BLUE HP is a bit surprised that PBSC is maintaining here, now that he thinks about it. I wasn't expecting it to take off this fast -- not that this is a huge move -- elephants or not.
PBSC's revenues are definitely at risk to the same pharma capex slows as the other big ticket tool companies. They also have a significant european exposure, and that is also a negative, IMO. One thing that is propping up this market, IMO, is the realization that things are going to be slow there, too, so the flight of european capital from U.S. equity markets that was being priced in by bears earlier in the year hasn't happened. But it's bad news for companies with foreign exposure, as this is a seasonally slow time there & and the euro is still having negative EPS impacts.
Also, in their CC, they noted Axon was competing strongly in the reader market. I like PBSC in the long haul, but feel inclined to take profits here. I will see what the action is like tomorrow, but tentatively I'm hoping to get $8 bucks for it.
BLUE HP could use the cash for other targets. I might find myself averaging into BDAL, for example, and KOSN. Any other suggestions for profit taking?
Cheers, Tuck |
