On Friday afternoon, I told said that you could buy into this rally- specifically saying that McDonald's is a good buy on the pullback. At the end though, I said to take a look at Express Scripts (ESRX) and Teva Pharmaceutical (TEVA)- both have been beaten down lately.
ESRX- The Company operates in two business segments: PBM and Emerging Markets. The PBM segment consists of retail network pharmacy management and retail drug card programs, home delivery services, benefit plan design and consultation, etc. The EM segment consists of distribution of pharmaceuticals and medical supplies to providers and clinics, etc. This stock, like most healthcare stock have been sold off. I think its way over done. This is a growth company that shows no sign of slowing down.
TEVA- A global pharmaceutical company that develops, produces and markets generic drugs covering all treatment categories. This stock is just off a 52 week low, and I think its an opportunity to buy into a great company. Friday, the FDA OK'd a generic version of Sanofi-Aventis' (SNY) blood clot treatment Lovenox, boosting shares of Momenta (MNTA). TEVA also is seeking to make a generic version. The FDA decision was seen as a sign the FDA is willing to approve a generic version of Teva's multiple sclerosis drug, Copaxone, as well as other complex biological drugs. I see this as a positive catalyst for the stock, not a reason to sell.
ESRX opened at 43.08/share
TEVA opened at 50.59/share