Potash Corp Shares Could Be A Buy At Current Levels
Mar 12, 2010 Company News, Earnings, Stocks On The Move, Technical Analysis
Fertilizer maker Potash Corp of Saskatchewan (POT) added $8.34 or 7.13% to $125.27 on Friday March 12, after the company on Thursday evening, raised its current (first) quarter guidance to $1.30-$1.50 per share, which is a substantial improvement from the company’s own very recent estimates of $0.70-$1.00 per share, that was provided just six weeks ago, on January 28.
With analysts bound to question why the company would revise so sharply in so short a period, the company’s explanation was, “the upward revision reflects a sharp rebound in potash demand that is expected to drive a record quarter for North American sales volumes and strong offshore shipments, as well as higher-than-expected margins in nitrogen and phosphate.”
The dramatic improvement in the company’s fortunes, make the shares a buy, although we are now against resistance, with a double top formation in play at current levels. As such, we would look for a break above current levels, before going long the shares.
Medivation Stock Drops 67%
Mar 3, 2010 Company News, Stock to watch
Shares of Medivation (MDVN), sold off rather dramatically today, with the stock dropping from $40.25 to $13.10, a loss of 27.15%, after the company announced that an Alzheimer drug, Dimebon, that it is developing, did not show any “statistically significant improvements” over a placebo group, in a drug study and failed to meet its primary and secondary endpoints, with those endpoints being “cognition and global function.”
Medivation is developing the drug in partnership with Pfizer (PFE), which saw its shares drop 1.59% on the news.
In a press release issued by the company, the company’s CEO, Dr. David Hung, stated that, “the results from the CONNECTION study are unexpected, and we are disappointed for the Alzheimer’s community. We are working with our colleagues at Pfizer to better understand the CONNECTION data and we plan to present these data at an upcoming medical meeting.”
Tags: dimebon, medivation, pfizer
