Health and Healthcare

Top 4 BioPharma Movers of the Week

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Over the past week, a few biotech companies made absolutely massive runs, either up and down. In the past year, the health care sector was on fire from positive trials, U.S. Food and Drug Administration (FDA) approvals and mergers and acquisitions, but results are becoming more mixed as the valuation of these companies comes into question. Not to mention we might be in a bear market as well.

These companies 24/7 Wall St. has picked stood out from the rest with big moves over the course of last week. We have included information about each company, as well as recent trading activity and the consensus price target.

Neos Therapeutics

Though is gearing up for a secondary offering, Neos Therapeutics Inc. (NASDAQ: NEOS) has not released any pricing details on it yet. The most recent closing price to the filing was $13.58, and the offering is valued up to $69 million. Naturally with secondary offerings, shares are being diluted, so we can expect the value to drop.

Over the course of the past week, Neos shares fell 35.8%, and they are down 39.2% year to date. The stock traded at $8.72 per share on Friday’s close. It has a consensus analyst price target of $31.33 and a 52-week trading range of $8.91 to $28.99.

Alere

Following the announcement that it will be acquired by Abbott Laboratories, Alere Inc. (NYSE: ALR) absolutely skyrocketed in Monday’s regular session. The companies have only entered into a definitive agreement, so customary and regulatory conditions still apply if the transaction is to close. Under the terms of the agreement, Abbott will acquire Alere for a total of $56 per share, putting the total value of the offering at $5.8 billion, or a 50.5% premium from January 29’s closing price of $37.20.

Last week, shares rose 43%, and they are up about 36% year to date. Alere was trading at $53.20 on Friday’s close. The stock has a consensus price target of $56.00 and a 52-week range of $31.96 to $55.99.


Quotient

Quotient Ltd. (NASDAQ: QTNT) led the bears going into Friday’s trading session on news of a secondary offering. It priced its offering of roughly 4.44 million shares at $9.00 per share, with an overallotment option for an additional 666,666 shares. At this price, the entire offering is valued up to roughly $46 million. Quotient is a commercial-stage diagnostics company committed to reducing health care costs and improving patient care through the provision of innovative tests within established markets.

Shares fell 37.6% last week, and they are down 53.3% year to date. Quotient closed trading at $7.48 on Friday. The consensus price target is $28.00, and the 52-week range is $7.44 to $19.95.

Sinovac Biotech

Early Thursday morning, Sinovac Biotech Ltd. (NASDAQ: SVA) was riding high, following the offer for a potential buyout, but it looks like this company doesn’t want to take the bait. A special committee of its board of directors received a preliminary non-binding proposal letter from a consortium of Chinese companies to acquire all the outstanding common shares for $7.00 in cash per common share. This is a premium of 20.7% from Wednesday’s closing price of $5.80. At the same time, it was a premium of 29.3% from the 50-day moving average ($5.41) and a premium of 31.3% from the 200-day moving average ($5.33) at the time.

Over the course of the past week, Sinovac shares rose 40.4%. They are up 23.3% year to date. The stock traded at $7.05 on Friday’s close. It has a consensus analyst target of $6.00 and a 52-week range of $4.38 to $7.16.

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