05-12-2020, 08:49 AM
(05-12-2020, 07:32 AM)divmenow Wrote:(05-11-2020, 04:04 PM)EricL Wrote: Nice day for biotech.
ABBV up 4.7% today, and now just 10% below 52-week highs. Still yields 5.4%, although I think that will be dropping quickly with the AGN deal finalized.
AMGN up 3.3% and now at 52-week highs.
ABBV is headed to $100. It’s the best bio to buy on Valuation and yield. BMY headed higher as well. It’s a good space to be in.
I agree on ABBV, wouldn't be surprised at all if it ran to $120, which would be a ~4% yield.
It's still trading at a sub-9 PE on 2020 estimates, and earnings showed that Humira's becoming a smaller piece of the pie.
It's historically traded at about a 14 PE, which would be $144 on current estimates.
Glad it is one of the larger positions in my portfolio.