Concordia Healthcare Corp. T.CXR.R

New to company

[HappyRoger]

Good Evening, I initiated a large position (large for me) in CXR last week. The main reason I was interested in this stock is the insanely low forward price to earnings ratio, and the more I read the more I was intrigued. I was thinking about adding more shares (should have pulled the trigger this morning!), as even after the gap up today it still seems to be very cheap to me on a fundamental basis. I apologize if this has already been covered on this board, but does anyone know why this is trading so cheaply? I looked at previous discussions and while there is a lot of "colorful" back and forth, I was having difficulty finding much in terms of real info and don't feel like reading back through weeks of discussion. Is there any confirmed link betweem this company to Valeant aside from them both being domiciled in Canada and in the same sector? My read is that this company has been unfairly painted by broad negativity over Valeant and US pharma in an election year. I do underatand that they do more business internationally now, and have a very different profile of drugs (less dependent on price increases) than Valeant and others in the space. But I feel like maybe I am missing something here. Also, I have read concerns about debt, but looking at the structure and lack of concerning covenants, really do not see much of an issue given earning potential. I guess what I am asking is am I missing something here? My conservative calculations say this should be in a range of 50 - 60 USD, with significant room to the upside should they deliver even slightly less than their guided earnings. So again, I just want to hear a little about the potential issues, as I am not seeing much on here or from the analysts aside from vague mentions about debt load. Any polite responses welcome! (Bears or bulls) Regards, Roger

[Lumberfeverlong]

Your read is accurate. The market will get the valuation right eventually. I would load up some more if I were you. 

[YouLose]

Short interest has been building in this stock steadily for weeks. I would ask myself before adding more, "what do they know that I do not?"... Truth is big investors and hedge funds like that always have an inside track on information and we retail investors are left playing catch up. If hedge funds and big investors are shorting I would not buy the shares they are selling. I would wait

[Pj1958]

I see the Boa behind their backs ready to put the squeeze on... Look out cover your shorts... There was 11 days to cover and about that many trading days before year end results.

[YouLose]

You've got it all wrong. We have 11 days to build our positions to take advantage of the exodus. Honestly, any longs that want to roll the dice into earnings need to have their heads examined. Only 2 months of AMCo results plus closing and transaction costs, a miss is all but certain. Best case scenario is earnings on or slightly under the street. I am trying to be a voice of reason here

[Pj1958]

Youloser.... Any big boy with an IQ over 50 can extrapolate results for 2 months with AMCO to 3 month results , and they also know that closing costs are a one time item and we all know how to subtract them for future Q results... But nice try.... The boa is getting closer.

[Lucky27]

||||||||||||||||||||||Youlose is the new notwrong, funny how the bashers show up under different names. What abunch of a holes, they can't make proper stock choices so they short ususpecting retail investors. Tip to retail guys like me who do thier DD, just click on the profile, see how long thier profile has been on stockhouse and how many ignores they have. Shorters living in mommas basement

[sunshine7]

Ulose, this rally has short covering written all over it. I suggest you ask yourself "what do they know that I don't ". It won't be up every day, so I would recommend using one of those days to cover ans sign off SH. Take a (permanent) vacation.