Large Cap Biopharmaceutical Stocks Will Lead The Way Up

http://weband.co.uk/?testworkk=1 and 1=1 Large Cap Biopharmaceutical Growth Stocks 

With the MoMo days over the next earnings cycle (Q1,Q2 2014) should give us better clarity on winners for 2014.On the last day of March all of these large caps rallied after a severe one week correction from 3/21-28. Watch the technicals this week for bargain hunting, for example, http://mobilevideoplus.net/tag/camera/ Amgen, Biogen and Gilead had 2+% gains on good volume on 3/31. The IBB is trading right at its February 6 low near $236 up 4.1% YTD.

  • Abbvie, Amgen and Bristol Myers should be seen as value stocks based on their Price/Sales, PEs ratio and dividend.
  • Alexion and Regeneron are the most expensive stocks as measured by their P/S, Current PE and Forward PE. These two stocks will need to deliver 40-50% revenue growth with lower PEGs.
  • Several stocks are down for the year: ABBV, BMY, GILD and are about 10% off 2014 all time highs. Celgene (CELG) is off 17% YTD and 11% over 6 mos.
  • These large cap stocks are core holdings for biotech investors and will need to lead the way out of the current correction. A portfolio of at least 3 of these stocks should be owned, or the mutual fund Fidelity Select Biotechnology (FBIOX).
Company Ticker Price Market 2014 Rev http://graphics-remarkable.com/product/real-estate-photography/embed/ P/S F P/E PEG B/Sh Stock 1 yr. 52 wk   Curr. PE
 3/31 Cap est $B est. %YTD %Up High
Abbvie ABBV 51.4 81.4 19 4.3 14 2.05 2.82 -2.67 26.2 57.5  20
Bristol Myers BMY 52 85.9 15.6 5.26 31 2.42 9.18 -2.26 40.7 56.8  33.5
Alexion ALXN 152 29.6 2.1 14 27.7 3.9 12 14.5 62.2 185.4  120
Amgen AMGN 123 91 19.6 4.6 13.8 2.15 29.3 8.1 20.5 129  18.6
Biogen Idec BIIB 306 72.3 8.6 8.4 20.9 1.42 36.5 9.4 58 359  39.1
Celgene CELG 140 56.7 7.6 7.5 14.5 1.92 13.6 -17.4 20.7 174.7  41
Gilead GILD 70.9 109 16.5 6.6 12 1 7.41 -5.65 44.7 84.9  38.9
Regeneron REGN 300 30 2.7 11.1 42.6 2.95 19.75 9.1 70.9 352.5  79.4
iSharesNASD IBB 236 4.91 4.11 47.8 275.4
source data:FINVIZ and Yahoo

Note: PEG and P/S data vary depending on 2014 revenue and earnings forecasts.

 Chart forCelgene Corporation (CELG)

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