), and Cisco Systems (NASDAQ: CSCO). Here's a look at why you should consider adding these stocks to your portfolio today.
1. AbbVie
Pharmaceutical maker AbbVie is known for being a solid dividend stock. Dating back to when it was part of Abbott Laboratories, the company's streak of increasing dividends spans more than 50 consecutive years, making it a Dividend King. Even better, this is also a high-yielding stock that pays 4.3%, which is well above the S&P 500 average of 1.5%.
This year, however, hasn't been a great one for AbbVie with its shares down 11%. The healthcare stock is trading just 10% away from its 52-week low of $130.96. Granted, there isn't a whole lot of volatility when it comes to AbbVie, as it averages a beta of less than 0.5. But with the stock trading at just 13 times its estimated future earnings, there's definitely a case for this being a cheap stock to own right now.
Investors are feeling bearish on the stock since AbbVie's top-selling rheumatoid arthritis drug, Humira, has lost patent protection and its sales are down 29% this year amid rising competition. The company, however, has been turning to both its pipeline and acquisitions to keep growing. Immunology drugs Skyrizi and Rinvoq will make up the gap for Humira in the long run. AbbVie also recently announced plans to acquire oncology company ImmunoGen for $10 billion, which makes antibody-drug conjugates that specifically target cancer cells.
For long-term investors, AbbVie offers a solid mix of growth potential and dividend income that makes it an excellent buy right now.
2. ExxonMobil
Oil and gas giant ExxonMobil is trading within just a few dollars of its 52-week low of $98.02 as declining oil prices have made investors bearish on the industry recently. It offers a strong yield of 3.7% and can be another excellent source of dividend income. The company has also increased its dividend payments for 41 straight years.
In October, ExxonMobil announced plans to acquire rival Pioneer Natural Resources for $60 billion in an all-stock deal that would allow it to improve economies of scale and bring down its production costs. In the longer run, the company is also diversifying its operations, with plans to produce lithium from subsurface wells by 2027. It's a way for the business to give itself exposure to the electric vehicle market, where lithium is necessary for batteries.
ExxonMobil could be a volatile stock but this can be one of the best dividend stocks to own in the oil and gas industry. In the past 12 months, the company has generated more than $41 billion in profits. The stock also trades at a relatively modest 10 times its estimated profits.
3. Cisco Systems
Networking and communications giant Cisco Systems is another dependable dividend stock that investors can buy for cheap these days. It's a few dollars away from its 52-week low of $45.56, and its dividend currently yields 3.2%. Cisco doesn't have a long streak of raising its payouts, but it has done so for 12 consecutive years.
This year, the company made a big splash with plans to acquire cybersecurity analytics company Splunk for $28 billion. This advances the company's cybersecurity capabilities, as together the companies can help customers tackle threats and also prevent them.
Cisco's essential and stable products, which include routers, phones, and servers, make this a fairly safe tech stock to own. As companies continue to expand into the cloud and grow their operations digitally, Cisco is a trusted brand that they'll likely turn to.
Although this may not be an exciting stock to own, the company's strong brand makes it an ideal buy, especially as it's trading at a forward price-to-earnings multiple of less than 13.
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The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. | Investors are feeling bearish on the stock since AbbVie's top-selling rheumatoid arthritis drug, Humira, has lost patent protection and its sales are down 29% this year amid rising competition. AbbVie also recently announced plans to acquire oncology company ImmunoGen for $10 billion, which makes antibody-drug conjugates that specifically target cancer cells. Three dividend stocks that have underperformed the S&P 500 this year and are trading near their lows are AbbVie (NYSE: ABBV), ExxonMobil (NYSE: XOM), and Cisco Systems (NASDAQ: CSCO). | Three dividend stocks that have underperformed the S&P 500 this year and are trading near their lows are AbbVie (NYSE: ABBV), ExxonMobil (NYSE: XOM), and Cisco Systems (NASDAQ: CSCO). AbbVie Pharmaceutical maker AbbVie is known for being a solid dividend stock. This year, however, hasn't been a great one for AbbVie with its shares down 11%. | Three dividend stocks that have underperformed the S&P 500 this year and are trading near their lows are AbbVie (NYSE: ABBV), ExxonMobil (NYSE: XOM), and Cisco Systems (NASDAQ: CSCO). AbbVie Pharmaceutical maker AbbVie is known for being a solid dividend stock. This year, however, hasn't been a great one for AbbVie with its shares down 11%. | * They just revealed what they believe are the ten best stocks for investors to buy right now... and AbbVie wasn't one of them! Three dividend stocks that have underperformed the S&P 500 this year and are trading near their lows are AbbVie (NYSE: ABBV), ExxonMobil (NYSE: XOM), and Cisco Systems (NASDAQ: CSCO). AbbVie Pharmaceutical maker AbbVie is known for being a solid dividend stock. |
21973.0 | 2023-12-08 00:00:00 UTC | The Zacks Analyst Blog Highlights AbbVie, NIKE, BHP Group, CME Group and Block | ABBV | https://www.nasdaq.com/articles/the-zacks-analyst-blog-highlights-abbvie-nike-bhp-group-cme-group-and-block | nan | nan | For Immediate Release
Chicago, IL – December 8, 2023 – Zacks.com announces the list of stocks featured in the Analyst Blog. Every day the Zacks Equity Research analysts discuss the latest news and events impacting stocks and the financial markets. Stocks recently featured in the blog include: AbbVie Inc. ABBV, NIKE, Inc. NKE, BHP Group Ltd. BHP, CME Group Inc. CME and Block, Inc. SQ.
Here are highlights from Thursday’s Analyst Blog:
Top Stock Reports for AbbVie, NIKE and BHP
The Zacks Research Daily presents the best research output of our analyst team. Today's Research Daily features new research reports on 16 major stocks, including AbbVie Inc., NIKE, Inc. and BHP Group Ltd. These research reports have been hand-picked from the roughly 70 reports published by our analyst team today.
You can see all of today’s research reports here >>>
AbbVie’s shares have outperformed the Zacks Large Cap Pharmaceuticals industry over the past six months (+8.6% vs. +4.9%). The company has several new drugs in its portfolio with the potential to drive the top line and make up for lost Humira revenues.
Newer products, Skyrizi and Rinvoq, are performing extremely well, bolstered by approval in new indications, which should support top-line growth in the next few years. The company has several early/mid-stage candidates that have potential to drive long-term growth.
Though revenues are expected to decline in 2023, AbbVie expects to return to robust sales growth in 2025. However, the company faces several near-term headwinds like Humira’s loss of exclusivity, increasing competitive pressure on Imbruvica and economic pressure on Juvederm sales.
(You can read the full research report on AbbVie here >>>)
Shares of NIKE have outperformed the Zacks Shoes and Retail Apparel industry over the past six months (+10.1% vs. +4.7%). Continued progress on Consumer Direct Acceleration strategy, compelling product innovation and digital leadership have been drivers for the company.
This aided retail sales across Nike Direct and wholesale businesses in first-quarter fiscal 2024. The digital business has been gaining from robust consumer trends, including momentum in the NIKE mobile app led by improved traffic and increased member buying frequency. The company posted top and bottom-line growth in first-quarter fiscal 2024.
Backed by solid consumer momentum, a robust innovation pipeline and strong inventory, management provided a solid outlook for fiscal 2024. However, NIKE has been witnessing gross margin pressures owing to the rising inflation. Elevated demand creation expenses lead to higher SG&A expenses.
(You can read the full research report on NIKE here >>>)
Shares of BHP have gained +5.3% over the past six months against the Zacks Mining - Miscellaneous industry’s gain of +11.4%. The company’s fiscal 2024 iron ore production guidance is 254-264.5 Mt, indicating 1% year-over-year growth at the midpoint. Production of copper is expected to be 1,720-1,910 kt (5.7% year-over-year growth at the midpoint) and nickel at 77-87 kt (2.5%).
Iron ore prices have been low on weak demand in China. Hopes of a pickup in demand in China, owing to a fresh round of stimulus measures for boosting its struggling property sector have lifted prices lately. Going forward, iron ore prices will be supported by demand in the automotive sector, infrastructure and housing market.
Copper and nickel prices will be fueled by demand for electric vehicles. BHP’s investment in projects with a focus on future--facing commodities like copper, nickel and potash will aid growth. Efforts to make operations more efficient through technology will aid earnings.
(You can read the full research report on BHP here >>>)
Other noteworthy reports we are featuring today include CME Group Inc. and Block, Inc.
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The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. | Stocks recently featured in the blog include: AbbVie Inc. ABBV, NIKE, Inc. NKE, BHP Group Ltd. BHP, CME Group Inc. CME and Block, Inc. SQ. Here are highlights from Thursday’s Analyst Blog: Top Stock Reports for AbbVie, NIKE and BHP The Zacks Research Daily presents the best research output of our analyst team. Today's Research Daily features new research reports on 16 major stocks, including AbbVie Inc., NIKE, Inc. and BHP Group Ltd. | Stocks recently featured in the blog include: AbbVie Inc. ABBV, NIKE, Inc. NKE, BHP Group Ltd. BHP, CME Group Inc. CME and Block, Inc. SQ. Today's Research Daily features new research reports on 16 major stocks, including AbbVie Inc., NIKE, Inc. and BHP Group Ltd. Click to get this free report CME Group Inc. (CME) : Free Stock Analysis Report NIKE, Inc. (NKE) : Free Stock Analysis Report BHP Group Limited Sponsored ADR (BHP) : Free Stock Analysis Report AbbVie Inc. (ABBV) : Free Stock Analysis Report Block, Inc. (SQ) : Free Stock Analysis Report To read this article on Zacks.com click here. | Here are highlights from Thursday’s Analyst Blog: Top Stock Reports for AbbVie, NIKE and BHP The Zacks Research Daily presents the best research output of our analyst team. Today's Research Daily features new research reports on 16 major stocks, including AbbVie Inc., NIKE, Inc. and BHP Group Ltd. Click to get this free report CME Group Inc. (CME) : Free Stock Analysis Report NIKE, Inc. (NKE) : Free Stock Analysis Report BHP Group Limited Sponsored ADR (BHP) : Free Stock Analysis Report AbbVie Inc. (ABBV) : Free Stock Analysis Report Block, Inc. (SQ) : Free Stock Analysis Report To read this article on Zacks.com click here. | Here are highlights from Thursday’s Analyst Blog: Top Stock Reports for AbbVie, NIKE and BHP The Zacks Research Daily presents the best research output of our analyst team. Today's Research Daily features new research reports on 16 major stocks, including AbbVie Inc., NIKE, Inc. and BHP Group Ltd. Stocks recently featured in the blog include: AbbVie Inc. ABBV, NIKE, Inc. NKE, BHP Group Ltd. BHP, CME Group Inc. CME and Block, Inc. SQ. |
21974.0 | 2023-12-08 00:00:00 UTC | AbbVie's on an Acquisition Binge. Could Your Favorite Biotech Stock Be Next? | ABBV | https://www.nasdaq.com/articles/abbvies-on-an-acquisition-binge.-could-your-favorite-biotech-stock-be-next | nan | nan | These days, it seems like biotech buyout offers are falling from the sky. During the week ended Dec. 6, AbbVie (NYSE: ABBV) announced not one but two big acquisitions.
The pharma giant's latest big buyout offer is for Cerevel Therapeutics (NASDAQ: CERE), a clinical-stage company developing treatments for schizophrenia and other neurological conditions. Despite not having any approved products to sell yet, AbbVie offered Cerevel $8.7 billion in cash, or $45 per share.
AbbVie's offer came in about 22% above Cerevel's stock price when the market closed on Dec. 6 and 73% more than its closing price on Dec. 1.
On Nov. 30, AbbVie also made waves by agreeing to acquire ImmunoGen (NASDAQ: IMGN) for $10.1 billion, or $31.26 per share. This was an even juicier offer that valued the commercial-stage cancer drug developer 95% above its previous day's closing price.
Not just AbbVie
Patents that protect market exclusivity for prescription drugs are relatively short-lived. AbbVie's Humira had an incredible run, but billions in annual sales started evaporating in front of investors' eyes when lower-cost biosimilar versions launched in the U.S. earlier this year.
Patent cliffs are an industrywide issue that big pharmaceutical companies solve by partnering with less established drugmakers or acquiring them outright. Biopharmaceutical dealmaking tends to come in waves that peaked during the height of the COVID-19 pandemic and then collapsed in 2022.
AbbVie's recent offers for Cerevel Therapeutics and ImmunoGen suggest another wave of acquisitions is just around the corner. Could your favorite biotech be the next to attract a buyout offer that sends its stock price soaring?
To gauge the likelihood of your favorite biotech stock getting a buyout offer, you'll need to know what's inspiring big pharmaceutical companies these days.
DATE ACQUIRER COMPANY ACQUIRED FIELD COMMERCIAL OR CLINICAL STAGE TOTAL CONSIDERATION PRICE PER SHARE PREMIUM
12/6/23 AbbVie Cerevel Therapeutics Neurology Clinical $8.7 billion $45.00 22%
11/30/23 AbbVie ImmunoGen Oncology Commercial $10.1 billion $31.26 95%
10/3/23 Eli Lilly Point Biopharma Oncology Clinical $1.4 billion $12.50 87%
7/28/23 Biogen Reata Pharmaceuticals Neurology Commercial $7.3 billion $172.50
59%
Data source: Company press releases.
These are the four most recent $1 billion-plus biopharma deals that involved big premiums for publicly traded companies.
Here are some things they have in common.
Attraction 1: New neuroscience treatments
AbbVie's neuroscience division is becoming a major contributor to total sales following the approval of Vraylar by the U.S. Food and Drug Administration (FDA) for the treatment of major depressive disorder late last year. The pending acquisition of Cerevel Therapeutics gives it something it didn't have, a promising mid-clinical-stage candidate for the treatment of schizophrenia called emraclidine.
Today's treatments for schizophrenia are blockbuster drugs but they generally come with debilitating side effects that neurologists would like to avoid. Emraclidine is a next-generation modulator of muscarinic M4 receptors that could be a more tolerable solution for millions of schizophrenia patients.
Cerevel's lead candidate is still in a pair of phase 2 trials that were designed to support a new drug application, but commercial-stage drugmakers are attracting big buyout offers too. In July, Biogen agreed to pay $7.3 billion for Reata Pharmaceuticals and its recently approved treatment for Friedreich's ataxia called Skyclarys.
Friedreich's ataxia is a rare progressive disorder that affects roughly 5,000 Americans and Skyclarys is the first drug approved to treat the condition's root cause. This contrasts with Cerevel, which is developing a drug for millions of patients with schizophrenia. The biggest takeaway here for everyday investors is that big pharma companies appear hungry for new neuroscience drugs regardless of their FDA approval status or the size of their addressable patient populations.
Image source: Getty Images.
Attraction 2: New cancer therapies
If you're holding shares of an oncology-focused biotech, the odds of receiving a lucrative buyout offer are already better than average. Big pharma companies have buckets of cash to spend on new cancer drugs. In addition to recent offers from AbbVie and Eli Lilly, Pfizer offered Seagen, a cancer drug specialist, $43 billion in March.
In October, Eli Lilly became one of several big pharma companies to acquire a company developing radiopharmaceuticals. These are drugs that pair a radioactive isotope with a targeting protein that delivers radiation directly to tumor cells.
AbbVie's offer for ImmunoGen and Pfizer's offer for Seagen were inspired by antibody-drug conjugates (ADCs). These are proteins that deliver lethal chemotherapy payloads directly to tumor cells if they display specific antigens on their surface.
Biotechs are developing radiopharmaceuticals and ADCs are attracting buyout offers left and right. Plus, it doesn't seem to matter whether they're still in clinical-stage development or not. If you're holding shares of a company that's developing similar drugs, waiting around for a juicy buyout offer is probably the right decision.
10 stocks we like better than AbbVie
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Cory Renauer has no position in any of the stocks mentioned. The Motley Fool has positions in and recommends Cerevel Therapeutics, Pfizer, Point Biopharma Global, and Seagen. The Motley Fool recommends Biogen. The Motley Fool has a disclosure policy.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. | AbbVie's Humira had an incredible run, but billions in annual sales started evaporating in front of investors' eyes when lower-cost biosimilar versions launched in the U.S. earlier this year. During the week ended Dec. 6, AbbVie (NYSE: ABBV) announced not one but two big acquisitions. Despite not having any approved products to sell yet, AbbVie offered Cerevel $8.7 billion in cash, or $45 per share. | 12/6/23 AbbVie Cerevel Therapeutics Neurology Clinical $8.7 billion $45.00 22% 11/30/23 AbbVie ImmunoGen Oncology Commercial $10.1 billion $31.26 95% 10/3/23 Eli Lilly Point Biopharma Oncology Clinical $1.4 billion $12.50 87% 7/28/23 Biogen Reata Pharmaceuticals Neurology Commercial $7.3 billion $172.50 59% Data source: Company press releases. During the week ended Dec. 6, AbbVie (NYSE: ABBV) announced not one but two big acquisitions. Despite not having any approved products to sell yet, AbbVie offered Cerevel $8.7 billion in cash, or $45 per share. | 12/6/23 AbbVie Cerevel Therapeutics Neurology Clinical $8.7 billion $45.00 22% 11/30/23 AbbVie ImmunoGen Oncology Commercial $10.1 billion $31.26 95% 10/3/23 Eli Lilly Point Biopharma Oncology Clinical $1.4 billion $12.50 87% 7/28/23 Biogen Reata Pharmaceuticals Neurology Commercial $7.3 billion $172.50 59% Data source: Company press releases. In addition to recent offers from AbbVie and Eli Lilly, Pfizer offered Seagen, a cancer drug specialist, $43 billion in March. During the week ended Dec. 6, AbbVie (NYSE: ABBV) announced not one but two big acquisitions. | AbbVie's recent offers for Cerevel Therapeutics and ImmunoGen suggest another wave of acquisitions is just around the corner. During the week ended Dec. 6, AbbVie (NYSE: ABBV) announced not one but two big acquisitions. Despite not having any approved products to sell yet, AbbVie offered Cerevel $8.7 billion in cash, or $45 per share. |
21975.0 | 2023-12-07 00:00:00 UTC | Health Care Sector Update for 12/07/2023: ABBV, CERE, JNJ, MRK, LLY | ABBV | https://www.nasdaq.com/articles/health-care-sector-update-for-12-07-2023%3A-abbv-cere-jnj-mrk-lly | nan | nan | Health care stocks fell Thursday afternoon with the NYSE Health Care Index down 0.3% and the Health Care Select Sector SPDR Fund (XLV) shedding 0.1%.
The iShares Biotechnology ETF (IBB) rose 0.7%.
In corporate news, AbbVie (ABBV) agreed to buy Cerevel Therapeutics (CERE) for $45 a share in cash, representing a total equity value of $8.7 billion, the drugmakers said in a joint statement late Wednesday. AbbVie shares rose 0.8%, and Cerevel jumped 12% in recent Thursday trading.
Johnson & Johnson (JNJ), Merck (MRK) and Eli Lilly (LLY) shares fell after the Biden administration said Thursday it is launching measures to rein in health-care costs. The White House said it would use "march-in rights" to seize pharma patents if companies charge too much for drugs developed with government funds.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. | In corporate news, AbbVie (ABBV) agreed to buy Cerevel Therapeutics (CERE) for $45 a share in cash, representing a total equity value of $8.7 billion, the drugmakers said in a joint statement late Wednesday. AbbVie shares rose 0.8%, and Cerevel jumped 12% in recent Thursday trading. The White House said it would use "march-in rights" to seize pharma patents if companies charge too much for drugs developed with government funds. | AbbVie shares rose 0.8%, and Cerevel jumped 12% in recent Thursday trading. In corporate news, AbbVie (ABBV) agreed to buy Cerevel Therapeutics (CERE) for $45 a share in cash, representing a total equity value of $8.7 billion, the drugmakers said in a joint statement late Wednesday. Health care stocks fell Thursday afternoon with the NYSE Health Care Index down 0.3% and the Health Care Select Sector SPDR Fund (XLV) shedding 0.1%. | In corporate news, AbbVie (ABBV) agreed to buy Cerevel Therapeutics (CERE) for $45 a share in cash, representing a total equity value of $8.7 billion, the drugmakers said in a joint statement late Wednesday. AbbVie shares rose 0.8%, and Cerevel jumped 12% in recent Thursday trading. Health care stocks fell Thursday afternoon with the NYSE Health Care Index down 0.3% and the Health Care Select Sector SPDR Fund (XLV) shedding 0.1%. | In corporate news, AbbVie (ABBV) agreed to buy Cerevel Therapeutics (CERE) for $45 a share in cash, representing a total equity value of $8.7 billion, the drugmakers said in a joint statement late Wednesday. AbbVie shares rose 0.8%, and Cerevel jumped 12% in recent Thursday trading. Health care stocks fell Thursday afternoon with the NYSE Health Care Index down 0.3% and the Health Care Select Sector SPDR Fund (XLV) shedding 0.1%. |
21976.0 | 2023-12-07 00:00:00 UTC | Healthcare Gems: 3 Essential Long-Term Stock Picks | ABBV | https://www.nasdaq.com/articles/healthcare-gems%3A-3-essential-long-term-stock-picks | nan | nan | InvestorPlace - Stock Market News, Stock Advice & Trading Tips
Healthcare stocks are a great way for investors to achieve long-term wealth creation. The healthcare sector is essential to solving some of the world’s most pressing issues from heart disease, Alzheimer’s, and cancer.
And to be sure, there are a number of different healthcare companies that have outperformed the S&P 500 over the last decade. However, these companies are few and far between. Investors must choose wisely in order to prevent portfolio destruction.
According to the WHO, global healthcare spending reached a record $9 trillion in 2020, accounting for 11% of global GDP. As the global economy continues to recover from a post-pandemic world, these 3 healthcare stocks should not be ignored.
Now, let’s discuss the 3 best long-term healthcare stocks to buy!
Vertex Pharmaceuticals (VRTX)
Source: Pavel Kapysh / Shutterstock.com
Vertex Pharmaceuticals (NASDAQ:VRTX) is one of the best long-term healthcare stocks to buy. Often flying under the radar, Vertex continues to reward its shareholders with market beating returns. Over the last 5 years, Vertex’s stock has risen 105% vs the SP 500’s 72%.
Vertex is currently the leading provider of therapy addressing cystic fibrosis. Their FDA approved drug, Trikafta, is seeing continued momentum as sales growth beat analyst expectations. In Q3 2023, Vertex revenue grew 6% year-over-year (YOY) to $2.48 billion. Independently, Trikafta saw double digit sales growth of 13% YOY.
The company is not just seeing continued momentum with Trikafta, they’re developing other novel treatments on the path towards FDA approval. This includes their partnership on the brink of FDA approval with Crispr Therapeutics (NASDAQ:CRSP), leveraging their gene-editing technology to develop a novel treatment for sickle cell disease.
With $13.6 billion in cash and marketable securities, Vertex is the best no-brainer long-term healthcare stocks to buy.
UnitedHealth Group (UNH)
Source: Ken Wolter / Shutterstock.com
UnitedHealth Group (NYSE:UNH) is an American multinational healthcare and insurance company headquartered in Minnetonka, Minnesota. Impressively, they are the 11th largest company in the world by revenue.
UnitedHealth Group is another sleeper healthcare stock that has been on a tear recently. They averaged EPS growth of 15% over the last 5 years, and its dividend has grown substantially. For the FY22 fiscal year, revenue grew 13% YOY to $324.16 billion. Net income also grew 16% YOY to $20.12 billion, or $21.18 per share.
What makes UnitedHealth Group a relatively safe choice for long-term healthcare stock investors is that they are highly diversified. In Q3 2023, Optum Health and UnitedHealthcare saw strong double digit growth. CEO, Andrew Whitty is bullish on the company’s ability to provide ‘’diversified growth in the coming years.’’ So much so, apparently, that the company raised their FY 2023 EPS forecast from $23.60 to $23.75 per share to $24.85 to $25.00 per share.
AbbVie (ABBV)
Source: Valeriya Zankovych / Shutterstock.com
AbbVie (NYSE:ABBV) is one of the largest pharmaceutical companies in the world. The company went public in 2011 as a spin-off Abbott Laboratories. While they own a number of commercialized drugs, but their most notable one is Humira.
AbbVie’s stock has fallen 10% in 2023 due to sluggish sales and EPS growth. In Q3 2023, revenue fell 6% YOY to $13.93 billion. Revenue for their immunology portfolio also fell 11.3%, with Humira sales falling 36% respectively.
However, despite this and broader slowdowns in the healthcare sector, the company has remained resilient. With Humira sales growth slowing, CEO Richard Gonzalez is focused on diversifying away into other novel treatments. The company has signaled commitment to their shareholders in their latest quarter, raising their full year guidance. AbbVie raised their full year EPS guidance from $10.86 – $11.06 per share to $11.19 – $11.23 per share. This suggests a turnaround is likely in 2024, and investors should snap up this long-term healthcare stock pick before the new year.
On the date of publication, Terel Miles did not have (either directly or indirectly) any positions in the securities mentioned in this article. The opinions expressed in this article are those of the writer, subject to the InvestorPlace.com Publishing Guidelines.
Terel Miles is a contributing writer at InvestorPlace.com, with more than seven years of experience investing in the financial markets.
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The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. | AbbVie (ABBV) Source: Valeriya Zankovych / Shutterstock.com AbbVie (NYSE:ABBV) is one of the largest pharmaceutical companies in the world. AbbVie’s stock has fallen 10% in 2023 due to sluggish sales and EPS growth. AbbVie raised their full year EPS guidance from $10.86 – $11.06 per share to $11.19 – $11.23 per share. | AbbVie (ABBV) Source: Valeriya Zankovych / Shutterstock.com AbbVie (NYSE:ABBV) is one of the largest pharmaceutical companies in the world. AbbVie’s stock has fallen 10% in 2023 due to sluggish sales and EPS growth. AbbVie raised their full year EPS guidance from $10.86 – $11.06 per share to $11.19 – $11.23 per share. | AbbVie (ABBV) Source: Valeriya Zankovych / Shutterstock.com AbbVie (NYSE:ABBV) is one of the largest pharmaceutical companies in the world. AbbVie’s stock has fallen 10% in 2023 due to sluggish sales and EPS growth. AbbVie raised their full year EPS guidance from $10.86 – $11.06 per share to $11.19 – $11.23 per share. | AbbVie (ABBV) Source: Valeriya Zankovych / Shutterstock.com AbbVie (NYSE:ABBV) is one of the largest pharmaceutical companies in the world. AbbVie’s stock has fallen 10% in 2023 due to sluggish sales and EPS growth. AbbVie raised their full year EPS guidance from $10.86 – $11.06 per share to $11.19 – $11.23 per share. |
21977.0 | 2023-12-07 00:00:00 UTC | Health Care Sector Update for 12/07/2023: WBA, ABBV, CERE, JNJ, MRK, LLY, SLDB | ABBV | https://www.nasdaq.com/articles/health-care-sector-update-for-12-07-2023%3A-wba-abbv-cere-jnj-mrk-lly-sldb | nan | nan | Health care stocks fell late Thursday afternoon, with the NYSE Health Care Index down 0.2% and the Health Care Select Sector SPDR Fund (XLV) shedding 0.1%.
The iShares Biotechnology ETF (IBB) rose 0.7%.
In corporate news, Walgreens Boots Alliance (WBA) said Thursday it is offering expanded COVID-19 and flu testing and treatment options in the US. Its shares rose almost 8%.
AbbVie (ABBV) agreed to buy Cerevel Therapeutics (CERE) for $45 a share in cash, representing a total equity value of $8.7 billion, the drugmakers said in a joint statement late Wednesday. AbbVie shares rose 0.9%, and Cerevel jumped nearly 12% in recent Thursday trading.
Johnson & Johnson (JNJ), Merck (MRK) and Eli Lilly (LLY) shares fell after the Biden administration said Thursday it is launching measures to rein in health-care costs. The White House said it would use "march-in rights" to seize pharma patents if companies charge too much for drugs developed with government funds.
Solid Biosciences (SLDB) said the US Food and Drug Administration granted fast-track designation to SGT-003, the company's Duchenne muscular dystrophy gene therapy candidate. Its shares soared nearly 79%.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. | AbbVie (ABBV) agreed to buy Cerevel Therapeutics (CERE) for $45 a share in cash, representing a total equity value of $8.7 billion, the drugmakers said in a joint statement late Wednesday. AbbVie shares rose 0.9%, and Cerevel jumped nearly 12% in recent Thursday trading. In corporate news, Walgreens Boots Alliance (WBA) said Thursday it is offering expanded COVID-19 and flu testing and treatment options in the US. | AbbVie shares rose 0.9%, and Cerevel jumped nearly 12% in recent Thursday trading. AbbVie (ABBV) agreed to buy Cerevel Therapeutics (CERE) for $45 a share in cash, representing a total equity value of $8.7 billion, the drugmakers said in a joint statement late Wednesday. Health care stocks fell late Thursday afternoon, with the NYSE Health Care Index down 0.2% and the Health Care Select Sector SPDR Fund (XLV) shedding 0.1%. | AbbVie shares rose 0.9%, and Cerevel jumped nearly 12% in recent Thursday trading. AbbVie (ABBV) agreed to buy Cerevel Therapeutics (CERE) for $45 a share in cash, representing a total equity value of $8.7 billion, the drugmakers said in a joint statement late Wednesday. Health care stocks fell late Thursday afternoon, with the NYSE Health Care Index down 0.2% and the Health Care Select Sector SPDR Fund (XLV) shedding 0.1%. | AbbVie shares rose 0.9%, and Cerevel jumped nearly 12% in recent Thursday trading. AbbVie (ABBV) agreed to buy Cerevel Therapeutics (CERE) for $45 a share in cash, representing a total equity value of $8.7 billion, the drugmakers said in a joint statement late Wednesday. Health care stocks fell late Thursday afternoon, with the NYSE Health Care Index down 0.2% and the Health Care Select Sector SPDR Fund (XLV) shedding 0.1%. |
21978.0 | 2023-12-07 00:00:00 UTC | AbbVie's $8.7 bln bet on Cerevel is risky but smart, analysts say | ABBV | https://www.nasdaq.com/articles/abbvies-%248.7-bln-bet-on-cerevel-is-risky-but-smart-analysts-say | nan | nan | By Bhanvi Satija and Khushi Mandowara
Dec 7 (Reuters) - AbbVie's ABBV.N decision to buy Cerevel Therapeutics CERE.O before key data on the drug developer's experimental schizophrenia treatment may have helped it avoid a potential bidding war but comes with several risks, analysts said.
North Chicago, Illinois-based AbbVie said late Wednesday it would buy Cerevel for $8.7 billion, gaining a portfolio of drugs being tested for a range of neurological conditions, including emraclidine for schizophrenia.
"Boldly buying Cerevel now avoids a possible bidding war post-data," Stifel analysts wrote in a note.
Cerevel is still testing emraclidine in mid-stage studies, meaning the deal is not "de-risked" since the treatment could fail in trials, analysts said.
"With this deal, however, AbbVie would be taking on development risk given that Cerevel has not shown much data for their lead asset, emraclidine," Wells Fargo analyst Mohit Bansal said.
Adding to concerns, schizophrenia drug trials have had a historically higher chance of failure compared to most other disease spaces, and Cerevel's rival Karuna Therapeutics KRTX.O has a two-year lead on emraclidine.
But the payoff could be high, analysts and investors said.
"They (Abbvie) wanted to get ahead of the data because it may have made the asset more expensive," said Evan Seigerman, BMO Capital Markets analyst.
"If the data was good, it would have made the process even more competitive," he said. At least two other investors and analysts shared similar views.
AbbVie has been looking to bolster sales and replace revenue as its blockbuster arthritis drug Humira faces a raft of new competition.
The drugmaker expects emraclidine to retain market exclusivity until early 2040s, its executives told investors on a conference call on Thursday.
With a portfolio that has two other experimental neurological drugs for Alzheimer's and Parkinson's disease, Cerevel makes an attractive target, Jeff Jonas, a portfolio manager at Gabelli Funds, said.
"I think it's a very logical deal. AbbVie's already in schizophrenia and Parkinson's, and to a certain extent, into Alzheimer's. This is building their long term pipelines since all these things are still two plus years away from market," Jonas added.
AbbVie to focus on smaller deals after buying spree nL4N3D23NY
Cerevel options trading surge before AbbVie deal news raises eyebrows nL1N3D203M
(Reporting by Bhanvi Satija and Khushi Mandowara in Bengaluru; Writing by Manas Mishra; Editing by Krishna Chandra Eluri)
((Manas.Mishra@thomsonreuters.com; www.twitter.com/Manaswrites15;))
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. | By Bhanvi Satija and Khushi Mandowara Dec 7 (Reuters) - AbbVie's ABBV.N decision to buy Cerevel Therapeutics CERE.O before key data on the drug developer's experimental schizophrenia treatment may have helped it avoid a potential bidding war but comes with several risks, analysts said. North Chicago, Illinois-based AbbVie said late Wednesday it would buy Cerevel for $8.7 billion, gaining a portfolio of drugs being tested for a range of neurological conditions, including emraclidine for schizophrenia. "With this deal, however, AbbVie would be taking on development risk given that Cerevel has not shown much data for their lead asset, emraclidine," Wells Fargo analyst Mohit Bansal said. | By Bhanvi Satija and Khushi Mandowara Dec 7 (Reuters) - AbbVie's ABBV.N decision to buy Cerevel Therapeutics CERE.O before key data on the drug developer's experimental schizophrenia treatment may have helped it avoid a potential bidding war but comes with several risks, analysts said. North Chicago, Illinois-based AbbVie said late Wednesday it would buy Cerevel for $8.7 billion, gaining a portfolio of drugs being tested for a range of neurological conditions, including emraclidine for schizophrenia. "With this deal, however, AbbVie would be taking on development risk given that Cerevel has not shown much data for their lead asset, emraclidine," Wells Fargo analyst Mohit Bansal said. | By Bhanvi Satija and Khushi Mandowara Dec 7 (Reuters) - AbbVie's ABBV.N decision to buy Cerevel Therapeutics CERE.O before key data on the drug developer's experimental schizophrenia treatment may have helped it avoid a potential bidding war but comes with several risks, analysts said. "With this deal, however, AbbVie would be taking on development risk given that Cerevel has not shown much data for their lead asset, emraclidine," Wells Fargo analyst Mohit Bansal said. AbbVie to focus on smaller deals after buying spree nL4N3D23NY Cerevel options trading surge before AbbVie deal news raises eyebrows nL1N3D203M (Reporting by Bhanvi Satija and Khushi Mandowara in Bengaluru; Writing by Manas Mishra; Editing by Krishna Chandra Eluri) ((Manas.Mishra@thomsonreuters.com; www.twitter.com/Manaswrites15;)) The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. | By Bhanvi Satija and Khushi Mandowara Dec 7 (Reuters) - AbbVie's ABBV.N decision to buy Cerevel Therapeutics CERE.O before key data on the drug developer's experimental schizophrenia treatment may have helped it avoid a potential bidding war but comes with several risks, analysts said. North Chicago, Illinois-based AbbVie said late Wednesday it would buy Cerevel for $8.7 billion, gaining a portfolio of drugs being tested for a range of neurological conditions, including emraclidine for schizophrenia. "With this deal, however, AbbVie would be taking on development risk given that Cerevel has not shown much data for their lead asset, emraclidine," Wells Fargo analyst Mohit Bansal said. |
21979.0 | 2023-12-07 00:00:00 UTC | Bain scores over tenfold return with $8.7 billion Cerevel sale | ABBV | https://www.nasdaq.com/articles/bain-scores-over-tenfold-return-with-%248.7-billion-cerevel-sale | nan | nan | By Greg Roumeliotis
Dec 7 (Reuters) - Private equity firm Bain Capital stands to make more than 10 times the $250 million it invested in Cerevel Therapeutics Holdings Inc CERE.O following the neurology-focused drug developer's $8.7 billion sale to AbbVie Inc ABBV.N, according to regulatory filings.
Boston-based Bain committed $350 million in 2018 to carve Cambridge, Massachusetts-based Cerevel out of Pfizer Inc PFE.N, but only $250 million of that was drawn, the filings show. The deal with AbbVie, announced on Tuesday, now values Bain's 36.5% stake in Cerevel at about $2.7 billion.
This more than tenfold return is significantly higher than the private equity industry's average return on invested capital in the healthcare sector of 2.9 times, according to investment advisor Cambridge Associates.
A Bain spokesperson declined to comment.
Bain's success reflects the high stakes of its bet on Cerevel's drug portfolio. It is developing medicines for Alzheimer's, Parkinson's, psychosis, epilepsy and panic disorder. Its experimental drug emraclidine is in mid-stage trials as a treatment for schizophrenia that will yield data the company hopes can be used to seek regulatory approval.
Bain and Pfizer, which retained a 15% stake in Cerevel, took the company public in 2020 through the merger with a special purpose acquisition vehicle. It was one of the few such deals to have proved successful, as most companies that went public through that route in the past three years now trade at a fraction of their deal value.
Bain, which has about $180 billion in assets under management, is one of the private equity industry's most prolific investors in the healthcare sector, completing more than 940 deals in the space since 1984.
EXCLUSIVE-AbbVie nears roughly $8 billion deal for drug developer Cerevel-sources
(Reporting by Greg Roumeliotis in New York; Editing by Will Dunham)
((Greg.Roumeliotis@thomsonreuters.com; +1 646 223 6022))
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. | By Greg Roumeliotis Dec 7 (Reuters) - Private equity firm Bain Capital stands to make more than 10 times the $250 million it invested in Cerevel Therapeutics Holdings Inc CERE.O following the neurology-focused drug developer's $8.7 billion sale to AbbVie Inc ABBV.N, according to regulatory filings. The deal with AbbVie, announced on Tuesday, now values Bain's 36.5% stake in Cerevel at about $2.7 billion. EXCLUSIVE-AbbVie nears roughly $8 billion deal for drug developer Cerevel-sources (Reporting by Greg Roumeliotis in New York; Editing by Will Dunham) ((Greg.Roumeliotis@thomsonreuters.com; +1 646 223 6022)) The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. | By Greg Roumeliotis Dec 7 (Reuters) - Private equity firm Bain Capital stands to make more than 10 times the $250 million it invested in Cerevel Therapeutics Holdings Inc CERE.O following the neurology-focused drug developer's $8.7 billion sale to AbbVie Inc ABBV.N, according to regulatory filings. EXCLUSIVE-AbbVie nears roughly $8 billion deal for drug developer Cerevel-sources (Reporting by Greg Roumeliotis in New York; Editing by Will Dunham) ((Greg.Roumeliotis@thomsonreuters.com; +1 646 223 6022)) The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. The deal with AbbVie, announced on Tuesday, now values Bain's 36.5% stake in Cerevel at about $2.7 billion. | By Greg Roumeliotis Dec 7 (Reuters) - Private equity firm Bain Capital stands to make more than 10 times the $250 million it invested in Cerevel Therapeutics Holdings Inc CERE.O following the neurology-focused drug developer's $8.7 billion sale to AbbVie Inc ABBV.N, according to regulatory filings. EXCLUSIVE-AbbVie nears roughly $8 billion deal for drug developer Cerevel-sources (Reporting by Greg Roumeliotis in New York; Editing by Will Dunham) ((Greg.Roumeliotis@thomsonreuters.com; +1 646 223 6022)) The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. The deal with AbbVie, announced on Tuesday, now values Bain's 36.5% stake in Cerevel at about $2.7 billion. | By Greg Roumeliotis Dec 7 (Reuters) - Private equity firm Bain Capital stands to make more than 10 times the $250 million it invested in Cerevel Therapeutics Holdings Inc CERE.O following the neurology-focused drug developer's $8.7 billion sale to AbbVie Inc ABBV.N, according to regulatory filings. The deal with AbbVie, announced on Tuesday, now values Bain's 36.5% stake in Cerevel at about $2.7 billion. EXCLUSIVE-AbbVie nears roughly $8 billion deal for drug developer Cerevel-sources (Reporting by Greg Roumeliotis in New York; Editing by Will Dunham) ((Greg.Roumeliotis@thomsonreuters.com; +1 646 223 6022)) The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. |
21980.0 | 2023-12-07 00:00:00 UTC | Abbvie to focus on smaller deals after Cerevel and ImmunoGen buyout | ABBV | https://www.nasdaq.com/articles/abbvie-to-focus-on-smaller-deals-after-cerevel-and-immunogen-buyout | nan | nan | Adds details from conference call and background throughout, analyst comment in paragraph 8
Dec 7 (Reuters) - U.S. drugmaker AbbVie ABBV.N said on Thursday it intends to focus on smaller deals to support its growth through the next decade, after it struck two multibillion dollar deals in the past week to acquire Cerevel Therapeutics CERE.O and ImmunoGen IMGN.O.
"I would not anticipate similar sized transactions for the foreseeable future," said AbbVie's Chief Operating Officer Robert Michael on a conference call, referring to the company's $8.7 billion buyout of Cerevel Therapeutics CERE.O announced on Wednesday.
AbbVie said it expects to return to "robust growth" in 2025, after its recent buying spree.
"With additions of Cerevel and ImmunoGen, AbbVie is in a stronger position to deliver sustainable long-term performance in the 2030s and beyond timeframe," said the company's Chairman and CEO Richard Gonzalez.
Some Wall Street analysts raised concerns that Cerevel's treatments under development might overlap with AbbVie's products, presenting a potential risk for the deal to get approval from the U.S. Federal Trade Commission.
Gonzalez said AbbVie has "confidence" the deal will get through the FTC.
AbbVie's Vraylar is approved for schizophrenia, bipolar disorder and major depressive disorder. The U.S. drugmaker also has its Parkinson's disease treatment Duodopa in the market and another candidate ABBV-951 in development.
"I think the schizophrenia overlap may warrant some additional scrutiny. However, it is a pretty fragmented kind of space," said BMO Capital analyst Evan Seigerman.
(Reporting by Bhanvi Satija and Khushi Mandowara in Bengaluru; Editing by Krishna Chandra Eluri)
((Bhanvi.Satija@thomsonreuters.com; Outside U.S. +91 9873062788;))
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. | "I would not anticipate similar sized transactions for the foreseeable future," said AbbVie's Chief Operating Officer Robert Michael on a conference call, referring to the company's $8.7 billion buyout of Cerevel Therapeutics CERE.O announced on Wednesday. "With additions of Cerevel and ImmunoGen, AbbVie is in a stronger position to deliver sustainable long-term performance in the 2030s and beyond timeframe," said the company's Chairman and CEO Richard Gonzalez. Some Wall Street analysts raised concerns that Cerevel's treatments under development might overlap with AbbVie's products, presenting a potential risk for the deal to get approval from the U.S. Federal Trade Commission. | "I would not anticipate similar sized transactions for the foreseeable future," said AbbVie's Chief Operating Officer Robert Michael on a conference call, referring to the company's $8.7 billion buyout of Cerevel Therapeutics CERE.O announced on Wednesday. "With additions of Cerevel and ImmunoGen, AbbVie is in a stronger position to deliver sustainable long-term performance in the 2030s and beyond timeframe," said the company's Chairman and CEO Richard Gonzalez. Some Wall Street analysts raised concerns that Cerevel's treatments under development might overlap with AbbVie's products, presenting a potential risk for the deal to get approval from the U.S. Federal Trade Commission. | Adds details from conference call and background throughout, analyst comment in paragraph 8 Dec 7 (Reuters) - U.S. drugmaker AbbVie ABBV.N said on Thursday it intends to focus on smaller deals to support its growth through the next decade, after it struck two multibillion dollar deals in the past week to acquire Cerevel Therapeutics CERE.O and ImmunoGen IMGN.O. "I would not anticipate similar sized transactions for the foreseeable future," said AbbVie's Chief Operating Officer Robert Michael on a conference call, referring to the company's $8.7 billion buyout of Cerevel Therapeutics CERE.O announced on Wednesday. Some Wall Street analysts raised concerns that Cerevel's treatments under development might overlap with AbbVie's products, presenting a potential risk for the deal to get approval from the U.S. Federal Trade Commission. | Adds details from conference call and background throughout, analyst comment in paragraph 8 Dec 7 (Reuters) - U.S. drugmaker AbbVie ABBV.N said on Thursday it intends to focus on smaller deals to support its growth through the next decade, after it struck two multibillion dollar deals in the past week to acquire Cerevel Therapeutics CERE.O and ImmunoGen IMGN.O. "I would not anticipate similar sized transactions for the foreseeable future," said AbbVie's Chief Operating Officer Robert Michael on a conference call, referring to the company's $8.7 billion buyout of Cerevel Therapeutics CERE.O announced on Wednesday. AbbVie said it expects to return to "robust growth" in 2025, after its recent buying spree. |
21981.0 | 2023-12-07 00:00:00 UTC | Looking for Dividend Growth in the New Year? 3 Magnificent Stocks to Buy Now. | ABBV | https://www.nasdaq.com/articles/looking-for-dividend-growth-in-the-new-year-3-magnificent-stocks-to-buy-now. | nan | nan | It's too early to predict what the market will do next year, but there's one way to guarantee some stock market gains. And that's by investing in dividend stocks.
These players offer you passive income -- even when their share prices are falling or the general market is declining. They represent returns you can count on.
For that reason, as you prepare your portfolio for the next investing year, it's a great idea to add a few dividend stocks to the mix. Which dividend stocks should you select?
Right now, three in particular are trading at bargain prices, offering you a great opportunity to scoop them up. I'm talking about healthcare giants AbbVie (NYSE: ABBV), Medtronic (NYSE: MDT), and Pfizer (NYSE: PFE). Plus, the sooner you get in on these players, the sooner you can start collecting dividends. Let's take a closer look at each one.
Image source: Getty Images.
1. AbbVie
AbbVie has made dividends its priority since its start, back in 2013 when it was spun off from Abbott Laboratories. Since then, it's grown its dividend a mind-boggling 285%. The company now pays a dividend of $6.20 per share, which represents a dividend yield of 4.29%, surpassing the 1.62% yield of the S&P 500.
The pharma company has continued to lift payments even now, as it's reached a difficult transition point: The company's top blockbuster lost exclusivity, opening it up to competition. At its peak last year, immunology drug Humira generated $21 billion in revenue, but these days, its revenue is on the decline as rivals offer cheaper alternatives.
AbbVie says that once earnings pick up, the company will further boost its dividend payments, and there's reason to believe this will happen. Here's why. AbbVie has prepared two newer immunology drugs -- Rinvoq and Skyrizi -- for potential approval in all of Humira's approved indications.
The company predicts they will actually surpass Humira's peak revenue in 2027. On top of that, AbbVie has a portfolio of top-selling drugs in other areas, from oncology to neuroscience.
Trading at about 12x forward earnings estimates, down from more than 14x earlier in the year, AbbVie looks like a buy right now.
2. Medtronic
Medtronic, with 46 years of dividend increases, is just a few years away from becoming a Dividend King -- a company that's lifted its dividend for at least 50 consecutive years. After so many years of Medtronic prioritizing dividend growth, it would be surprising if the company stopped now. So there's reason to be optimistic about collecting more and more passive income from Medtronic each year.
Plus, the company said in its recent earnings report that it aims to return at least 50% of free cash flow annually to shareholders. Right now, the medical-device giant pays a dividend of $2.76 per share with a yield of 3.50%, and that beats the yield of the S&P 500.
You'll like Medtronic for reasons beyond dividend growth, too. The company is a significant player in the medical-devices industry, with a presence in cardiovascular, neuroscience, diabetes, and medical surgical. Medtronic's growth slowed in recent years, but the company took action to transform the business by focusing on efficiency, divesting slower-growth businesses, and investing in high-growth technologies like artificial intelligence (AI).
Meanwhile, the stock trades for about 15x forward earnings estimates, down from 24 a couple of years ago -- even as growth is accelerating. Now is a great time to get in on this dividend story.
3. Pfizer
Investors have fled Pfizer stock because some of its top products are heading for declines. The coronavirus vaccine and treatment are posting decreasing sales due to lower demand at this later pandemic stage, and other blockbusters are losing exclusivity.
But here's why you shouldn't worry: As these declines and losses unfold, Pfizer is launching other new drugs that should compensate and even deliver further growth down the road. The company aims to launch 19 new drugs or indications over an 18-month period and already has completed 13. Pfizer says all of these new products could help the company deliver $84 billion in revenue by 2030.
On top of this, Pfizer is a great dividend stock to own. Growing the dividend is one of the three pillars of the company's capital-allocation strategy (the others are reinvesting in the business and making share repurchases). Today, Pfizer pays a dividend of $1.64 per share, representing a yield of 5.64%.
Pfizer shares have dropped 40% this year, and valuation metrics don't reflect the level of revenue the company may deliver several years down the road. But it's still fair to say, considering the huge wave of new products, that Pfizer looks like a top dirt cheap dividend stock to buy now.
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Adria Cimino has no position in any of the stocks mentioned. The Motley Fool has positions in and recommends Abbott Laboratories and Pfizer. The Motley Fool has a disclosure policy.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. | I'm talking about healthcare giants AbbVie (NYSE: ABBV), Medtronic (NYSE: MDT), and Pfizer (NYSE: PFE). AbbVie AbbVie has made dividends its priority since its start, back in 2013 when it was spun off from Abbott Laboratories. AbbVie says that once earnings pick up, the company will further boost its dividend payments, and there's reason to believe this will happen. | I'm talking about healthcare giants AbbVie (NYSE: ABBV), Medtronic (NYSE: MDT), and Pfizer (NYSE: PFE). AbbVie AbbVie has made dividends its priority since its start, back in 2013 when it was spun off from Abbott Laboratories. AbbVie says that once earnings pick up, the company will further boost its dividend payments, and there's reason to believe this will happen. | I'm talking about healthcare giants AbbVie (NYSE: ABBV), Medtronic (NYSE: MDT), and Pfizer (NYSE: PFE). AbbVie AbbVie has made dividends its priority since its start, back in 2013 when it was spun off from Abbott Laboratories. AbbVie says that once earnings pick up, the company will further boost its dividend payments, and there's reason to believe this will happen. | I'm talking about healthcare giants AbbVie (NYSE: ABBV), Medtronic (NYSE: MDT), and Pfizer (NYSE: PFE). AbbVie AbbVie has made dividends its priority since its start, back in 2013 when it was spun off from Abbott Laboratories. AbbVie says that once earnings pick up, the company will further boost its dividend payments, and there's reason to believe this will happen. |
21982.0 | 2023-12-07 00:00:00 UTC | AbbVie to focus on smaller deals after buying spree | ABBV | https://www.nasdaq.com/articles/abbvie-to-focus-on-smaller-deals-after-buying-spree | nan | nan | Adds details from conference call and background throughout, analyst comment in paragraph 8
Dec 7 (Reuters) - U.S. drugmaker AbbVie ABBV.N said on Thursday it intends to focus on smaller deals to support its growth through the next decade, after it struck two multibillion dollar deals in the past week to acquire Cerevel Therapeutics CERE.O and ImmunoGen IMGN.O.
"I would not anticipate similar sized transactions for the foreseeable future," said AbbVie's Chief Operating Officer Robert Michael on a conference call, referring to the company's $8.7 billion buyout of Cerevel Therapeutics CERE.O announced on Wednesday.
AbbVie said it expects to return to "robust growth" in 2025, after its recent buying spree.
"With additions of Cerevel and ImmunoGen, AbbVie is in a stronger position to deliver sustainable long-term performance in the 2030s and beyond timeframe," said the company's Chairman and CEO Richard Gonzalez.
Some Wall Street analysts raised concerns that Cerevel's treatments under development might overlap with AbbVie's products, presenting a potential risk for the deal to get approval from the U.S. Federal Trade Commission.
Gonzalez said AbbVie has "confidence" the deal will get through the FTC.
AbbVie's Vraylar is approved for schizophrenia, bipolar disorder and major depressive disorder. The U.S. drugmaker also has its Parkinson's disease treatment Duodopa in the market and another candidate ABBV-951 in development.
"I think the schizophrenia overlap may warrant some additional scrutiny. However, it is a pretty fragmented kind of space," said BMO Capital analyst Evan Seigerman.
(Reporting by Bhanvi Satija and Khushi Mandowara in Bengaluru; Editing by Krishna Chandra Eluri)
((Bhanvi.Satija@thomsonreuters.com; Outside U.S. +91 9873062788;))
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. | "I would not anticipate similar sized transactions for the foreseeable future," said AbbVie's Chief Operating Officer Robert Michael on a conference call, referring to the company's $8.7 billion buyout of Cerevel Therapeutics CERE.O announced on Wednesday. "With additions of Cerevel and ImmunoGen, AbbVie is in a stronger position to deliver sustainable long-term performance in the 2030s and beyond timeframe," said the company's Chairman and CEO Richard Gonzalez. Some Wall Street analysts raised concerns that Cerevel's treatments under development might overlap with AbbVie's products, presenting a potential risk for the deal to get approval from the U.S. Federal Trade Commission. | "I would not anticipate similar sized transactions for the foreseeable future," said AbbVie's Chief Operating Officer Robert Michael on a conference call, referring to the company's $8.7 billion buyout of Cerevel Therapeutics CERE.O announced on Wednesday. "With additions of Cerevel and ImmunoGen, AbbVie is in a stronger position to deliver sustainable long-term performance in the 2030s and beyond timeframe," said the company's Chairman and CEO Richard Gonzalez. Some Wall Street analysts raised concerns that Cerevel's treatments under development might overlap with AbbVie's products, presenting a potential risk for the deal to get approval from the U.S. Federal Trade Commission. | Adds details from conference call and background throughout, analyst comment in paragraph 8 Dec 7 (Reuters) - U.S. drugmaker AbbVie ABBV.N said on Thursday it intends to focus on smaller deals to support its growth through the next decade, after it struck two multibillion dollar deals in the past week to acquire Cerevel Therapeutics CERE.O and ImmunoGen IMGN.O. "I would not anticipate similar sized transactions for the foreseeable future," said AbbVie's Chief Operating Officer Robert Michael on a conference call, referring to the company's $8.7 billion buyout of Cerevel Therapeutics CERE.O announced on Wednesday. Some Wall Street analysts raised concerns that Cerevel's treatments under development might overlap with AbbVie's products, presenting a potential risk for the deal to get approval from the U.S. Federal Trade Commission. | Adds details from conference call and background throughout, analyst comment in paragraph 8 Dec 7 (Reuters) - U.S. drugmaker AbbVie ABBV.N said on Thursday it intends to focus on smaller deals to support its growth through the next decade, after it struck two multibillion dollar deals in the past week to acquire Cerevel Therapeutics CERE.O and ImmunoGen IMGN.O. "I would not anticipate similar sized transactions for the foreseeable future," said AbbVie's Chief Operating Officer Robert Michael on a conference call, referring to the company's $8.7 billion buyout of Cerevel Therapeutics CERE.O announced on Wednesday. AbbVie said it expects to return to "robust growth" in 2025, after its recent buying spree. |
21983.0 | 2023-12-07 00:00:00 UTC | Is AbbVie Stock a Buy Now? | ABBV | https://www.nasdaq.com/articles/is-abbvie-stock-a-buy-now-4 | nan | nan | Leading healthcare company AbbVie (NYSE: ABBV) appears to be hungry for deals to help it diversify its revenue streams. That's because it will need to become less reliant on Humira, its blockbuster rheumatoid arthritis drug, which is losing patent protection. One example of this came in 2020 when it closed on a massive $63 billion acquisition of Botox maker Allergan. To further diversify its operations, the company recently announced another acquisition.
AbbVie to acquire ImmunoGen
On Nov. 30, AbbVie announced plans to acquire oncology company ImmunoGen (NASDAQ: IMGN) for approximately $10.1 billion. It will fund the deal through cash. The acquisition will help strengthen AbbVie's portfolio, giving it a promising asset in Elahere. Elahere is an antibody-drug conjugate (ADC) that regulators have approved for treating platinum-resistant ovarian cancer. Analysts project that at its peak in 2029, the therapy will generate annual revenue of over $1.4 billion.
Unlike other cancer treatments and therapies which can damage other healthy cells in the process, ADCs target cancer cells and can lead to better results for patients. ImmunoGen has other ADCs in its pipeline, though nothing that's beyond phase 2 trials. But with years of experience working on them, the company would instantly improve AbbVie's growth opportunities within oncology.
AbbVie can benefit from more diversification
For AbbVie, the acquisition makes a lot of sense: Its lack of diversification is one reason investors aren't overly bullish on the healthcare stock these days. Its top-selling drug Humira saw a loss in sales this year due to rising competition related to patent expiration. And while the company has a plan to make up for that void with other immunology drugs, Skyrizi and Rinvoq, it hasn't been winning over investors; year to date, share prices of AbbVie are down 11%.
In its third-quarter results, immunology drugs generated $6.8 billion in sales, accounting for nearly half of the company's total revenue of $13.9 billion. This is despite AbbVie having products in many other segments, including eye care, neuroscience, aesthetics, and oncology. Its oncology business is its second-largest, but at $1.5 billion, the revenue the company's cancer drugs brought in was about one-fifth of immunology drug sales.
Acquiring ImmunoGen will help pad AbbVie's oncology revenue while also bolstering its pipeline in the process.
AbbVie is in a great position to spend on acquisitions
Despite the stock's struggles this year, I'm not concerned about AbbVie. This is a solid business that generates ample cash flow to support both its dividend (it now yields 4.3%) and its growth opportunities. Over the past 12 months, the company generated $24.7 billion in free cash flow, with $10.4 billion of that going to cover its dividend payments.
AbbVie's strong cash-generating operations enable it to take on ImmunoGen in a cash deal, without having to rely on stock offerings or taking on mammoth amounts of debt. If the company can continue to pump out such impressive amounts of free cash, don't be surprised to see more deals in the future as it continues to expand its business.
Is AbbVie stock a buy?
AbbVie was a solid stock to buy even before this deal. Acquiring ImmunoGen is a good move for the company. And it should remind investors that AbbVie, equipped with strong financials, will find opportunities to get bigger and more diverse.
The stock trades at a forward price-to-earnings multiple of only 13. At such a modest valuation, AbbVie is practically a no-brainer buy for the long haul.
10 stocks we like better than AbbVie
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David Jagielski has no position in any of the stocks mentioned. The Motley Fool has no position in any of the stocks mentioned. The Motley Fool has a disclosure policy.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. | Leading healthcare company AbbVie (NYSE: ABBV) appears to be hungry for deals to help it diversify its revenue streams. And while the company has a plan to make up for that void with other immunology drugs, Skyrizi and Rinvoq, it hasn't been winning over investors; year to date, share prices of AbbVie are down 11%. AbbVie to acquire ImmunoGen On Nov. 30, AbbVie announced plans to acquire oncology company ImmunoGen (NASDAQ: IMGN) for approximately $10.1 billion. | AbbVie to acquire ImmunoGen On Nov. 30, AbbVie announced plans to acquire oncology company ImmunoGen (NASDAQ: IMGN) for approximately $10.1 billion. Leading healthcare company AbbVie (NYSE: ABBV) appears to be hungry for deals to help it diversify its revenue streams. The acquisition will help strengthen AbbVie's portfolio, giving it a promising asset in Elahere. | AbbVie to acquire ImmunoGen On Nov. 30, AbbVie announced plans to acquire oncology company ImmunoGen (NASDAQ: IMGN) for approximately $10.1 billion. AbbVie can benefit from more diversification For AbbVie, the acquisition makes a lot of sense: Its lack of diversification is one reason investors aren't overly bullish on the healthcare stock these days. AbbVie is in a great position to spend on acquisitions Despite the stock's struggles this year, I'm not concerned about AbbVie. | AbbVie was a solid stock to buy even before this deal. * They just revealed what they believe are the ten best stocks for investors to buy right now... and AbbVie wasn't one of them! Leading healthcare company AbbVie (NYSE: ABBV) appears to be hungry for deals to help it diversify its revenue streams. |
21984.0 | 2023-12-07 00:00:00 UTC | AbbVie (ABBV) to Acquire Cerevel Therapeutics (CERE) for $8.7B | ABBV | https://www.nasdaq.com/articles/abbvie-abbv-to-acquire-cerevel-therapeutics-cere-for-%248.7b | nan | nan | AbbVie ABBV has announced a definitive agreement to acquire neuroscience drugmaker, Cerevel Therapeutics CERE, for $8.7 billion. This marks its second acquisition announcement in less than a fortnight.
The acquisition will strengthen AbbVie’s neuroscience pipeline by adding CERE’s novel pipeline candidates being studied across a range of psychiatric and neurological disorders, including schizophrenia, Parkinson's disease (PD) and mood disorders.
Per the deal terms, AbbVie will pay Cerevel Therapeutics $45 per share in cash, which adds up to a total equity value of approximately $8.7 billion. The purchase price of $45 represents a premium of almost 22% on Cerevel’s closing price of $36.93 on Dec 6. AbbVie/Cerevel made the merger announcement after market on Dec 6
Cerevel’s stock was up 15.8% in after-hours trading on Dec 6. The stock is up 33.2% year to date against the industry’s 9.1% decline.
Image Source: Zacks Investment Research
So far this year, AbbVie’s stock has lost 9.7% against the industry’s 5.0% rise.
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Cerevel’s lead pipeline candidate is emraclidine, a M4-selective positive allosteric modulator (PAM), which is being evaluated in two phase II studies for treating schizophrenia. In a phase I study, the next-generation antipsychotic has shown promising efficacy and safety in treating schizophrenia patients. Emraclidine also holds the potential to be developed for Alzheimer's disease psychosis.
Cerevel’s other key pipeline candidates are tavapadon, a first-in-class dopamine D1/D5 selective partial agonist, being developed in phase II for PD and darigabat, an α2/3/5-selective GABAA receptor PAM, in phase II for epilepsy and panic disorder. Data from studies on emraclidine, darigabat and tavapadon are expected in 2024.
The transaction is expected to close in mid-2024, subject to shareholder and regulatory approval. The boards of directors of both companies have approved the transaction.
AbbVie has a strong portfolio of neuroscience products, which boasts some key products like Botox (therapeutics) and Vraylar. In the first nine months, AbbVie clocked almost $5 billion in sales from its neuroscience drugs. Cerevel's clinical-stage pipeline candidates, which AbbVie believes have multibillion-dollar sales potential, complement its marketed neuroscience drugs portfolio, representing a significant long-term growth opportunity for AbbVie. However, some analysts found the move “bold” as AbbVie opted to buy Cerevel now rather than after top-line data read-outs in 2024, which would have been major catalysts for the stock.
On Nov 30, AbbVie announced a definitive agreement to acquire cancer biotech ImmunoGen IMGN for $10.1 billion, including its new ovarian cancer drug, Elahere. Elahere (mirvetuximab soravtansine) is a first-in-class antibody-drug conjugate (ADC) that was granted accelerated approval by the FDA in November 2022 for the treatment of platinum-resistant ovarian cancer (PROC).
Elahere is the first and only ADC approved for ovarian cancer. Immunogen recorded $212 million in Elahere product sales in the first nine months of 2023, which exceeded management’s expectations.
The purchase price for the deal was $31.26 per share in cash, which was quite a rich premium of almost 95% on Immunogen’s closing price of $16.06 on Nov 29.
Zacks Rank & A Key Pick
AbbVie and Cerevel have a Zacks Rank #3 (Hold). You can see the complete list of today’s Zacks #1 Rank stocks here.
A better-ranked large drugmaker worth considering is Novo Nordisk NVO, which has a Zacks Rank #1 (Strong Buy) at present.
Estimates for Novo Nordisk’s 2023 earnings per share have increased from $2.51 to $2.63 over the past 60 days. Estimates for 2024 have jumped from $2.95 per share to $3.12 over the same timeframe. NVO’s stock has surged 44.3% year to date.
Earnings of Novo Nordisk beat estimates in two of the last four quarters, missed in one and matched estimates in one, delivering an earnings surprise of 0.58% on average.
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The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. | However, some analysts found the move “bold” as AbbVie opted to buy Cerevel now rather than after top-line data read-outs in 2024, which would have been major catalysts for the stock. AbbVie ABBV has announced a definitive agreement to acquire neuroscience drugmaker, Cerevel Therapeutics CERE, for $8.7 billion. The acquisition will strengthen AbbVie’s neuroscience pipeline by adding CERE’s novel pipeline candidates being studied across a range of psychiatric and neurological disorders, including schizophrenia, Parkinson's disease (PD) and mood disorders. | AbbVie ABBV has announced a definitive agreement to acquire neuroscience drugmaker, Cerevel Therapeutics CERE, for $8.7 billion. On Nov 30, AbbVie announced a definitive agreement to acquire cancer biotech ImmunoGen IMGN for $10.1 billion, including its new ovarian cancer drug, Elahere. Click to get this free report Novo Nordisk A/S (NVO) : Free Stock Analysis Report ImmunoGen, Inc. (IMGN) : Free Stock Analysis Report AbbVie Inc. (ABBV) : Free Stock Analysis Report Cerevel Therapeutics Holdings, Inc. (CERE) : Free Stock Analysis Report To read this article on Zacks.com click here. | Cerevel's clinical-stage pipeline candidates, which AbbVie believes have multibillion-dollar sales potential, complement its marketed neuroscience drugs portfolio, representing a significant long-term growth opportunity for AbbVie. Click to get this free report Novo Nordisk A/S (NVO) : Free Stock Analysis Report ImmunoGen, Inc. (IMGN) : Free Stock Analysis Report AbbVie Inc. (ABBV) : Free Stock Analysis Report Cerevel Therapeutics Holdings, Inc. (CERE) : Free Stock Analysis Report To read this article on Zacks.com click here. AbbVie ABBV has announced a definitive agreement to acquire neuroscience drugmaker, Cerevel Therapeutics CERE, for $8.7 billion. | AbbVie ABBV has announced a definitive agreement to acquire neuroscience drugmaker, Cerevel Therapeutics CERE, for $8.7 billion. Zacks Rank & A Key Pick AbbVie and Cerevel have a Zacks Rank #3 (Hold). The acquisition will strengthen AbbVie’s neuroscience pipeline by adding CERE’s novel pipeline candidates being studied across a range of psychiatric and neurological disorders, including schizophrenia, Parkinson's disease (PD) and mood disorders. |
21985.0 | 2023-12-06 00:00:00 UTC | Is WisdomTree U.S. High Dividend ETF (DHS) a Strong ETF Right Now? | ABBV | https://www.nasdaq.com/articles/is-wisdomtree-u.s.-high-dividend-etf-dhs-a-strong-etf-right-now-9 | nan | nan | Designed to provide broad exposure to the Style Box - Large Cap Value category of the market, the WisdomTree U.S. High Dividend ETF (DHS) is a smart beta exchange traded fund launched on 06/16/2006.
What Are Smart Beta ETFs?
Market cap weighted indexes were created to reflect the market, or a specific segment of the market, and the ETF industry has traditionally been dominated by products based on this strategy.
A good option for investors who believe in market efficiency, market cap weighted indexes offer a low-cost, convenient, and transparent way of replicating market returns.
There are some investors, though, who think it's possible to beat the market with great stock selection; this group likely invests in another class of funds known as smart beta, which track non-cap weighted strategies.
These indexes attempt to select stocks that have better chances of risk-return performance, based on certain fundamental characteristics or a combination of such characteristics.
Even though this space provides many choices to investors--think one of the simplest methodologies like equal-weighting and more complicated ones like fundamental and volatility/momentum based weighting--not all have been able to deliver first-rate results.
Fund Sponsor & Index
Managed by Wisdomtree, DHS has amassed assets over $1.07 billion, making it one of the average sized ETFs in the Style Box - Large Cap Value. DHS, before fees and expenses, seeks to match the performance of the WisdomTree U.S. High Dividend Index.
The WisdomTree U.S. High Dividend Index is a fundamentally weighted index that measures the performance of companies with high dividend yields selected from the WisdomTree Dividend Index.
Cost & Other Expenses
Cost is an important factor in selecting the right ETF, and cheaper funds can significantly outperform their more expensive cousins if all other fundamentals are the same.
Annual operating expenses for DHS are 0.38%, which makes it on par with most peer products in the space.
It has a 12-month trailing dividend yield of 4.38%.
Sector Exposure and Top Holdings
While ETFs offer diversified exposure, which minimizes single stock risk, a deep look into a fund's holdings is a valuable exercise. And, most ETFs are very transparent products that disclose their holdings on a daily basis.
DHS's heaviest allocation is in the Energy sector, which is about 19.90% of the portfolio. Its Financials and Utilities round out the top three.
Looking at individual holdings, Exxon Mobil Corp (XOM) accounts for about 5.84% of total assets, followed by Chevron Corp (CVX) and Abbvie Inc (ABBV).
The top 10 holdings account for about 39.99% of total assets under management.
Performance and Risk
So far this year, DHS has lost about -4.28%, and is down about -5.72% in the last one year (as of 12/06/2023). During this past 52-week period, the fund has traded between $73.70 and $89.17.
The ETF has a beta of 0.81 and standard deviation of 14.60% for the trailing three-year period, making it a medium risk choice in the space. With about 382 holdings, it effectively diversifies company-specific risk.
Alternatives
WisdomTree U.S. High Dividend ETF is an excellent option for investors seeking to outperform the Style Box - Large Cap Value segment of the market. There are other ETFs in the space which investors could consider as well.
IShares Russell 1000 Value ETF (IWD) tracks Russell 1000 Value Index and the Vanguard Value ETF (VTV) tracks CRSP U.S. Large Cap Value Index. IShares Russell 1000 Value ETF has $51.76 billion in assets, Vanguard Value ETF has $101.19 billion. IWD has an expense ratio of 0.19% and VTV charges 0.04%.
Investors looking for cheaper and lower-risk options should consider traditional market cap weighted ETFs that aim to match the returns of the Style Box - Large Cap Value.
Bottom Line
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WisdomTree U.S. High Dividend ETF (DHS): ETF Research Reports
Chevron Corporation (CVX) : Free Stock Analysis Report
Exxon Mobil Corporation (XOM) : Free Stock Analysis Report
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Vanguard Value ETF (VTV): ETF Research Reports
iShares Russell 1000 Value ETF (IWD): ETF Research Reports
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The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. | Looking at individual holdings, Exxon Mobil Corp (XOM) accounts for about 5.84% of total assets, followed by Chevron Corp (CVX) and Abbvie Inc (ABBV). Click to get this free report WisdomTree U.S. High Dividend ETF (DHS): ETF Research Reports Chevron Corporation (CVX) : Free Stock Analysis Report Exxon Mobil Corporation (XOM) : Free Stock Analysis Report AbbVie Inc. (ABBV) : Free Stock Analysis Report Vanguard Value ETF (VTV): ETF Research Reports iShares Russell 1000 Value ETF (IWD): ETF Research Reports To read this article on Zacks.com click here. Designed to provide broad exposure to the Style Box - Large Cap Value category of the market, the WisdomTree U.S. High Dividend ETF (DHS) is a smart beta exchange traded fund launched on 06/16/2006. | Click to get this free report WisdomTree U.S. High Dividend ETF (DHS): ETF Research Reports Chevron Corporation (CVX) : Free Stock Analysis Report Exxon Mobil Corporation (XOM) : Free Stock Analysis Report AbbVie Inc. (ABBV) : Free Stock Analysis Report Vanguard Value ETF (VTV): ETF Research Reports iShares Russell 1000 Value ETF (IWD): ETF Research Reports To read this article on Zacks.com click here. Looking at individual holdings, Exxon Mobil Corp (XOM) accounts for about 5.84% of total assets, followed by Chevron Corp (CVX) and Abbvie Inc (ABBV). The WisdomTree U.S. High Dividend Index is a fundamentally weighted index that measures the performance of companies with high dividend yields selected from the WisdomTree Dividend Index. | Click to get this free report WisdomTree U.S. High Dividend ETF (DHS): ETF Research Reports Chevron Corporation (CVX) : Free Stock Analysis Report Exxon Mobil Corporation (XOM) : Free Stock Analysis Report AbbVie Inc. (ABBV) : Free Stock Analysis Report Vanguard Value ETF (VTV): ETF Research Reports iShares Russell 1000 Value ETF (IWD): ETF Research Reports To read this article on Zacks.com click here. Looking at individual holdings, Exxon Mobil Corp (XOM) accounts for about 5.84% of total assets, followed by Chevron Corp (CVX) and Abbvie Inc (ABBV). IShares Russell 1000 Value ETF (IWD) tracks Russell 1000 Value Index and the Vanguard Value ETF (VTV) tracks CRSP U.S. Large Cap Value Index. | Looking at individual holdings, Exxon Mobil Corp (XOM) accounts for about 5.84% of total assets, followed by Chevron Corp (CVX) and Abbvie Inc (ABBV). Click to get this free report WisdomTree U.S. High Dividend ETF (DHS): ETF Research Reports Chevron Corporation (CVX) : Free Stock Analysis Report Exxon Mobil Corporation (XOM) : Free Stock Analysis Report AbbVie Inc. (ABBV) : Free Stock Analysis Report Vanguard Value ETF (VTV): ETF Research Reports iShares Russell 1000 Value ETF (IWD): ETF Research Reports To read this article on Zacks.com click here. Designed to provide broad exposure to the Style Box - Large Cap Value category of the market, the WisdomTree U.S. High Dividend ETF (DHS) is a smart beta exchange traded fund launched on 06/16/2006. |
21986.0 | 2023-12-06 00:00:00 UTC | ABBV Factor-Based Stock Analysis | ABBV | https://www.nasdaq.com/articles/abbv-factor-based-stock-analysis-12 | nan | nan | Below is Validea's guru fundamental report for ABBVIE INC (ABBV). Of the 22 guru strategies we follow, ABBV rates highest using our P/B Growth Investor model based on the published strategy of Partha Mohanram. This growth model looks for low book-to-market stocks that exhibit characteristics associated with sustained future growth.
ABBVIE INC (ABBV) is a large-cap growth stock in the Biotechnology & Drugs industry. The rating using this strategy is 77% based on the firm’s underlying fundamentals and the stock’s valuation. A score of 80% or above typically indicates that the strategy has some interest in the stock and a score above 90% typically indicates strong interest.
The following table summarizes whether the stock meets each of this strategy's tests. Not all criteria in the below table receive equal weighting or are independent, but the table provides a brief overview of the strong and weak points of the security in the context of the strategy's criteria.
BOOK/MARKET RATIO: PASS
RETURN ON ASSETS: PASS
CASH FLOW FROM OPERATIONS TO ASSETS: PASS
CASH FLOW FROM OPERATIONS TO ASSETS VS. RETURN ON ASSETS: PASS
RETURN ON ASSETS VARIANCE: PASS
SALES VARIANCE: PASS
ADVERTISING TO ASSETS: PASS
CAPITAL EXPENDITURES TO ASSETS: FAIL
RESEARCH AND DEVELOPMENT TO ASSETS: FAIL
Detailed Analysis of ABBVIE INC
ABBV Guru Analysis
ABBV Fundamental Analysis
More Information on Partha Mohanram
Partha Mohanram Portfolio
About Partha Mohanram: Sometimes the best investing strategies don't come from the world of investing. Sometimes research that changes the investing world can come from the halls of academia. Partha Mohanram is a great example of this. While academic research has shown that value investing works over time, it has found the opposite for growth investing. Mohanram turned that research on its head by developing a growth model that produced significant market outperformance. His research paper "Separating Winners from Losers among Low Book-to-Market Stocks using Financial Statement Analysis" looked at the criteria that can be used to separate growth stocks that continue their upward trajectory from those that don't. Mohanram is currently the John H. Watson Chair in Value Investing at the University of Toronto and was previously an Associate Professor at the Columbia Business School.
Additional Research Links
Top Healthcare Stocks
Dividend Aristocrats2023
Wide Moat Stocks2023
High Insider Ownership Stocks
Factor-Based Stock Portfolios
About Validea: Validea is aninvestment researchservice that follows the published strategies of investment legends. Validea offers both stock analysis and model portfolios based on gurus who have outperformed the market over the long-term, including Warren Buffett, Benjamin Graham, Peter Lynch and Martin Zweig. For more information about Validea, click here
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. | Below is Validea's guru fundamental report for ABBVIE INC (ABBV). Of the 22 guru strategies we follow, ABBV rates highest using our P/B Growth Investor model based on the published strategy of Partha Mohanram. ABBVIE INC (ABBV) is a large-cap growth stock in the Biotechnology & Drugs industry. | Of the 22 guru strategies we follow, ABBV rates highest using our P/B Growth Investor model based on the published strategy of Partha Mohanram. Detailed Analysis of ABBVIE INC ABBV Guru Analysis ABBV Fundamental Analysis More Information on Partha Mohanram Partha Mohanram Portfolio About Partha Mohanram: Sometimes the best investing strategies don't come from the world of investing. Below is Validea's guru fundamental report for ABBVIE INC (ABBV). | Of the 22 guru strategies we follow, ABBV rates highest using our P/B Growth Investor model based on the published strategy of Partha Mohanram. Detailed Analysis of ABBVIE INC ABBV Guru Analysis ABBV Fundamental Analysis More Information on Partha Mohanram Partha Mohanram Portfolio About Partha Mohanram: Sometimes the best investing strategies don't come from the world of investing. Below is Validea's guru fundamental report for ABBVIE INC (ABBV). | Below is Validea's guru fundamental report for ABBVIE INC (ABBV). Of the 22 guru strategies we follow, ABBV rates highest using our P/B Growth Investor model based on the published strategy of Partha Mohanram. Detailed Analysis of ABBVIE INC ABBV Guru Analysis ABBV Fundamental Analysis More Information on Partha Mohanram Partha Mohanram Portfolio About Partha Mohanram: Sometimes the best investing strategies don't come from the world of investing. |
21987.0 | 2023-12-06 00:00:00 UTC | ImmunoGen (IMGN) Gets FDA Priority Review for Elahere sBLA | ABBV | https://www.nasdaq.com/articles/immunogen-imgn-gets-fda-priority-review-for-elahere-sbla | nan | nan | ImmunoGen, Inc. IMGN announced that the FDA accepted its supplemental biologics license application (“sBLA”), seeking to convert the accelerated approval for its sole marketed drug, Elahere (mirvetuximab soravtansine), to full approval for treating FRα-positive platinum-resistant ovarian cancer.
With the FDA granting a priority review to the sBLA, a decision from the regulatory body is expected on Apr 5, 2024.
The FDA granted priority review to the sBLA based on data from the phase III MIRASOL study, which evaluated Elahere in platinum-resistant ovarian cancer. Data from the same showed that treatment with Elahere led to statistically significant and clinically meaningful improvements in progression-free survival, objective response rate and overall survival versus single-agent chemotherapy.
The FDA approved Elahere under the accelerated pathway for FRα-positive platinum-resistant ovarian cancer in November 2022. This decision was based on data from the pivotal SORAYA study.
ImmunoGen has filed a marketing authorization application to the European Medicines Agency, seeking approval of Elahere in FRα-positive platinum-resistant ovarian cancer, with a potential nod expected in late 2024.
Shares of ImmunoGen have skyrocketed 488.9% year to date against the industry’s decline of 8.5%.
Image Source: Zacks Investment Research
ImmunoGen stock received a boost last week when drug giant AbbVie ABBV announced a definitive agreement to acquire the company for $10.1 billion. The transaction is expected to close in mid-2024, subject to shareholder and regulatory approval.
Under the terms of the deal, the purchase price offered by ABBV of $31.26 represents a premium of almost 95% on ImmunoGen’s closing price of $16.06 on Nov 29.
The acquisition is likely to diversify AbbVie’s oncology pipeline across solid tumors and hematologic malignancies.
Elahere recorded sales of $212 million in the first nine months of 2023. The drug is also being evaluated in multiple studies, both as monotherapy and in combination with other drugs, for ovarian cancer, which should expand the drug’s use in earlier lines of therapy and additional patient populations upon successful development and potential approval.
Zacks Rank & Other Stocks to Consider
ImmunoGen currently carries a Zacks Rank #2 (Buy).
Some other top-ranked stocks in the same sector are Avalo Therapeutics, Inc. AVTX and Harpoon Therapeutics, Inc. HARP, each sporting a Zacks Rank #1 (Strong Buy).You can see the complete list of today’s Zacks #1 Rank stocks here.
In the past 60 days, estimates for Avalo Therapeutics’ 2023 loss per share have narrowed from $4.12 to 40 cents. Meanwhile, loss per share estimates for 2024 have narrowed from $4.62 to 7 cents. Year-to-date, shares of AVTX have lost 98.8%.
Earnings of Avalo Therapeutics beat estimates in three of the last four quarters while missing the same on the remaining occasion. AVTX delivered a four-quarter average earnings surprise of 9.20%.
In the past 60 days, estimates for Harpoon Therapeutics’ 2023 loss per share have narrowed from $5.83 to $1.93. Meanwhile, loss per share estimates for 2024 have narrowed from $5.60 to $3.23. Year-to-date, shares of HARP have increased by 46.3%.
Earnings of Harpoon Therapeutics beat estimates in three of the last four quarters while missing the same on the remaining occasion. HARP delivered a four-quarter average earnings surprise of 47.59%.
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The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. | Image Source: Zacks Investment Research ImmunoGen stock received a boost last week when drug giant AbbVie ABBV announced a definitive agreement to acquire the company for $10.1 billion. Under the terms of the deal, the purchase price offered by ABBV of $31.26 represents a premium of almost 95% on ImmunoGen’s closing price of $16.06 on Nov 29. The acquisition is likely to diversify AbbVie’s oncology pipeline across solid tumors and hematologic malignancies. | Click to get this free report ImmunoGen, Inc. (IMGN) : Free Stock Analysis Report AbbVie Inc. (ABBV) : Free Stock Analysis Report Harpoon Therapeutics, Inc. (HARP) : Free Stock Analysis Report Avalo Therapeutics, Inc. (AVTX) : Free Stock Analysis Report To read this article on Zacks.com click here. Image Source: Zacks Investment Research ImmunoGen stock received a boost last week when drug giant AbbVie ABBV announced a definitive agreement to acquire the company for $10.1 billion. Under the terms of the deal, the purchase price offered by ABBV of $31.26 represents a premium of almost 95% on ImmunoGen’s closing price of $16.06 on Nov 29. | Click to get this free report ImmunoGen, Inc. (IMGN) : Free Stock Analysis Report AbbVie Inc. (ABBV) : Free Stock Analysis Report Harpoon Therapeutics, Inc. (HARP) : Free Stock Analysis Report Avalo Therapeutics, Inc. (AVTX) : Free Stock Analysis Report To read this article on Zacks.com click here. Image Source: Zacks Investment Research ImmunoGen stock received a boost last week when drug giant AbbVie ABBV announced a definitive agreement to acquire the company for $10.1 billion. Under the terms of the deal, the purchase price offered by ABBV of $31.26 represents a premium of almost 95% on ImmunoGen’s closing price of $16.06 on Nov 29. | Image Source: Zacks Investment Research ImmunoGen stock received a boost last week when drug giant AbbVie ABBV announced a definitive agreement to acquire the company for $10.1 billion. Under the terms of the deal, the purchase price offered by ABBV of $31.26 represents a premium of almost 95% on ImmunoGen’s closing price of $16.06 on Nov 29. The acquisition is likely to diversify AbbVie’s oncology pipeline across solid tumors and hematologic malignancies. |
21988.0 | 2023-12-06 00:00:00 UTC | EXCLUSIVE-AbbVie nears roughly $8 billion for drug developer Cerevel-sources | ABBV | https://www.nasdaq.com/articles/exclusive-abbvie-nears-roughly-%248-billion-for-drug-developer-cerevel-sources | nan | nan | NEW YORK, Dec 6 (Reuters) - AbbVie Inc ABBV.N is nearing an approximately $8 billion deal to acquire Cerevel Therapeutics Holdings Inc CERE.O, a developer of drugs for neurological conditions such as Parkinson's, people familiar with the matter said on Wednesday.
AbbVie is in talks to pay around $45 per share for Cerevel, which is backed by private equity firm Bain Capital, the sources said.
If the negotiations conclude successfully, a deal could be announced as early as this week, the sources added, requesting anonymity because the matter is confidential.
AbbVie and Cerevel did not immediately respond to requests for comment.
(Reporting by David Carnevali in New York Editing by Greg Roumeliotis)
((Greg.Roumeliotis@thomsonreuters.com; +1 646 223 6022; Reuters Messaging: greg.roumeliotis.thomsonreuters.com@reuters.net))
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. | NEW YORK, Dec 6 (Reuters) - AbbVie Inc ABBV.N is nearing an approximately $8 billion deal to acquire Cerevel Therapeutics Holdings Inc CERE.O, a developer of drugs for neurological conditions such as Parkinson's, people familiar with the matter said on Wednesday. AbbVie is in talks to pay around $45 per share for Cerevel, which is backed by private equity firm Bain Capital, the sources said. AbbVie and Cerevel did not immediately respond to requests for comment. | NEW YORK, Dec 6 (Reuters) - AbbVie Inc ABBV.N is nearing an approximately $8 billion deal to acquire Cerevel Therapeutics Holdings Inc CERE.O, a developer of drugs for neurological conditions such as Parkinson's, people familiar with the matter said on Wednesday. AbbVie and Cerevel did not immediately respond to requests for comment. AbbVie is in talks to pay around $45 per share for Cerevel, which is backed by private equity firm Bain Capital, the sources said. | NEW YORK, Dec 6 (Reuters) - AbbVie Inc ABBV.N is nearing an approximately $8 billion deal to acquire Cerevel Therapeutics Holdings Inc CERE.O, a developer of drugs for neurological conditions such as Parkinson's, people familiar with the matter said on Wednesday. AbbVie is in talks to pay around $45 per share for Cerevel, which is backed by private equity firm Bain Capital, the sources said. AbbVie and Cerevel did not immediately respond to requests for comment. | NEW YORK, Dec 6 (Reuters) - AbbVie Inc ABBV.N is nearing an approximately $8 billion deal to acquire Cerevel Therapeutics Holdings Inc CERE.O, a developer of drugs for neurological conditions such as Parkinson's, people familiar with the matter said on Wednesday. AbbVie is in talks to pay around $45 per share for Cerevel, which is backed by private equity firm Bain Capital, the sources said. AbbVie and Cerevel did not immediately respond to requests for comment. |
21989.0 | 2023-12-06 00:00:00 UTC | 7 High-Dividend Stocks to Buy for a Lifetime of Passive Income | ABBV | https://www.nasdaq.com/articles/7-high-dividend-stocks-to-buy-for-a-lifetime-of-passive-income | nan | nan | InvestorPlace - Stock Market News, Stock Advice & Trading Tips
As investors, we always strive to build a well-balanced portfolio that can provide stability through various economic cycles. While high-flying growth stocks generate all the hype these days (and deservedly so), defensive dividend stocks remain essential to provide a steady stream of income, as well as stability. That’s particularly true when markets become volatile. And let’s face it, with inflation proving stickier than hoped and various global tensions simmering, we could see increased volatility ahead.
But this doesn’t have to derail our portfolios if we hold the right mix of stocks. Even in turbulent times, plenty of stalwart, cash-rich companies with established track records have kept increasing their dividends year after year. I’m talking about the Dividend Aristocrats, and other S-tier stocks that represent some of the most reliable long-term holds out there. These are the types of stocks you can confidently buy and forget about, all while your dividend distributions roll in.
I’ll highlight seven generous dividend stocks perfectly suited for building a lifetime of passive income. Additionally, I’ll explore some lesser-known names throwing off juicy yields and a few dividend stalwarts you likely already know. This also includes some undervalued dividend stocks you can snap up for a bargain after their selloffs. Let’s start!
Public Storage (PSA)
Source: Ken Wolter / Shutterstock.com
At first glance, Public Storage (NYSE:PSA) may appear like a risky option in the world of real estate investment trusts (REITs). However, this self-storage stalwart operates with far less volatility than most commercial or residential real estate funds. Demand for storage has grown steadily amid a booming U.S. economy and population growth. Physical storage needs will only intensify in the coming decades as more blue-collar sectors thrive.
Public Storage is perfectly positioned to capitalize as a leading storage provider. Shares have declined 40% from their peak, creating substantial upside from the stock’s current $269 price tag. The company’s generous 4.5% dividend yield also leaves income potential. Payouts should continue rising, given impressive profitability and growth trends. Thus, Public Storage represents a relatively safe, growing business that is undeserving of its selloff. The predictable nature of self-storage stands out against a turbulent real estate backdrop. Steady demand and pricing power should continue driving predictable cash flows. Therefore, the bottom appears to be in for this dividend stalwart.
Innovative Industrial Properties (IIPR)
Source: gvictoria / Shutterstock.com
Like Public Storage, Innovative Industrial Properties’ (NYSE:IIPR) cannabis-linked real estate focus makes it appear riskier than typical REITs. However, leasing industrial space to pot growers somewhat insulates IIPR from traditional property market swings. Highly volatile cannabis stocks dominate the headlines, but IIPR’s indirect approach looks opportunistic after its 75% plunge.
The REIT’s jaw-dropping yield says markets expect tenants to miss rent payments. But the trust’s substantial collection rate and rising payouts signal otherwise. While challenges exist industrywide, top multi-state operators seem to be on solid enough ground to easily cover rent. Preferred access to specialized growing facilities also gives tenants a major incentive to pay IIPR before other expenses.
Ultimately, fears around this stock appear to be overblown, given reasonable rent coverage ratios for most tenants. Providing an 8.25% yield effectively compensates investors for the risk they’re taking. Accordingly, from my perspective, this stock’s return profile looks very attractive for long-term, income-focused investors.
AT&T (T)
Source: Shutterstock
AT&T (NYSE:T) seems poised for a long-awaited breakout after years of declines. While the telecom giant has constantly frustrated shareholders with drama and distractions, improving wireless and fiber trends signal a coming wave of growth and value creation. Trading at less than 7-times earnings, I believe T stock pricing largely reflects the negatives rather than enormous untapped potential.
The company’s generous 6.5% dividend yield adds stability for patient investors until catalysts gain traction. AT&T continues expanding its next-generation 5G and fiber networks to meet surging data demand. As those capital-intensive investments moderate, cash generation may explode higher. The company also expects to achieve $2 billion in cost savings within three years.
I believe AT&T makes for an ideal recovery and turnaround candidate at current levels. Management aims to pay down debt and return excess cash to shareholders once it hits target leverage ratios. With wireless competition easing and years of underperformance baked in, this telecom titan is positioned to deliver sustained capital appreciation alongside a rock-solid dividend.
Watsco (WSO)
Source: Casimiro PT / Shutterstock.com
Watsco’s (NYSE:WSO) modest 2.5% dividend yield seems relatively low at first glance. However, in my view, the stock remains a compelling buy based on its standout capital appreciation potential. Watsco has emerged as one of the strongest performers across the entire market, with WSO stock surging 55% this year. Strength is owed partly to the record summer heat, which drove demand for air conditioning products.
Looking ahead, climate change trends point towards sustaining tailwinds regardless of one’s views. Analysts also forecast healthy, accelerating long-term growth for Watsco’s niche AC distribution business. Thus, I believe the company’s modest starting yield could grow into a significant income stream when combined with an ongoing upside in stock prices. Of course, risks exist, but WSO seems poised to continue capitalizing on natural tailwinds from rising temperatures.
Watsco’s dividend growth and stock appreciation potential make it well worth holding for the long-run.
AbbVie (ABBV)
Source: Piotr Swat / Shutterstock.com
As one of the pharmaceutical sector’s largest players, AbbVie (NYSE:ABBV) provides immense dividend reliability. Unlike more speculative names listed here, this stock prioritizes dividends over capital gains. After all, few industries boast cash flow consistency comparable to biopharma companies with diverse drug portfolios. Even with the U.S. Humira patent expiration in play, AbbVie has only strengthened its cash generation capabilities.
With its high 4.3% forward yield and Dividend King status, AbbVie seems poised to deliver years of payout growth ahead. Healthcare tends to endure recessions better than other sectors as well. Therefore, while the upside appears limited, I believe AbbVie remains a low-volatility, high-yield pick suitable for nearly any dividend-focused portfolio. AbbVie looks like an ideal pick for income and stability. The days of sky-high growth may have passed, but strong and growing dividends seem highly sustainable for long-term investors.
Enterprise Products Partners (EPD)
Source: Casimiro PT / Shutterstock.com
No energy stock provides immunity from oil and gas volatility, as recent years have repeatedly proven. Nonetheless, Enterprise Products Partners (NYSE:EPD) is slowly recovering to pre-pandemic valuation levels. Enterprise Products has delivered slow but steady share price progress since initial 2020 lows. And with revenue basically doubling from 2020 to 2022, the company’s operating business shows momentum that looks sustainable as well. Despite a projected 2023 revenue pullback, analysts’ models see top-line growth resuming in 2024 and beyond as higher oil prices persist.
EPD stock features a 7.5% dividend yield, which also leads its midstream peer group. With 26 consecutive annual payout hikes, the company clearly prioritizes dividend distributions through ups and downs. Ultimately, Enterprise Products’ combination of cash flow consistency, yield magnitude, and conservative operations warrant income investor consideration. In my view, Enterprise Products Partners remains a rock-solid midstream pick as energy markets stabilize.
Tyson Foods (TSN)
Source: rblfmr / Shutterstock.com
Like many food producers, Tyson Foods (NYSE:TSN) has battled agricultural commodity volatility in recent years. Following a surge in meat and poultry prices, the company now contends with falling prices and resulting profit pressures. However, with shares having priced in the deceleration of earnings, Tyson seems poised to provide some nice upside as demand recovers.
The company’s valuation also looks highly attractive, with Tyson’s forward price-earnings ratio sitting below 12-times. Tyson also pays 4% dividend yield after 12 consecutive annual hikes, providing income as investors wait. So, while macro uncertainty lingers, I believe the stock’s risk/reward profile skews positively for long-term investors right now. Tyson boasts a diversified protein portfolio, economies of scale, and agora-food demand tailwinds that should ultimately drive a rebound over time.
On the date of publication, Omor Ibne Ehsan did not have (either directly or indirectly) any positions in the securities mentioned in this article. The opinions expressed in this article are those of the writer, subject to the InvestorPlace.com Publishing Guidelines.
Omor Ibne Ehsan is a writer at InvestorPlace. He is a self-taught investor with a focus on growth and cyclical stocks that have strong fundamentals, value, and long-term potential. He also has an interest in high-risk, high-reward investments such as cryptocurrencies and penny stocks. You can follow him on LinkedIn.
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The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. | AbbVie (ABBV) Source: Piotr Swat / Shutterstock.com As one of the pharmaceutical sector’s largest players, AbbVie (NYSE:ABBV) provides immense dividend reliability. Even with the U.S. Humira patent expiration in play, AbbVie has only strengthened its cash generation capabilities. With its high 4.3% forward yield and Dividend King status, AbbVie seems poised to deliver years of payout growth ahead. | AbbVie (ABBV) Source: Piotr Swat / Shutterstock.com As one of the pharmaceutical sector’s largest players, AbbVie (NYSE:ABBV) provides immense dividend reliability. Even with the U.S. Humira patent expiration in play, AbbVie has only strengthened its cash generation capabilities. With its high 4.3% forward yield and Dividend King status, AbbVie seems poised to deliver years of payout growth ahead. | AbbVie (ABBV) Source: Piotr Swat / Shutterstock.com As one of the pharmaceutical sector’s largest players, AbbVie (NYSE:ABBV) provides immense dividend reliability. Even with the U.S. Humira patent expiration in play, AbbVie has only strengthened its cash generation capabilities. With its high 4.3% forward yield and Dividend King status, AbbVie seems poised to deliver years of payout growth ahead. | AbbVie (ABBV) Source: Piotr Swat / Shutterstock.com As one of the pharmaceutical sector’s largest players, AbbVie (NYSE:ABBV) provides immense dividend reliability. Even with the U.S. Humira patent expiration in play, AbbVie has only strengthened its cash generation capabilities. With its high 4.3% forward yield and Dividend King status, AbbVie seems poised to deliver years of payout growth ahead. |
21990.0 | 2023-12-06 00:00:00 UTC | AbbVie to buy drug developer Cerevel for $8.7 billion | ABBV | https://www.nasdaq.com/articles/abbvie-to-buy-drug-developer-cerevel-for-%248.7-billion | nan | nan | Adds details on the deal and background
Dec 6 (Reuters) - AbbVie ABBV.N said on Wednesday it would buy Cerevel Therapeutics CERE.O for a total equity value of about $8.7 billion.
AbbVie would acquire all outstanding shares of Cerevel for $45 per share in cash, representing a premium of 22% to Wednesday's close.
Cerevel is developing drugs for diseases such as Alzheimer's disease, psychosis, epilepsy, panic disorder and Parkinson's. One of its lead drugs in clinical trials, Emraclidine, is aimed for people living with schizophrenia.
The Cambridge, Massachbussets-based firm was formed in 2018 when Pfizer Inc PFE.N carved out its division developing drugs for the central nervous system into a standalone company backed by a $350 million investment from Bain.
Cerevel listed in the New York stock market in 2020, and Bain and Pfizer hold stakes of about 36% and 15%, respectively.
(Reporting by Ananya Mariam Rajesh in Bengaluru; Editing by Maju Samuel)
((AnanyaMariam.Rajesh@thomsonreuters.com ; Twitter: https://twitter.com/AnanyaMariam;))
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. | Adds details on the deal and background Dec 6 (Reuters) - AbbVie ABBV.N said on Wednesday it would buy Cerevel Therapeutics CERE.O for a total equity value of about $8.7 billion. AbbVie would acquire all outstanding shares of Cerevel for $45 per share in cash, representing a premium of 22% to Wednesday's close. One of its lead drugs in clinical trials, Emraclidine, is aimed for people living with schizophrenia. | AbbVie would acquire all outstanding shares of Cerevel for $45 per share in cash, representing a premium of 22% to Wednesday's close. Adds details on the deal and background Dec 6 (Reuters) - AbbVie ABBV.N said on Wednesday it would buy Cerevel Therapeutics CERE.O for a total equity value of about $8.7 billion. Cerevel is developing drugs for diseases such as Alzheimer's disease, psychosis, epilepsy, panic disorder and Parkinson's. | AbbVie would acquire all outstanding shares of Cerevel for $45 per share in cash, representing a premium of 22% to Wednesday's close. Adds details on the deal and background Dec 6 (Reuters) - AbbVie ABBV.N said on Wednesday it would buy Cerevel Therapeutics CERE.O for a total equity value of about $8.7 billion. Cerevel is developing drugs for diseases such as Alzheimer's disease, psychosis, epilepsy, panic disorder and Parkinson's. | Adds details on the deal and background Dec 6 (Reuters) - AbbVie ABBV.N said on Wednesday it would buy Cerevel Therapeutics CERE.O for a total equity value of about $8.7 billion. AbbVie would acquire all outstanding shares of Cerevel for $45 per share in cash, representing a premium of 22% to Wednesday's close. Cerevel is developing drugs for diseases such as Alzheimer's disease, psychosis, epilepsy, panic disorder and Parkinson's. |
21991.0 | 2023-12-06 00:00:00 UTC | AbbVie To Acquire Cerevel Therapeutics In $8.7 Bln Deal | ABBV | https://www.nasdaq.com/articles/abbvie-to-acquire-cerevel-therapeutics-in-%248.7-bln-deal | nan | nan | (RTTNews) - AbbVie Inc. (ABBV) agreed to acquire Cerevel Therapeutics (CERE) for $45.00 per share in cash, valuing the company at about $8.7 billion.
CERE closed Wednesday's regular trading at $36.93 up $1.34 or 3.77%. In the after-hours trading, the stock further gained $5.82 or 15.76%.
AbbVie will acquire Cerevel Therapeutics' neuroscience pipeline of multiple clinical-stage and preclinical candidates with potential across several diseases including schizophrenia, Parkinson's disease (PD), and mood disorders.
The boards of directors of both companies have approved the transaction. The transaction is expected to close in the middle of 2024.
AbbVie expects the proposed transaction to be accretive to adjusted earnings per share beginning in 2030.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. | (RTTNews) - AbbVie Inc. (ABBV) agreed to acquire Cerevel Therapeutics (CERE) for $45.00 per share in cash, valuing the company at about $8.7 billion. AbbVie will acquire Cerevel Therapeutics' neuroscience pipeline of multiple clinical-stage and preclinical candidates with potential across several diseases including schizophrenia, Parkinson's disease (PD), and mood disorders. AbbVie expects the proposed transaction to be accretive to adjusted earnings per share beginning in 2030. | (RTTNews) - AbbVie Inc. (ABBV) agreed to acquire Cerevel Therapeutics (CERE) for $45.00 per share in cash, valuing the company at about $8.7 billion. AbbVie will acquire Cerevel Therapeutics' neuroscience pipeline of multiple clinical-stage and preclinical candidates with potential across several diseases including schizophrenia, Parkinson's disease (PD), and mood disorders. AbbVie expects the proposed transaction to be accretive to adjusted earnings per share beginning in 2030. | (RTTNews) - AbbVie Inc. (ABBV) agreed to acquire Cerevel Therapeutics (CERE) for $45.00 per share in cash, valuing the company at about $8.7 billion. AbbVie will acquire Cerevel Therapeutics' neuroscience pipeline of multiple clinical-stage and preclinical candidates with potential across several diseases including schizophrenia, Parkinson's disease (PD), and mood disorders. AbbVie expects the proposed transaction to be accretive to adjusted earnings per share beginning in 2030. | (RTTNews) - AbbVie Inc. (ABBV) agreed to acquire Cerevel Therapeutics (CERE) for $45.00 per share in cash, valuing the company at about $8.7 billion. AbbVie will acquire Cerevel Therapeutics' neuroscience pipeline of multiple clinical-stage and preclinical candidates with potential across several diseases including schizophrenia, Parkinson's disease (PD), and mood disorders. AbbVie expects the proposed transaction to be accretive to adjusted earnings per share beginning in 2030. |
21992.0 | 2023-12-06 00:00:00 UTC | EXCLUSIVE-AbbVie nears roughly $8 billion deal for drug developer Cerevel-sources | ABBV | https://www.nasdaq.com/articles/exclusive-abbvie-nears-roughly-%248-billion-deal-for-drug-developer-cerevel-sources | nan | nan | By David Carnevali
NEW YORK, Dec 6 (Reuters) - AbbVie Inc ABBV.N is nearing an approximately $8 billion deal to acquire Cerevel Therapeutics Holdings Inc CERE.O, a developer of drugs for neurological conditions such as Parkinson's, people familiar with the matter said on Wednesday.
The acquisition would come just days after AbbVie agreed to buy cancer drug developer ImmunoGen Inc IMGN.O for $10.1 billion in cash, highlighting its appetite to place big bets on promising new medicines.
AbbVie is in talks to pay around $45 per share for Cerevel, which is backed by private equity firm Bain Capital, the sources said.
If the negotiations conclude successfully, a deal could be announced as early as this week, the sources added, requesting anonymity because the matter is confidential.
AbbVie and Cerevel did not immediately respond to requests for comment.
Cerevel shares jumped 14% to $42.20 in afterhours trading in New York on Wednesday.
(Reporting by David Carnevali in New York Editing by Greg Roumeliotis)
((Greg.Roumeliotis@thomsonreuters.com; +1 646 223 6022; Reuters Messaging: greg.roumeliotis.thomsonreuters.com@reuters.net))
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. | By David Carnevali NEW YORK, Dec 6 (Reuters) - AbbVie Inc ABBV.N is nearing an approximately $8 billion deal to acquire Cerevel Therapeutics Holdings Inc CERE.O, a developer of drugs for neurological conditions such as Parkinson's, people familiar with the matter said on Wednesday. The acquisition would come just days after AbbVie agreed to buy cancer drug developer ImmunoGen Inc IMGN.O for $10.1 billion in cash, highlighting its appetite to place big bets on promising new medicines. AbbVie is in talks to pay around $45 per share for Cerevel, which is backed by private equity firm Bain Capital, the sources said. | By David Carnevali NEW YORK, Dec 6 (Reuters) - AbbVie Inc ABBV.N is nearing an approximately $8 billion deal to acquire Cerevel Therapeutics Holdings Inc CERE.O, a developer of drugs for neurological conditions such as Parkinson's, people familiar with the matter said on Wednesday. The acquisition would come just days after AbbVie agreed to buy cancer drug developer ImmunoGen Inc IMGN.O for $10.1 billion in cash, highlighting its appetite to place big bets on promising new medicines. AbbVie is in talks to pay around $45 per share for Cerevel, which is backed by private equity firm Bain Capital, the sources said. | By David Carnevali NEW YORK, Dec 6 (Reuters) - AbbVie Inc ABBV.N is nearing an approximately $8 billion deal to acquire Cerevel Therapeutics Holdings Inc CERE.O, a developer of drugs for neurological conditions such as Parkinson's, people familiar with the matter said on Wednesday. AbbVie is in talks to pay around $45 per share for Cerevel, which is backed by private equity firm Bain Capital, the sources said. The acquisition would come just days after AbbVie agreed to buy cancer drug developer ImmunoGen Inc IMGN.O for $10.1 billion in cash, highlighting its appetite to place big bets on promising new medicines. | By David Carnevali NEW YORK, Dec 6 (Reuters) - AbbVie Inc ABBV.N is nearing an approximately $8 billion deal to acquire Cerevel Therapeutics Holdings Inc CERE.O, a developer of drugs for neurological conditions such as Parkinson's, people familiar with the matter said on Wednesday. The acquisition would come just days after AbbVie agreed to buy cancer drug developer ImmunoGen Inc IMGN.O for $10.1 billion in cash, highlighting its appetite to place big bets on promising new medicines. AbbVie is in talks to pay around $45 per share for Cerevel, which is backed by private equity firm Bain Capital, the sources said. |
21993.0 | 2023-12-05 00:00:00 UTC | Johnson & Johnson forecasts as much as 6% sales growth in 2024 | ABBV | https://www.nasdaq.com/articles/johnson-johnson-forecasts-as-much-as-6-sales-growth-in-2024-0 | nan | nan | By Patrick Wingrove and Bhanvi Satija
Dec 5 (Reuters) - Johnson & Johnson JNJ.N on Tuesday forecast revenue growth of 5-6% for 2024, its first full year after hiving off its consumer health unit, on strong demand for cancer treatments Darzalex and Carvykti, and blockbuster psoriasis drug Stelara.
The company also forecast 2024 adjusted operating profit of $10.55 to $10.75 per share, including a 15-cent impact from its recent acquisition of private medical device maker Laminar.
"I think they can earn closer to $10.85 vs the $10.55-10.75 guidance," said Jeff Jonas, portfolio manager at Gabelli Funds, adding the company's profit per share target is "always very conservative."
Sales of Stelara in Europe are expected to come under pressure as a key patent on the drug expires next year. Stelara is also expected to face competition in the United States beginning in 2025.
J&J Chief Financial Officer Joseph Wolk said the company, which is now focusing on its drugs and medical devices business, was "very well positioned" even with some Stelara biosimilars launching outside the United States in mid-to-second half of 2024.
The company expects operational revenue, excluding COVID vaccine, to grow at a compounded annual rate of 5-7% between 2025 and 2030.
Jonas said J&J will face challenges in 2025 and beyond - and "might need another acquisition or two" to help fill the sales gap from patent expirations.
J&J, which reiterated its goal of $57 billion in drug sales in 2025, said it plans to seek regulatory approvals for at least 20 new therapies and expanded use of 50 treatments by 2030.
J&J's "lofty" long-term targets for its pharmaceutical unit are "potentially achievable" with new key products, UBS analyst Danielle Antalffy said in a note.
The company said over 10 of its products had the potential to generate more than $5 billion in peak year sales - including newer cancer treatments Talvey and Tecvayli.
(Reporting by Bhanvi Satija in Bengaluru and Patrick Wingrove in New York; Editing by Anil D'Silva and Shinjini Ganguli)
((Bhanvi.Satija@thomsonreuters.com; Outside U.S. +91 9873062788;))
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. | The company also forecast 2024 adjusted operating profit of $10.55 to $10.75 per share, including a 15-cent impact from its recent acquisition of private medical device maker Laminar. "I think they can earn closer to $10.85 vs the $10.55-10.75 guidance," said Jeff Jonas, portfolio manager at Gabelli Funds, adding the company's profit per share target is "always very conservative." J&J Chief Financial Officer Joseph Wolk said the company, which is now focusing on its drugs and medical devices business, was "very well positioned" even with some Stelara biosimilars launching outside the United States in mid-to-second half of 2024. | By Patrick Wingrove and Bhanvi Satija Dec 5 (Reuters) - Johnson & Johnson JNJ.N on Tuesday forecast revenue growth of 5-6% for 2024, its first full year after hiving off its consumer health unit, on strong demand for cancer treatments Darzalex and Carvykti, and blockbuster psoriasis drug Stelara. The company expects operational revenue, excluding COVID vaccine, to grow at a compounded annual rate of 5-7% between 2025 and 2030. The company said over 10 of its products had the potential to generate more than $5 billion in peak year sales - including newer cancer treatments Talvey and Tecvayli. | By Patrick Wingrove and Bhanvi Satija Dec 5 (Reuters) - Johnson & Johnson JNJ.N on Tuesday forecast revenue growth of 5-6% for 2024, its first full year after hiving off its consumer health unit, on strong demand for cancer treatments Darzalex and Carvykti, and blockbuster psoriasis drug Stelara. J&J Chief Financial Officer Joseph Wolk said the company, which is now focusing on its drugs and medical devices business, was "very well positioned" even with some Stelara biosimilars launching outside the United States in mid-to-second half of 2024. The company said over 10 of its products had the potential to generate more than $5 billion in peak year sales - including newer cancer treatments Talvey and Tecvayli. | The company also forecast 2024 adjusted operating profit of $10.55 to $10.75 per share, including a 15-cent impact from its recent acquisition of private medical device maker Laminar. Stelara is also expected to face competition in the United States beginning in 2025. The company said over 10 of its products had the potential to generate more than $5 billion in peak year sales - including newer cancer treatments Talvey and Tecvayli. |
21994.0 | 2023-12-05 00:00:00 UTC | AbbVie To Collaborate With BigHat To Discover Next-Gen Therapeutic Antibodies | ABBV | https://www.nasdaq.com/articles/abbvie-to-collaborate-with-bighat-to-discover-next-gen-therapeutic-antibodies | nan | nan | (RTTNews) - AbbVie Inc. (ABBV) and BigHat Biosciences, Monday announced a research collaboration for next-generation therapeutic antibodies in oncology and neuroscience. The combination is expected to utilize BigHat's Milliner platform, a suite of machine learning technologies integrated with a high-speed wet lab.
As per the agreement, BigHat will receive an upfront payment of $30 million and an additional milestone payment of approximately $325 million, with the potential for further commercial milestones as well as tiered royalties on net sales.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. | (RTTNews) - AbbVie Inc. (ABBV) and BigHat Biosciences, Monday announced a research collaboration for next-generation therapeutic antibodies in oncology and neuroscience. The combination is expected to utilize BigHat's Milliner platform, a suite of machine learning technologies integrated with a high-speed wet lab. As per the agreement, BigHat will receive an upfront payment of $30 million and an additional milestone payment of approximately $325 million, with the potential for further commercial milestones as well as tiered royalties on net sales. | (RTTNews) - AbbVie Inc. (ABBV) and BigHat Biosciences, Monday announced a research collaboration for next-generation therapeutic antibodies in oncology and neuroscience. As per the agreement, BigHat will receive an upfront payment of $30 million and an additional milestone payment of approximately $325 million, with the potential for further commercial milestones as well as tiered royalties on net sales. The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. | (RTTNews) - AbbVie Inc. (ABBV) and BigHat Biosciences, Monday announced a research collaboration for next-generation therapeutic antibodies in oncology and neuroscience. As per the agreement, BigHat will receive an upfront payment of $30 million and an additional milestone payment of approximately $325 million, with the potential for further commercial milestones as well as tiered royalties on net sales. The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. | (RTTNews) - AbbVie Inc. (ABBV) and BigHat Biosciences, Monday announced a research collaboration for next-generation therapeutic antibodies in oncology and neuroscience. The combination is expected to utilize BigHat's Milliner platform, a suite of machine learning technologies integrated with a high-speed wet lab. As per the agreement, BigHat will receive an upfront payment of $30 million and an additional milestone payment of approximately $325 million, with the potential for further commercial milestones as well as tiered royalties on net sales. |
21995.0 | 2023-12-05 00:00:00 UTC | AbbVie Inc. (ABBV) is Attracting Investor Attention: Here is What You Should Know | ABBV | https://www.nasdaq.com/articles/abbvie-inc.-abbv-is-attracting-investor-attention%3A-here-is-what-you-should-know-11 | nan | nan | AbbVie (ABBV) has been one of the most searched-for stocks on Zacks.com lately. So, you might want to look at some of the facts that could shape the stock's performance in the near term.
Shares of this drugmaker have returned +2.1% over the past month versus the Zacks S&P 500 composite's +5.1% change. The Zacks Large Cap Pharmaceuticals industry, to which AbbVie belongs, has gained 2.8% over this period. Now the key question is: Where could the stock be headed in the near term?
Although media reports or rumors about a significant change in a company's business prospects usually cause its stock to trend and lead to an immediate price change, there are always certain fundamental factors that ultimately drive the buy-and-hold decision.
Earnings Estimate Revisions
Here at Zacks, we prioritize appraising the change in the projection of a company's future earnings over anything else. That's because we believe the present value of its future stream of earnings is what determines the fair value for its stock.
We essentially look at how sell-side analysts covering the stock are revising their earnings estimates to reflect the impact of the latest business trends. And if earnings estimates go up for a company, the fair value for its stock goes up. A higher fair value than the current market price drives investors' interest in buying the stock, leading to its price moving higher. This is why empirical research shows a strong correlation between trends in earnings estimate revisions and near-term stock price movements.
AbbVie is expected to post earnings of $2.93 per share for the current quarter, representing a year-over-year change of -18.6%. Over the last 30 days, the Zacks Consensus Estimate has changed +0.5%.
The consensus earnings estimate of $11.21 for the current fiscal year indicates a year-over-year change of -18.6%. This estimate has remained unchanged over the last 30 days.
For the next fiscal year, the consensus earnings estimate of $11.13 indicates a change of -0.7% from what AbbVie is expected to report a year ago. Over the past month, the estimate has changed +0.2%.
With an impressive externally audited track record, our proprietary stock rating tool -- the Zacks Rank -- is a more conclusive indicator of a stock's near-term price performance, as it effectively harnesses the power of earnings estimate revisions. The size of the recent change in the consensus estimate, along with three other factors related to earnings estimates, has resulted in a Zacks Rank #3 (Hold) for AbbVie.
The chart below shows the evolution of the company's forward 12-month consensus EPS estimate:
12 Month EPS
Projected Revenue Growth
While earnings growth is arguably the most superior indicator of a company's financial health, nothing happens as such if a business isn't able to grow its revenues. After all, it's nearly impossible for a company to increase its earnings for an extended period without increasing its revenues. So, it's important to know a company's potential revenue growth.
In the case of AbbVie, the consensus sales estimate of $14.04 billion for the current quarter points to a year-over-year change of -7.2%. The $54.06 billion and $54.01 billion estimates for the current and next fiscal years indicate changes of -6.9% and -0.1%, respectively.
Last Reported Results and Surprise History
AbbVie reported revenues of $13.93 billion in the last reported quarter, representing a year-over-year change of -6%. EPS of $2.95 for the same period compares with $3.66 a year ago.
Compared to the Zacks Consensus Estimate of $13.7 billion, the reported revenues represent a surprise of +1.65%. The EPS surprise was +3.15%.
The company beat consensus EPS estimates in each of the trailing four quarters. The company topped consensus revenue estimates three times over this period.
Valuation
No investment decision can be efficient without considering a stock's valuation. Whether a stock's current price rightly reflects the intrinsic value of the underlying business and the company's growth prospects is an essential determinant of its future price performance.
Comparing the current value of a company's valuation multiples, such as its price-to-earnings (P/E), price-to-sales (P/S), and price-to-cash flow (P/CF), to its own historical values helps ascertain whether its stock is fairly valued, overvalued, or undervalued, whereas comparing the company relative to its peers on these parameters gives a good sense of how reasonable its stock price is.
The Zacks Value Style Score (part of the Zacks Style Scores system), which pays close attention to both traditional and unconventional valuation metrics to grade stocks from A to F (an An is better than a B; a B is better than a C; and so on), is pretty helpful in identifying whether a stock is overvalued, rightly valued, or temporarily undervalued.
AbbVie is graded B on this front, indicating that it is trading at a discount to its peers. Click here to see the values of some of the valuation metrics that have driven this grade.
Conclusion
The facts discussed here and much other information on Zacks.com might help determine whether or not it's worthwhile paying attention to the market buzz about AbbVie. However, its Zacks Rank #3 does suggest that it may perform in line with the broader market in the near term.
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The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. | Conclusion The facts discussed here and much other information on Zacks.com might help determine whether or not it's worthwhile paying attention to the market buzz about AbbVie. AbbVie (ABBV) has been one of the most searched-for stocks on Zacks.com lately. The Zacks Large Cap Pharmaceuticals industry, to which AbbVie belongs, has gained 2.8% over this period. | Last Reported Results and Surprise History AbbVie reported revenues of $13.93 billion in the last reported quarter, representing a year-over-year change of -6%. AbbVie (ABBV) has been one of the most searched-for stocks on Zacks.com lately. The Zacks Large Cap Pharmaceuticals industry, to which AbbVie belongs, has gained 2.8% over this period. | The size of the recent change in the consensus estimate, along with three other factors related to earnings estimates, has resulted in a Zacks Rank #3 (Hold) for AbbVie. AbbVie (ABBV) has been one of the most searched-for stocks on Zacks.com lately. The Zacks Large Cap Pharmaceuticals industry, to which AbbVie belongs, has gained 2.8% over this period. | AbbVie (ABBV) has been one of the most searched-for stocks on Zacks.com lately. The Zacks Large Cap Pharmaceuticals industry, to which AbbVie belongs, has gained 2.8% over this period. AbbVie is expected to post earnings of $2.93 per share for the current quarter, representing a year-over-year change of -18.6%. |
21996.0 | 2023-12-05 00:00:00 UTC | Johnson & Johnson forecasts as much as 6% sales growth in 2024 | ABBV | https://www.nasdaq.com/articles/johnson-johnson-forecasts-as-much-as-6-sales-growth-in-2024 | nan | nan | Dec 5 (Reuters) - Johnson & Johnson JNJ.N on Tuesday forecast revenue growth of 5-6% for the next year, as it banks on strong demand for cancer treatments Darzalex and Carvykti and resilient sales of blockbuster drug Stelara.
The company has narrowed its focus on its drugs and medical devices business since it hived off its consumer health unit earlier this year.
Sales of blockbuster psoriasis treatment Stelara in Europe are expected to come under pressure as early as next year as a key patent on the drug expires. It is also expected to face competition in the United States beginning in 2025.
"We think we're very well positioned, even in spite of what will be the beginning of some biosimilar entrants to Stelara outside the US in mid to second half of 2024," Chief Financial Officer Joseph Wolk told Reuters.
Sales of the drug largely come from its use as a treatment for inflammatory bowel diseases (IBD), Wolk said.
"And when you have a successful treatment for an IBD patient, neither the patient nor the physicians really wants to change that dramatically," he added.
Ahead of a meeting of investors scheduled later on Tuesday, J&J said it was expecting sales in its pharmaceutical unit to grow at a compounded annual rate of 5-7% between 2025 and 2030.
J&J, which plans to launch at least 20 new therapies by 2030, said over 10 of its products had the potential to generate more than $5 billion in peak year sales - including newer cancer treatments Talvey and Tecvayli.
The company expects full-year adjusted operational profit of $10.55 to $10.75 per share in 2024, including a 15-cent impact from its recent acquisition of private medical device maker Laminar.
J&J's 2024 revenue growth forecast excludes sales of its COVID vaccine.
(Reporting by Bhanvi Satija in Bengaluru and Patrick Wingrove in New York; Editing by Anil D'Silva)
((Bhanvi.Satija@thomsonreuters.com; Outside U.S. +91 9873062788;))
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. | "We think we're very well positioned, even in spite of what will be the beginning of some biosimilar entrants to Stelara outside the US in mid to second half of 2024," Chief Financial Officer Joseph Wolk told Reuters. J&J, which plans to launch at least 20 new therapies by 2030, said over 10 of its products had the potential to generate more than $5 billion in peak year sales - including newer cancer treatments Talvey and Tecvayli. The company expects full-year adjusted operational profit of $10.55 to $10.75 per share in 2024, including a 15-cent impact from its recent acquisition of private medical device maker Laminar. | Dec 5 (Reuters) - Johnson & Johnson JNJ.N on Tuesday forecast revenue growth of 5-6% for the next year, as it banks on strong demand for cancer treatments Darzalex and Carvykti and resilient sales of blockbuster drug Stelara. J&J, which plans to launch at least 20 new therapies by 2030, said over 10 of its products had the potential to generate more than $5 billion in peak year sales - including newer cancer treatments Talvey and Tecvayli. J&J's 2024 revenue growth forecast excludes sales of its COVID vaccine. | Dec 5 (Reuters) - Johnson & Johnson JNJ.N on Tuesday forecast revenue growth of 5-6% for the next year, as it banks on strong demand for cancer treatments Darzalex and Carvykti and resilient sales of blockbuster drug Stelara. Sales of blockbuster psoriasis treatment Stelara in Europe are expected to come under pressure as early as next year as a key patent on the drug expires. J&J, which plans to launch at least 20 new therapies by 2030, said over 10 of its products had the potential to generate more than $5 billion in peak year sales - including newer cancer treatments Talvey and Tecvayli. | Dec 5 (Reuters) - Johnson & Johnson JNJ.N on Tuesday forecast revenue growth of 5-6% for the next year, as it banks on strong demand for cancer treatments Darzalex and Carvykti and resilient sales of blockbuster drug Stelara. The company has narrowed its focus on its drugs and medical devices business since it hived off its consumer health unit earlier this year. It is also expected to face competition in the United States beginning in 2025. |
21997.0 | 2023-12-04 00:00:00 UTC | Validea Detailed Fundamental Analysis - ABBV | ABBV | https://www.nasdaq.com/articles/validea-detailed-fundamental-analysis-abbv-27 | nan | nan | Below is Validea's guru fundamental report for ABBVIE INC (ABBV). Of the 22 guru strategies we follow, ABBV rates highest using our P/B Growth Investor model based on the published strategy of Partha Mohanram. This growth model looks for low book-to-market stocks that exhibit characteristics associated with sustained future growth.
ABBVIE INC (ABBV) is a large-cap growth stock in the Biotechnology & Drugs industry. The rating using this strategy is 77% based on the firm’s underlying fundamentals and the stock’s valuation. A score of 80% or above typically indicates that the strategy has some interest in the stock and a score above 90% typically indicates strong interest.
The following table summarizes whether the stock meets each of this strategy's tests. Not all criteria in the below table receive equal weighting or are independent, but the table provides a brief overview of the strong and weak points of the security in the context of the strategy's criteria.
BOOK/MARKET RATIO: PASS
RETURN ON ASSETS: PASS
CASH FLOW FROM OPERATIONS TO ASSETS: PASS
CASH FLOW FROM OPERATIONS TO ASSETS VS. RETURN ON ASSETS: PASS
RETURN ON ASSETS VARIANCE: PASS
SALES VARIANCE: PASS
ADVERTISING TO ASSETS: PASS
CAPITAL EXPENDITURES TO ASSETS: FAIL
RESEARCH AND DEVELOPMENT TO ASSETS: FAIL
Detailed Analysis of ABBVIE INC
ABBV Guru Analysis
ABBV Fundamental Analysis
More Information on Partha Mohanram
Partha Mohanram Portfolio
About Partha Mohanram: Sometimes the best investing strategies don't come from the world of investing. Sometimes research that changes the investing world can come from the halls of academia. Partha Mohanram is a great example of this. While academic research has shown that value investing works over time, it has found the opposite for growth investing. Mohanram turned that research on its head by developing a growth model that produced significant market outperformance. His research paper "Separating Winners from Losers among Low Book-to-Market Stocks using Financial Statement Analysis" looked at the criteria that can be used to separate growth stocks that continue their upward trajectory from those that don't. Mohanram is currently the John H. Watson Chair in Value Investing at the University of Toronto and was previously an Associate Professor at the Columbia Business School.
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About Validea: Validea is aninvestment researchservice that follows the published strategies of investment legends. Validea offers both stock analysis and model portfolios based on gurus who have outperformed the market over the long-term, including Warren Buffett, Benjamin Graham, Peter Lynch and Martin Zweig. For more information about Validea, click here
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. | Below is Validea's guru fundamental report for ABBVIE INC (ABBV). Of the 22 guru strategies we follow, ABBV rates highest using our P/B Growth Investor model based on the published strategy of Partha Mohanram. ABBVIE INC (ABBV) is a large-cap growth stock in the Biotechnology & Drugs industry. | Of the 22 guru strategies we follow, ABBV rates highest using our P/B Growth Investor model based on the published strategy of Partha Mohanram. Detailed Analysis of ABBVIE INC ABBV Guru Analysis ABBV Fundamental Analysis More Information on Partha Mohanram Partha Mohanram Portfolio About Partha Mohanram: Sometimes the best investing strategies don't come from the world of investing. Below is Validea's guru fundamental report for ABBVIE INC (ABBV). | Of the 22 guru strategies we follow, ABBV rates highest using our P/B Growth Investor model based on the published strategy of Partha Mohanram. Detailed Analysis of ABBVIE INC ABBV Guru Analysis ABBV Fundamental Analysis More Information on Partha Mohanram Partha Mohanram Portfolio About Partha Mohanram: Sometimes the best investing strategies don't come from the world of investing. Below is Validea's guru fundamental report for ABBVIE INC (ABBV). | Below is Validea's guru fundamental report for ABBVIE INC (ABBV). Of the 22 guru strategies we follow, ABBV rates highest using our P/B Growth Investor model based on the published strategy of Partha Mohanram. Detailed Analysis of ABBVIE INC ABBV Guru Analysis ABBV Fundamental Analysis More Information on Partha Mohanram Partha Mohanram Portfolio About Partha Mohanram: Sometimes the best investing strategies don't come from the world of investing. |
21998.0 | 2023-12-04 00:00:00 UTC | SPLG, HD, COST, ABBV: ETF Inflow Alert | ABBV | https://www.nasdaq.com/articles/splg-hd-cost-abbv%3A-etf-inflow-alert | nan | nan | Looking today at week-over-week shares outstanding changes among the universe of ETFs covered at ETF Channel, one standout is the SPDR Portfolio S&P 500 ETF (Symbol: SPLG) where we have detected an approximate $278.0 million dollar inflow -- that's a 1.2% increase week over week in outstanding units (from 427,100,000 to 432,250,000). Among the largest underlying components of SPLG, in trading today Home Depot Inc (Symbol: HD) is up about 1.3%, Costco Wholesale Corp (Symbol: COST) is off about 0.2%, and AbbVie Inc (Symbol: ABBV) is up by about 0.8%. For a complete list of holdings, visit the SPLG Holdings page » The chart below shows the one year price performance of SPLG, versus its 200 day moving average:
Looking at the chart above, SPLG's low point in its 52 week range is $44.07 per share, with $54.051 as the 52 week high point — that compares with a last trade of $53.48. Comparing the most recent share price to the 200 day moving average can also be a useful technical analysis technique -- learn more about the 200 day moving average ».
Free Report: Top 8%+ Dividends (paid monthly)
Exchange traded funds (ETFs) trade just like stocks, but instead of ''shares'' investors are actually buying and selling ''units''. These ''units'' can be traded back and forth just like stocks, but can also be created or destroyed to accommodate investor demand. Each week we monitor the week-over-week change in shares outstanding data, to keep a lookout for those ETFs experiencing notable inflows (many new units created) or outflows (many old units destroyed). Creation of new units will mean the underlying holdings of the ETF need to be purchased, while destruction of units involves selling underlying holdings, so large flows can also impact the individual components held within ETFs.
Click here to find out which 9 other ETFs had notable inflows »
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The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. | Among the largest underlying components of SPLG, in trading today Home Depot Inc (Symbol: HD) is up about 1.3%, Costco Wholesale Corp (Symbol: COST) is off about 0.2%, and AbbVie Inc (Symbol: ABBV) is up by about 0.8%. These ''units'' can be traded back and forth just like stocks, but can also be created or destroyed to accommodate investor demand. Creation of new units will mean the underlying holdings of the ETF need to be purchased, while destruction of units involves selling underlying holdings, so large flows can also impact the individual components held within ETFs. | Among the largest underlying components of SPLG, in trading today Home Depot Inc (Symbol: HD) is up about 1.3%, Costco Wholesale Corp (Symbol: COST) is off about 0.2%, and AbbVie Inc (Symbol: ABBV) is up by about 0.8%. For a complete list of holdings, visit the SPLG Holdings page » The chart below shows the one year price performance of SPLG, versus its 200 day moving average: Looking at the chart above, SPLG's low point in its 52 week range is $44.07 per share, with $54.051 as the 52 week high point — that compares with a last trade of $53.48. Free Report: Top 8%+ Dividends (paid monthly) Exchange traded funds (ETFs) trade just like stocks, but instead of ''shares'' investors are actually buying and selling ''units''. | Among the largest underlying components of SPLG, in trading today Home Depot Inc (Symbol: HD) is up about 1.3%, Costco Wholesale Corp (Symbol: COST) is off about 0.2%, and AbbVie Inc (Symbol: ABBV) is up by about 0.8%. Looking today at week-over-week shares outstanding changes among the universe of ETFs covered at ETF Channel, one standout is the SPDR Portfolio S&P 500 ETF (Symbol: SPLG) where we have detected an approximate $278.0 million dollar inflow -- that's a 1.2% increase week over week in outstanding units (from 427,100,000 to 432,250,000). For a complete list of holdings, visit the SPLG Holdings page » The chart below shows the one year price performance of SPLG, versus its 200 day moving average: Looking at the chart above, SPLG's low point in its 52 week range is $44.07 per share, with $54.051 as the 52 week high point — that compares with a last trade of $53.48. | Among the largest underlying components of SPLG, in trading today Home Depot Inc (Symbol: HD) is up about 1.3%, Costco Wholesale Corp (Symbol: COST) is off about 0.2%, and AbbVie Inc (Symbol: ABBV) is up by about 0.8%. Looking today at week-over-week shares outstanding changes among the universe of ETFs covered at ETF Channel, one standout is the SPDR Portfolio S&P 500 ETF (Symbol: SPLG) where we have detected an approximate $278.0 million dollar inflow -- that's a 1.2% increase week over week in outstanding units (from 427,100,000 to 432,250,000). These ''units'' can be traded back and forth just like stocks, but can also be created or destroyed to accommodate investor demand. |
21999.0 | 2023-12-04 00:00:00 UTC | Analysts Anticipate MGC Will Reach $181 | ABBV | https://www.nasdaq.com/articles/analysts-anticipate-mgc-will-reach-%24181-0 | nan | nan | Looking at the underlying holdings of the ETFs in our coverage universe at ETF Channel, we have compared the trading price of each holding against the average analyst 12-month forward target price, and computed the weighted average implied analyst target price for the ETF itself. For the Vanguard Mega Cap ETF (Symbol: MGC), we found that the implied analyst target price for the ETF based upon its underlying holdings is $180.73 per unit.
With MGC trading at a recent price near $163.80 per unit, that means that analysts see 10.34% upside for this ETF looking through to the average analyst targets of the underlying holdings. Three of MGC's underlying holdings with notable upside to their analyst target prices are AbbVie Inc (Symbol: ABBV), Humana Inc. (Symbol: HUM), and T-Mobile US Inc (Symbol: TMUS). Although ABBV has traded at a recent price of $143.41/share, the average analyst target is 19.89% higher at $171.94/share. Similarly, HUM has 18.73% upside from the recent share price of $495.21 if the average analyst target price of $587.94/share is reached, and analysts on average are expecting TMUS to reach a target price of $180.53/share, which is 18.59% above the recent price of $152.23. Below is a twelve month price history chart comparing the stock performance of ABBV, HUM, and TMUS:
Below is a summary table of the current analyst target prices discussed above:
NAME SYMBOL RECENT PRICE AVG. ANALYST 12-MO. TARGET % UPSIDE TO TARGET
Vanguard Mega Cap ETF MGC $163.80 $180.73 10.34%
AbbVie Inc ABBV $143.41 $171.94 19.89%
Humana Inc. HUM $495.21 $587.94 18.73%
T-Mobile US Inc TMUS $152.23 $180.53 18.59%
Are analysts justified in these targets, or overly optimistic about where these stocks will be trading 12 months from now? Do the analysts have a valid justification for their targets, or are they behind the curve on recent company and industry developments? A high price target relative to a stock's trading price can reflect optimism about the future, but can also be a precursor to target price downgrades if the targets were a relic of the past. These are questions that require further investor research.
10 ETFs With Most Upside To Analyst Targets »
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MNTN shares outstanding history
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. | Vanguard Mega Cap ETF MGC $163.80 $180.73 10.34% AbbVie Inc ABBV $143.41 $171.94 19.89% Humana Inc. HUM $495.21 $587.94 18.73% T-Mobile US Inc TMUS $152.23 $180.53 18.59% Are analysts justified in these targets, or overly optimistic about where these stocks will be trading 12 months from now? Three of MGC's underlying holdings with notable upside to their analyst target prices are AbbVie Inc (Symbol: ABBV), Humana Inc. (Symbol: HUM), and T-Mobile US Inc (Symbol: TMUS). Although ABBV has traded at a recent price of $143.41/share, the average analyst target is 19.89% higher at $171.94/share. | Three of MGC's underlying holdings with notable upside to their analyst target prices are AbbVie Inc (Symbol: ABBV), Humana Inc. (Symbol: HUM), and T-Mobile US Inc (Symbol: TMUS). Vanguard Mega Cap ETF MGC $163.80 $180.73 10.34% AbbVie Inc ABBV $143.41 $171.94 19.89% Humana Inc. HUM $495.21 $587.94 18.73% T-Mobile US Inc TMUS $152.23 $180.53 18.59% Are analysts justified in these targets, or overly optimistic about where these stocks will be trading 12 months from now? Although ABBV has traded at a recent price of $143.41/share, the average analyst target is 19.89% higher at $171.94/share. | Three of MGC's underlying holdings with notable upside to their analyst target prices are AbbVie Inc (Symbol: ABBV), Humana Inc. (Symbol: HUM), and T-Mobile US Inc (Symbol: TMUS). Although ABBV has traded at a recent price of $143.41/share, the average analyst target is 19.89% higher at $171.94/share. Below is a twelve month price history chart comparing the stock performance of ABBV, HUM, and TMUS: Below is a summary table of the current analyst target prices discussed above: | Vanguard Mega Cap ETF MGC $163.80 $180.73 10.34% AbbVie Inc ABBV $143.41 $171.94 19.89% Humana Inc. HUM $495.21 $587.94 18.73% T-Mobile US Inc TMUS $152.23 $180.53 18.59% Are analysts justified in these targets, or overly optimistic about where these stocks will be trading 12 months from now? Three of MGC's underlying holdings with notable upside to their analyst target prices are AbbVie Inc (Symbol: ABBV), Humana Inc. (Symbol: HUM), and T-Mobile US Inc (Symbol: TMUS). Although ABBV has traded at a recent price of $143.41/share, the average analyst target is 19.89% higher at $171.94/share. |
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