ELECT 24 Top Ad

Buzz Stocks: Valeant Pharmaceuticals Intl Inc, Biogen Inc, and Ralph Lauren Corp

Today's stocks to watch in the news include Valeant Pharmaceuticals Intl Inc (NYSE:VRX), Biogen Inc (NASDAQ:BIIB), and Ralph Lauren Corp (NYSE:RL)

Jun 7, 2016 at 9:45 AM
facebook X logo linkedin


Stocks are higher out of the gate, after Fed Chair Janet Yellen failed to provide a specific timeline for interest rates in yesterday's highly watched speech. On the corporate front, biotechs Valeant Pharmaceuticals Intl Inc (NYSE:VRX) and Biogen Inc (NASDAQ:BIIB), as well as retail stock Ralph Lauren Corp (NYSE:RL), are all making headlines this morning.

  • VRX has dropped 16.5% out of the gate, after the company reported first-quarter earnings well below estimates and slashed its full-year guidance. According to CEO Joseph Papa, these results reflect the "significant disruption" the embattled drugmaker has faced recently. However, he added that Valeant Pharmaceuticals Intl Inc has "made progress toward stabilizing the organization over the past few months." On the charts, today's price move is just more of the same for the stock, which is now down almost 90% year-over-year at $24.09 -- and earlier hit a new five-year low of $22.88. Analysts have been less than enthusiastic toward VRX, too, with 69% of those covering the shares maintaining a "hold" or "strong sell" rating.

  • BIIB is down 9.4% at $262.54, following disappointing results for the company's multiple sclerosis drug, opicinumab. Until today, the stock had been bouncing back in recent weeks, after Biogen Inc's spin-off plans sent the shares tumbling in early May. Longer term, though, the stock remains a laggard, shedding 32% of its value over the past 12 months. Options traders, meanwhile, have been quick to initiate long puts over calls in recent weeks. At the International Securities Exchange (ISE), Chicago Board Options Exchange (CBOE), and NASDAQ OMX PHLX (PHLX), BIIB's 10-day put/call volume ratio of 1.16 ranks just 4 percentage points from a 52-week peak.

  • RL said it will shutter roughly 50 stores and cut its workforce as part of its restructuring efforts, with CEO Stefan Larsson expected to provide more details at today's annual investor day. Additionally, Ralph Lauren Corp forecast full-year revenue to drop in the low-double digit percentile. Against this backdrop, the shares are down roughly 8% at $88.50, and off 35% year-over-year. Analysts haven't been that encouraged by the stock, either, with 10 out of 13 maintaining a "hold" or worse rating. Elsewhere, short interest jumped 17% in the two most recent reporting periods, and now accounts for a healthy 8.7% of RL's available float.
Sign up now for Schaeffer's Opening View newsletter to get a head start on all the major pre-market news!
 

Biden’s government just announced a new government "stimulus program"...

And it could hand you a payment for as much as $7,882 — each quarter.

See, it has to do with a recent 19-page memo from Biden’s office...

Directing the government to once again send a form of "stimulus payments" to the mailboxes of Americans during these difficult times.

Better still, you can collect these payouts every single quarter — for life...

Payments run as high as $7,882... And it only takes five minutes to sign up.

I call this the "Stimulus Stipends" program…

And Forbes recently declared that you can "retire rich" thanks to this program.

So if you want to start cashing in your quarterly payouts — courtesy of the U.S government...

Discover how to receive your FIRST "Stimulus Stipends" payment for up to $7,882 here. 
 (ad)
 

election 2024 report

                                                  AD                                                  
best AI trade you can make today…?
(it’s not MSFT, GOOGL, AMZN or AAPL)

                                                  AD                                                  

 
 

VOLATILITY SCORECARD

 


                                               AD                                                    
Crazy Opportunity!! Tiny AI Stock just $3
“This Type of AI Will Be Worth “Ten MSFTs.”

                                               AD                                                    

 
4 AI STOCKS TO BUY NOW
 

                                                  AD                                                  
best AI trade you can make today…?
(it’s not MSFT, GOOGL, AMZN or AAPL)

                                                  AD