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Strategies & Market Trends : Value Investing -- Ignore unavailable to you. Want to Upgrade?


To: gcrispin who wrote (40427)12/7/2010 1:04:11 AM
From: armi  Respond to of 78744
 
Pharm is generally a sector that I tend to stay cautious in.

A company can live and die by patents in this field and unless they have a substantial part of their sales in something else like JNJ where they have a lot of sales in Consumer Health(btw. JNJ is at an okay entry price, by no means value but not expensive too!).

I haven't read into Merck but by looking at their financial statements, Merck has a billion more in shares outstanding and sold a lot of their Treasury Stock as well.

Doing a quick google search, I noticed they paid $49.6 billion for rival Schering-Plough which is probably a good deal considering their is a lot of praise for the deal.