T. Rowe Manager Adds Biotech, Conglomerate, Bank
Brian Rogers, the veteran skipper of T. Rowe Price Equity-Income (Nasdaq:PRFDX - News), has built a terrific long-term record looking for inexpensive stocks with healthy dividend yields. Rogers doesn't require all his picks to boast fat income payouts, however. One of his recent additions, the biotech firm MedImmune (NasdaqNM:MEDI - News), is a case in point. The company, which doesn't pay a dividend, trades at a reasonable valuation, Rogers says. The stock has been a favorite of other T. Rowe skippers, including Mid-Cap Value's (Nasdaq:TRMCX - News) Dave Wallack and Mid-Cap Growth's (Nasdaq:RPMGX - News) Brian Berghuis, who both believe investors are underappreciating the potential of MedImmune's intranasal flu vaccine, FluMist, and other drugs in its pipeline. Rogers characterizes the racier biotech stock as an interesting way to complement his fund's long-held (and thus far, poor performing) big pharmaceutical names such as Merck (NYSE:MRK - News), Bristol-Myers Squibb (NYSE:BMY - News), and Wyeth (NYSE:WYE - News). |
