This morning shares of Genentech (DNA-NYSE) are trading up 1.3% at just under $76.00 after a Deutsche Bank upgrade on the stock. Shares closed at $74.90 yesterday and even traded as low as $74.32 intraday. Both levels marked lows for the last 52-weeks, but this is actually a critical juncture because the stock broke a two-year low since their was no ‘wow-effect’ at all this year from teh ASCO conference last weekend.
The Deutsche Bank upgrade this morning from a ‘Hold’ to ‘Buy’ is based on discount valuations and upon treatments for colon cancer, MS, and lupus. The 12-month target is somewhat in-line with many of the older ‘buy’ targets from Wall Street and is listed as $95.00.
With Congress looking for ways to scalp biotech drug prices, with an election coming up, and with a chart that is looking like a weak pulse in the ICU one just has to wonder if this upgrade will really change much. Stocks that trade at a discount usually do so for a reason.
Jon C. Ogg
June 8, 2007
Jon Ogg can be reached at [email protected]; he does not own securities in the companies he covers.
Want to Retire Early? Start Here (Sponsor)
Want retirement to come a few years earlier than you’d planned? Or are you ready to retire now, but want an extra set of eyes on your finances?
Now you can speak with up to 3 financial experts in your area for FREE. By simply clicking here you can begin to match with financial professionals who can help you build your plan to retire early. And the best part? The first conversation with them is free.
Click here to match with up to 3 financial pros who would be excited to help you make financial decisions.
Thank you for reading! Have some feedback for us?
Contact the 24/7 Wall St. editorial team.