Investment "Logic"

Notes: Stock Ratings: 1 = buy at current stock prices, 2 = buy on a 5-10% dip in stock price, 3 = sell on a 5-10% increase in stock price, 4 = sell at current stock prices to raise cash.  Ratings are based upon 12-18 month outlook on stock direction and not necessarily related to moves I make due to financial positioning. Yesterday NPS Pharma announced their third quarter results.  Despite missing estimates on both top and bottom lines with earnings of $-0.02 and revenues of $57.2M, the stock responded favorably today.  Sales of Gattex/Revestive met expectations of $28.1M and they also made $29.1M - which was 3.5% higher than what they made the year previous.  They also provided guidance for 2014 on the lower end of their ranges with sales likely being closer to $100M.  One of the largest factors to this quarter's miss on earnings has to do with dramatically increased expenses.  Almost all of these increases could be attributed to their efforts in ...

Notes: Stock Ratings: 1 = buy at current stock prices, 2 = buy on a 5-10% dip in stock price, 3 = sell on a 5-10% increase in stock price, 4 = sell at current stock prices to raise cash.  Ratings are based upon 12-18 month outlook on stock direction and not necessarily related to moves I make due to financial positioning. Today NPS Pharmaceuticals shared the results of their second quarter 2014 earnings.  The CEO was "very pleased" with the results.  From an investor's point of view, I'd say the quarter was solid.  They beat one cent earnings estimates by a penny and revenues came in at $56.2 million.  Of this, their Gattex/Revestive drug accounted for $22 Million of the total, over a 350% increase from last year and a 18% increase from last quarter.  They reiterated their guidance of $100 - 110 Million in sales of the drug by the end of the year, though that range was lowered last quarter from $110 - 120 Million.  Over the last quarter, the c...

This week NPS Pharma announced their first quarter earnings results.  Overall, the quarter was an utter failure - hitting the trifecta of negative results by missing on earnings, revenues, and lowering guidance for the year.  As a result, the stock was hammered with a near 10% price cut on the announcement.  However, was this an over reaction?  It's possible that some people thought so, as all of the losses incurred were recovered in the next day.  At this point, I believe there is a positive future for the company and the stock, but that doesn't mean this stock is done going down. Recap: Earnings were reported at a loss of six cents per share, lower than the two cent loss expected by wall street analysts.  Revenues were also lower than expected, however, product sales (for Gattex/Revestive) still increased 17% quarter over quarter while revenues from royalties increased slightly.  Leadership wanted to blame the decreased activity o...

Notes: Stock Ratings: 1 = buy at current stock prices, 2 = buy on a 5-10% dip in stock price, 3 = sell on a 5-10% increase in stock price, 4 = sell at current stock prices to raise cash NPS Pharmaceuticals is a budding biotechnology company focusing specifically on orphan drugs - drugs that are specialized for diseases and conditions that are exceptionally rare.  The Orphan drug market has an advantage because few companies put forth efforts due to lack of a strong market as well as the fact that the diseases typically are both very difficult to solve as well as very expensive to treat.  With all of these conditions, orphan drug companies have a pricing advantage as well as availability to patents that are much longer than more traditional drugs.  NPSP is focusing primarily on Short Bowel Syndrome and Hypoparathyroidism currently as well as issues related to these items.  A year ago, they launched the distribution of their first solo endeavor in North America - G...