RE:RE:Taking it in the ChinEarly November I believe.
I think CXRX is following Valeant's trend at the moment. The two companies are NOT the same. VRX is trading the way it is because institutional buyers hold large positions - CXRX virtually NO major fund has a significant holding.
Valeant is a 10x riskier investment - the company has competitive pressures and supplier pressures on almost all products. Yes teh company can divest and sell products - but to what avail? It needs its earnigns power to look decent.
I think Q3 will be okay - I've modeled out a -4% International and -6% NA revenue growth and numbers seem good.
Scripts have been decently flat. Cost pressures were factored in. The only concern is the actual GBPUSD impact. Anyways I'm interested to see what the market is pricing in... the fact of the matter is that these are retail longs vs. professional/hedgie shorts at the moment. Without institutional support the only thing driving the company up will be a strong earnings report to grow confidence.