Times- Tempus "Hikmas share price can be wildly volatile on any given day over and above the drug companys ability to hand out shocks to its investors. Admittedly the latest, that the company is facing increasing competition in the market for generic drugs in the US, should not have come as a surprise.Others in that market, such as Teva Pharmaceutical of Israel and Mylan, Hikmas rival in developing a generic form of Glaxosmithklines Advair asthma blockbuster, have already indicated this. The US Food and Drug Administration has every reason to try to get cheaper generics to the market quickly with healthcare budgets under pressure.Yet the shares fell 139p to £11.90. The statement over that Advair generic is bland enough, even if Mylan is a few weeks ahead of Hikma in gaining approval. Glaxo was being cautious earlier this year over Advair, but even if competition had come this summer it was still forecasting sales of £1 billion for the compound so the market is big enough for two rivals even before you factor in the prospects of further sales in other markets such as China.Hikma shares sell on about 14 times this years earnings, historically low. Existing investors should hang on, though a buy looks speculative.MY ADVICE HoldWHY Shares are back a long way but uncertainties remain"
Re: Why the drop? Don't want you to miss out hardboy but we may already have seen the bottom.
Re: Why the drop? I've never known Hikma so cheap by PE, Price/book, or offer such a high yield; and although it's going through a tricky phase, there is still a lot of potential growth. (I'm still glad they've dropped the "fast growing" from the opening of all news releases.) Debt is coming down too. I think I'll give it a few days to find its bottom before piling in though.
NEW ARTICLE: Down 50% since March but still a 'buy' "It's now been two years since LSE:HIK:Hikma Pharmaceuticals sealed an eye-catching $2.65 billion (Â£2 billion) acquisition that transformed its position in the US generics market.The purchase of Ohio-based Roxane Laboratories, which was founded in ..."[link]
Re: Why the drop? Results somewhat worse than expected and forward guidance on the bottom end of most estimates. However, hang on in there - this share is easily moved by news - good or bad and I think most of the bad is now out of the way. I have increased my holding by around 50% today.
Re: Why the drop? Downward trend and heavily shorted. Looks overdone to me though now - smashed through all daily support levels and RSI on the floor.
drop results not that good forward projections poor only positive with link with eastern / japan/china takedalossing a lot but hold beufort securities had them on abuy on 1400 !!!!hope some one will bid !!!! optimistic chart looks horrible
Why the drop? Can anyone explain the drop? The news looks okay, no bad brokers' views, what's going on?
ADVFN/M&A 4 YEAR LOWS HERE.You have to go back to late 2013-14 to see the SP at these levels.For no good reason either.Yet another shorter orchestrated fall. 5.31%Aside from the delayed approval of a product they never had (!) tell me what other major disaster has befallen this company?The arabs/CEO Darwazah may well take this back into private ownership.After all this was 2650p this time last year.
Re: SP Slide broker downgrade today but only the reason for todays fall
SP Slide Since the drop out of ftse 100 the sp fall has continued, is the problem with FDA the problem?
AGM tomorrow May elaborate on the reasons for FDA rejection despite HIk being very confident of approval & revenue flows from the second half of this year.
Ouch Looks like a basic schoolboy error. Or do the FDA have another ax to grind? Does not inspire confidence, they should have got this sorted out.
Ouch Nasty reaction to the FDA news; but I think it's overdone. Basically it means Hikma won't be earning any money from a product in a market where it has never earned any money. In other worse it leaves them in the same position as they were before the news. OK I know some future earnings growth is built into the share price; but it is removal of possible good news soon rather than any real bad news.
Re: UpDown At what point will this become a screaming buy? Some good news on the Advair generic would stop the rot, but that's probably at least a month away......