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Strategies & Market Trends : Value Investing

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To: hoyasaxa who wrote (15707)10/31/2002 5:59:34 PM
From: Paul Senior  Read Replies (2) of 78625
 
hoyasaxa, I know nothing about LabCorp, but I do like Quintiles. For those who don't follow it, the chairman/ founder recently offered to take it private for $11.25/sh. (Stock closed today @$10.75.) I'm under the impression that analysts who follow the co. say the price is too low and won't be accepted by the committee set up to evaluate the offer. QTRN has no long term debt and $5/sh cash (per Yahoo).

I like QTRN because, being as large as it is, it's involved in several ancillary businesses in the biotech and pharmaceutical industries, e.g. data collection, marketing, and trials (testing). QTRN should (that's imo) benefit from the alleged increasing trend of pharmaceutical companies to outsource. OTOH, they don't seem to be benefiting very much so far. Also, some people believe as consolidation takes place in the pharma. and biotech sector, that will cut down on the number of business opportunities for QTRN and QTRN competitors. Thus a prime reason QTRN stock and competitor stocks are down.

I am betting QTRN stock will move up further if/when stocks of pharmaceuticals and/or biotechs improve. Jmo, and I've been wrong many, many times.

finance.yahoo.com
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