Tuesday, November 3, 2009

Novartis (NVS) Q3 Earnings

My apologies for posting so late, I accidentally created a new blog and posted this elsewhere on 10/24.

We are currently amid Q3 earnings season right now. A major pharmaceutical company that I have been following Novartis (NVS) reported their earnings on 10/22/09. They reported .89 given the street estimates of .84. The stock currently is sitting at $52. Catalysts for the better than expected earning include: large profits from break through drugs Diovan, Tekturna, and Gleevec, expansion in Japan and Singapore, and continued revenue growth from their OTC and generic branding products which were up a total of 6% from Q2. Both these divisions account for 32% of sales. Overall, Profits were up 1% and sales were up 3%. A major event to look for will be the sales and distribution of H1N1 vaccines in both the U.S and Europe. Management has projected Q4 sales to increase from a projection of $400 million to $700 million. Keep your eyes out on this stock as it has been slowly breaking down resistance of it's 52-week high.

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