IBB large-cap review
The large-cap stocks of the iSharesNasdaq Biotechnology ETF (IBB) fell by 1.3% and was marginally better than the ETF itself. However, it underperformed the SPDR S&P 500 ETF (SPY), which fell 0.2%. As of April 11, 2016, IBB has 13 large-cap stocks in its portfolio. Among them, 12 stocks declined and only one stock advanced. The large-cap stocks of IBB account for 66.5% of IBB’s portfolio.
The above graph reflects the daily changes of IBB large-caps compared to the SPDR S&P 500 ETF (SPY) since the beginning of the April. So far, IBB’s large-cap stocks have managed to outperform SPY with a return of 4.1% in April to date.
Mylan launched generic version of Lopressor
In a press release, Mylan (MYL) announced “the U.S. launch of Metoprolol Tartrate Tablets USP, 37.5 mg and 75 mg, which is the generic version of Novartis’ (NVS) Lopressor Tablets. These strengths are the first and only available intermediate dosage strengths between the existing Metoprolol Tartrate Tablets USP strengths of 25 mg, 50 mg and 100 mg. Mylan currently is the only manufacturer that offers Metoprolol Tartrate Tablets in five strengths.”
The press release went on to say, “Mylan received final approval from the U.S. Food and Drug Administration ([or] FDA) for its Supplemental Abbreviated New Drug Application ([or] ANDA) for its Metoprolol Tartrate Tablets, 37.5 mg and 75 mg, which is indicated for the treatment of hypertension.”
Mylan closed at $45.56, a fall of 3% from its previous closing. Year-to-date, the stock has fallen 15.7%. Peers Eli Lilly (LLY) and Bristol-Myers Squibb (BMY) have year-to-date returns of -12.2% and -4.1%, respectively. Mylan has a book value of $19.90 per share. With its current price, the stock is trading at a PBV (price-to-book value) of ~2.3x. It’s trading at a 2016 forward PE (price-to-earnings) multiple of ~9.3x. Mylan has a weight of ~4% in IBB’s portfolio.
In the final part of our series, let’s look at the fast-track status of Carbavance.