5 Best Biotech Stocks To Buy For 2017

Heres a roundup of everything we covered on Barrons Stocks to Watch today:

Agence France-Presse/Getty Images

We observed the market’s second triple high in less than a week and wondered what it would take for a melt up.

We offered two bullish takes on biotech stocks, one a technical argument, the other fundamental.

We explained why Mizuho upgraded Valeant Pharmaceuticals International (VRX), why B.Riley upgraded Procter & Gamble (PG), and why JPMorgan sees more upside for U.S. Steel (X).

We contemplated Under Armour’s (UA) “enormous opportunity,” McDonald’s (MCD) sluggish sales, and the distance you can drive a Tesla Motors’ (TSLA) car.

We explained how bank stocks are riskier this year than they have been in a while, how Delta Air Lines’ (DAL) cancellations last week will hit its bottom line, and why Alphabet’s (GOOG) concerns about the cost of Google fiber is not necessarily bad news for Dycom (DY).

5 Best Biotech Stocks To Buy For 2017: Amgen Inc.(AMGN)

Advisors’ Opinion:

  • [By Ben Levisohn]

    Well, it looks like Medivation (MDVN) now has five suitors after reports that Amgen (AMGN) is joining Pfizer (PFE), Sanofi (SNY), AstraZeneca (AZN) and Novartis (NVS) in considering a bid. Maxim’s Jason Kolbert and Jason McCarthy offer their thoughts:

  • [By Ben Levisohn]

    After Gilead Sciences (GILD) and Amgen (AMGN) left investors wanting more, it might have been fair to wonder if Celgene (CELG) would meet the same fate when it released earnings this morning. It didn’t. And unlike Gilead and Amgen, whose shares dropped after their earnings release, Celgene is gaining.

  • [By Ben Levisohn]

    BMO Capital Markets analyst M. IanSomaiya and team take a look at the “clinical readouts through the end of 2016″ and find upside catalysts for Celgene (CELG), Amgen (AMGN), Biogen (BIIB), and Gilead Sciences (GILD) They explain:

5 Best Biotech Stocks To Buy For 2017: ARIAD Pharmaceuticals Inc.(ARIA)

Advisors’ Opinion:

  • [By Lisa Levin] Related CXW Trump Or Clinton: Who Would Create More Jobs? The 2016 Economics Nobel Prize Winner's Case Against Private Prisons: Contracts Are The Key Wall Street Breakfast: Trump Takes The White House (Seeking Alpha) Related SAEX 20 Biggest Mid-Day Losers For Friday 22 Stocks Moving In Friday's Pre-Market Session SAExploration wins $35M seismic data deal (Seeking Alpha)
    Gainers Corrections Corp Of America (NYSE: CXW) shares rose 16.3 percent to $16.50 in pre-market trading following Donald Trump's victory. SAExploration Holdings, Inc. (NASDAQ: SAEX) shares rose 15.4 percent to $7.26 in pre-market trading after the company reported a new $35 million deep water ocean-bottom marine project award. The GEO Group Inc (NYSE: GEO) shares rose 12.9 percent to $26.95 in pre-market trading following Donald Trump's victory. Cloud Peak Energy Inc. (NYSE: CLD) rose 12.3 percent to $7.40 in pre-market trading after gaining 0.30 percent on Tuesday. Ariad Pharmaceuticals, Inc. (NASDAQ: ARIA) rose 11.7 percent to $10.35 in pre-market trading. Ariad Pharmaceuticals disclosed that its Phase 1/2 trial data on investigational drug brigatinib were published in The Lancet Oncology. AK Steel Holding Corporation (NYSE: AKS) rose 11.2 percent to $6.75 in pre-market trading after gaining 3.23 percent on Tuesday. Pretium Resources Inc (NYSE: PVG) rose 11 percent to $10.50 in pre-market trading after declining 1.66 percent on Tuesday. First Majestic Silver Corp (NYSE: AG) rose 9.3 percent to $8.90 in the pre-market trading session. First Majestic reported Q3 earnings of $0.07 per share on revenue of $79.3 million. Silver futures gained 2.2 percent to $18.77 an ounce. Dicerna Pharmaceuticals Inc (NASDAQ: DRNA) rose 9.2 percent to

5 Best Biotech Stocks To Buy For 2017: Medivation Inc.(MDVN)

Advisors’ Opinion:

  • [By Ben Levisohn]

    RBC’s Simos Simeonidis and Matthew Eckler try to find the right comparison for Pfizer’s (PFE) purchase of Medivation (MDVN):

    Scott Eisen/Bloomberg News

    We were obviously wrong with our Sector Perform rating: while we knew an M&A transaction was definitely a good possibility, we just could not get to this level of valuation using a realistic Xtandi model and thus could not recommend the stock. The only way for us to get to $81.50 (or even to $60-$70/share) would have been to assign very significant value to talazoparib. And we could not do that given the amount of available clinical evidence.Medivation shareholders who held on to their shares past the $50′s, did just that, were proven right and are now rewarded for it, since they believed that someone would be willing to pay for this asset just months ahead of Phase III data. The key question is why would a company be willing to part with what they claim/think may be a multibillion dollar drug that works in multiple cancers. We believe the obvious answer is because they’re smart and understand drug development risk better than most. We’ll know in a matter of months whether Pfizer/Medivation is like Amgen (AMGN)-Onyx (carfilzomib) or not.

  • [By Lisa Levin]

    Shares of Medivation Inc (NASDAQ: MDVN) got a boost, shooting up 24 percent to $46.35 amid word of a new report from Bloomberg, saying the company is working with bankers to defend itself against preliminary interest of a takeover. However, Reuters separately reported the company is working with JPMorgan to handle interest from other companies, but said Medivation has no interest in selling itself.

  • [By Ben Levisohn]

    Last night, Bloomberg reported that Sanofi (SNY) had made a bid for Medivation (MDVN) but had been rebuffed, while noting that other companies–perhaps Gilead Sciences (GILD), Amgen (AMGN) or AstraZeneca (AZN)?–were also on the prowl. SunTrust Robinson Humphrey’s Peter Lawson explains why Medivation might be biotech’s most wanted:

5 Best Biotech Stocks To Buy For 2017: Biogen Idec Inc(BIIB)

Advisors’ Opinion:

  • [By Ben Levisohn]

    BMO Capital Markets analyst M. IanSomaiya and team take a look at the “clinical readouts through the end of 2016″ and find upside catalysts for Celgene (CELG), Amgen (AMGN), Biogen (BIIB), and Gilead Sciences (GILD) They explain:

  • [By Ben Levisohn]

    Do we need to remind you how hard biotech stocks have been hit this year? If you read this blog, probably not, but we’ll do it anyway. The iShares Nasdaq Biotechnology ETF (IBB) has fallen 24%, while Gilead Sciences (GILD) has declined 8.7%, Biogen (BIIB) has fallen 17%, Celgene (CELG) has dropped 16%, and Regeneron Pharmaceuticals (REGN) has plunged 32%. Yet despite these drops–and the decline in valuation that accompanied them–the Janus Equity Team contends nothing has changed for the sector:

  • [By Chris Lange]

    Biogen Inc. (NASDAQ: BIIB) had its short interest decrease slightly to 2.36 million shares from the previous 2.55 million. The stock closed Wednesday at $319.86, within a 52-week range of $223.02 to $333.65.

  • [By Ben Levisohn]

    On Tuesday, Baird predicted that Gilead Sciences (GILD) will miss earnings forecasts when it releases its financials on April 28. Barclays’ Geoff Meacham and team, however, foresee an earnings beat from Gilead and Amgen (AMGN) as well, but are more cautious on Biogen (BIIB) and Celgene (CELG). They explain why:

5 Best Biotech Stocks To Buy For 2017: Alnylam Pharmaceuticals Inc.(ALNY)

Advisors’ Opinion:

  • [By Paul Ausick]

    Alnylam Pharmaceuticals Inc. (NASDAQ: ALNY) lost about 50% Thursday to post a new 52-week low of $35.31 after closing Wednesday at $70.30. The 52-week high is $110.75. Volume of around 15 million was more than 20 times the daily average of around 640,000 shares traded. The company said today that it is discontinuing a late-stage clinical trial.

  • [By Monica Gerson]

    Benzinga's newsdesk monitors options activity to notice unusual patterns. These large volume (and often out of the money) trades were initially published intraday in Benzinga Professional . These trades were placed during Friday's regular session.

    Caterpillar Inc. (NYSE: CAT) Jan17 77.5 Calls Sweep: 1022 @ ASK $4.45: 1066 traded vs 2466 OI: Earnings 7/28 $75.88 Ref Anacor Pharmaceuticals Inc (NASDAQ: ANAC) Jan17 110 Calls: 500 @ Above Ask! $0.40: 509 traded vs 1860 OI: $99.22 Ref Ctrip.com International, Ltd. (ADR) (NASDAQ: CTRP) Jun16 41.25 Calls Sweep: 577 @ ASK $1.75: 649 traded vs 1927 OI: Earnings 6/15 After Close $40.54 Ref Alnylam Pharmaceuticals, Inc. (NASDAQ: ALNY) Jun16 65.0 Calls Sweep: 749 @ ASK $1.85: 813 traded vs 370 OI: $63.08 Ref WhiteWave Foods Co (NYSE: WWAV) Oct16 50.0 Calls: 600 @ ASK $1.60: 601 traded vs 430 OI: $45.16 Ref

    Posted-In: Unusual Put OptionsNews Options Markets