Biogen Idec Inc. (BIIB): Today's Most Compelling Stock Buy

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SoTM Bull's Eye Report - Today's Most Compelling Buy
Thursday, July 11, 2013

At StateoftheMarkets.com, we strive to "own the best and ignore the rest" in our equity portfolios. Toward this end, each day we search our database for a "top stock" (a top rated company in terms of earnings strength as well as company and industry performance) that presents a strong technical "set up" and a good entry point.

In short, when our equity team is looking to add a stock to one of our portfolios, the "bull's eye" stock shown below is generally their first choice.



Company


Symbol


Industry

Stock
Rating

YTD
% Gain
S.T.
Stop
Loss
Biogen Idec, Inc BIIB Biotechnology 9.6 +47.77% $214.79

Why We Like The Stock:

Biogen Idec Inc (BIIB) is our most compelling buy today due to the fact that it is a top rated stock (in terms of earnings strength and company/industry performance) with a positive technical set-up. Biotechnology has been a leader this year, as evidenced in charts like Gilead Sciences (GILD), Celgene Corp (CELG), Regeneron Pharmaceuticals (REGN), Biogen Idec (BIIB), and even the sub-industry ETF itself (XBI). BIIB has a stellar long-term uptrend dating all the way back to June of 2010, when it was priced just below $50. Now at roughly $230, BIIB is still displaying technical strength, and good momentum moving forward. Recently, the stock hit late-May highs just north of $240, which would be the target of a short-term trade here. After pulling back in June, BIIB is back on the upswing, crossing above its short- and intermediate-term moving averages over the past couple of weeks. BIIB is a high flyer, but with such a pretty technical picture, is hard to pass up, even if only for a quick trade.
We Would Be Buyers:

At the current price (~$223.37).

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Company Profile:

Biogen Idec Inc. (Biogen Idec) is a global biotechnology company. The Company discovers, develops, manufactures and markets therapies for the treatment of neurodegenerative diseases, hemophilia and autoimmune disorders. The Company's products include AVONEX, TYSABRI, FAMPYRA, FUMADERM and RITUXAN. In September 2011, the Company acquired from the Dompe Group the noncontrolling interests in its joint venture sales affiliates in Italy and Switzerland. In April 2013, Elan Corporation, plc closed the TYSABRI (natalizumab) Collaboration Transaction with Biogen Idec.

Stock Rating:

The Stock Rating indicates the combined score of our proprietary Earning Strength and Company Performance models. The rating scale is 0 - 10 with 10 being the highest.

Disclosure:

At the time of publication the editor and affiliated companies own the following positions: None

Note: Positions may be bought or sold while this publication is in circulation without notice.

  Biogen Idec Inc - Last 3 Months

  Biogen Idec Inc - Last 12 Months

  Biogen Idec Inc - Last 5 Years

 

 

The analysis and information in this report and on our website is for informational purposes only. No part of the material presented in this report or on our websites is intended as an investment recommendation or investment advice. Neither the information nor any opinion expressed nor any Portfolio constitutes a solicitation to purchase or sell securities or any investment program. The opinions and forecasts expressed are those of the editors of StateoftheMarkets.com and may not actually come to pass. The opinions and viewpoints regarding the future of the markets should not be construed as recommendations of any specific security nor specific investment advice. Stocks should always consult an investment professional before making any investment.

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The analysis provided is based on both technical and fundamental research and is provided 'as is' without warranty of any kind, either expressed or implied. Although the information contained is derived from sources which are believed to be reliable, they cannot be guaranteed.

The information contained in our websites and StateoftheMarkets.com publications is provided by Ridge Publishing Co. Inc. (Ridge). One of the principals of Ridge, Mr. David Moenning, is also President and majority shareholder of Heritage Capital Management, Inc. (HCM) a Chicago-based money management firm. HCM is registered as an investment adviser. HCM also serves as a sub-advisor to other investment advisory firms. Ridge is a publisher and has not registered as an investment adviser. Neither HCM nor Ridge is registered as a broker-dealer.

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The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of The NASDAQ OMX Group, Inc.



This article appears in: Investing , Investing Ideas , ETFs , Stocks

Referenced Stocks: BIIB , CELG , GILD , REGN , XBI

David Moenning


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