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As The Markets Keep Dreaming, Listen for These Alarms

emerging markets

Markets have no memory. So once again they are rallying based on false hopes that central bankers will save them from themselves.

Despite a stealth bear market in many stocks, the major indices have recovered all of their 2015 losses in October. They've been boosted by several factors - large cap tech stocks, expectations for a delay in Fed tightening, more European QE, and further interest rate cuts by an increasingly desperate China...Such are the stuff that dreams are made of in the terminal stages of one of the biggest bull markets in history.

As I've written before, I believe that bull market is over and we are now likely entering a bear market. There are too many macroeconomic headwinds to sustain further stock market gains.

The Chinese economic miracle is over. Commodity prices are not going to recover any time soon...

Pharmaceutical Companies Hike Prescription Prices 76% Since 2010

pharma companies

Pharmaceutical companies have been raising the price of prescription drugs at an alarming rate since 2010.

According to a new report from The Wall Street Journal, the 30 highest-selling drugs in the United States saw their prices increase roughly 76% from 2010 through 2014.

And as they've raised prices, their profits have soared...

$30 Billion Deal Between Top Pharmaceutical Companies Is a Major Buy Signal

Biotech Investing

Another possible deal between two of the world's top pharmaceutical companies was announced this week when Shire Plc. (Nasdaq: SHPG) made an unsolicited offer of $30.6 billion for Baxalta Inc. (NYSE: BXLT).

Money Morning Defense & Tech Specialist Michael A. Robinson has been following this trend since 2014. He knew the world's top pharmaceutical companies would continue their M&A binge, and he recommended an investment to play that wave.

Robinson's pick has already climbed 17.6% this year and still has plenty of room to run...

Why Pharmaceutical Stocks Are Crushing the Market [Chart]

Biotech Investing

Pharmaceutical stocks have crushed the broader markets in 2015.

The S&P Pharmaceuticals Select Industry Index has climbed 20.9% year to date. In the last 12 months, the index has climbed 42.5%.

Here's how that compares to the broader markets...

[Chart] Pharma Companies Make Billions as Prescription Spending Soars

Biotech Investing

Prescription drug spending continues to hit record highs, and the world's top pharma companies continue to bank billions.

More than $374 billion was spent on prescription drugs in the United States in 2014, according to a report from the IMS Institute of Health. That was a 13.1% jump from 2013, and the highest growth rate in more than a decade, says ExpressScripts.

Here's a look at how U.S. prescription drug spending has trended over the last 10 years..

The 5 Top Pharma Companies Behind the World's Most Expensive Drugs

top pharma companies

The world's top pharma companies bring in billions in revenue every year, sometimes from only a few products.

That's the case with each of these top pharma companies. This chart shows the most expensive prescription drugs in the world. The most expensive drug, Soliris, costs each patient $409,500 every year.

Here are the seven most expensive drugs in the world:

This Merger of Top Pharmaceutical Companies Is a Major Profit Opportunity

top pharmaceutical companies

Two top pharmaceutical companies announced a merger this morning, continuing 2015's massive run of M&A activity.

Botox maker Allergan Plc. (NYSE: AGN) announced today that it will purchase Kythera Biopharmaceuticals Inc. (Nasdaq: KYTH) for $2.1 billion. That values KYTH shares at $75 each - 24% higher than Tuesday's closing price.

The move highlights one of our favorite profit plays of 2015. It's up 16.7% already and has plenty of room to run...

Complete List of Pharmaceutical Companies with the Highest Revenue

list of pharmaceutical companies

The pharmaceutical industry is one of the most profitable sectors in the world.

More than $978 billion was spent on prescription drugs in 2014, according to a report from ExpressScripts. That was a 13.1% jump from 2013.

And the biggest names in the pharmaceutical industry are bringing in billions annually. Here's the complete list of pharmaceutical companies by revenue in 2014...

This Pharmaceutical Industry Investment Plays a $166 Billion Trend

pharmaceutical industry

The pharmaceutical industry saw record-setting M&A activity in the first quarter of 2015.

According to PricewaterhouseCoopers, the "life sciences" field had 35 deals in Q1 2015. Those deals totaled $166.3 billion. That's more money than was spent during the entire year in 2014, when $150.1 billion was spent. In Q1 2014, just $46.5 billion was spent.

Money Morning's Defense and Tech Specialist Michael Robinson has been recommending a way to profit from the M&A boom throughout 2015.

His pick has already climbed 12% in 2015, compared to just 2% for the Dow Jones. Here's why it will continue bringing profits in 2015...

Where a Teva-Mylan Deal Would Rank Among Big Pharma Companies

big pharma companies

Two big pharma companies are in merger talks this week. Teva Pharmaceutical Industries Ltd. (NYSE: TEVA) announced Tuesday it's making a $40 billion bid for Mylan NV (Nasdaq: MYL).

Combined, the two firms would have revenue near $28 billion. That would make the company the ninth-largest pharmaceutical company in the world based on revenue.

Here's a look at the top 10 big pharma companies globally...

Top Pharmaceutical Companies Continue Massive M&A – Here's Your Profit Play

Top pharmaceutical companies

Two of the world's top pharmaceutical companies have announced a merger today (Thursday), and that's another major buy signal for one of our favorite profit opportunities.

AbbVie Inc. (NYSE: ABBV) officials announced they will purchase Pharmacyclics Inc. (Nasdaq: PCYC) for roughly $21 billion.

 

The deal gives Abbvie access to one of the world's top-selling cancer drugs, Imbruvica. Revenue from Imbruvica alone is expected to hit $1 billion in 2015 and $5.8 billion by 2020.

These Pharmaceutical Stocks Let You Tap into a $402 Billion Trend

pharmaceutical stocks

A sector of the pharmaceutical market known as "high-margin specialty drugs" is presenting us with the best pharmaceutical stocks to buy now.

According to experts at PricewaterhouseCoopers, consumer spending on high-margin specialty drugs hit $87.1 billion in 2012. In five years that number will quadruple to $401.7 billion.

The Wall Street Journal reports that total U.S. prescription drug spending was just $325.7 billion in 2012.

And those aren't the only alarming growth numbers boosting pharma stocks now...

This Blockbuster Drug Has Room to Run

biotech stocks

Editor's Note: We're sharing this Private Briefing with you because it contains a pick that's put Bill's readers up as much as 444% since he first recommended the stock...

Shares of blood-cancer drugmaker Pharmacyclics Inc. rocketed as much as 22% last Tuesday after the company exhilarated investors by forecasting that sales of its key drug would double this year.

We weren't surprised by this, of course.

But even more important was that Private Briefing readers weren't, either.

In a Private Briefing report back in early December, we said the Pharmacyclics blood-cancer drug Imbruvica (ibrutinib) was well on its way to becoming the blockbuster we predicted when we first recommended shares of the Sunnyvale, Calif.-based biotech back in April 2012.

That "call" was right on target.

Late last Monday, after the close of trading, Pharmacyclics said net-product revenue for Imbruvica for full-year 2014 would come in at $492 million. That would include sales of about $185 million in the fourth quarter alone - a hefty "sequential" (quarter-to-quarter) jump of 31%.

But here's the real stunner: For 2015, the company is looking at sales to more than double and reach $1 billion.

For those who want the actual numbers, that's a gain of 103%.

Imbruvica, you see, is shaping up to be the very blockbuster we told you it would be.
And that bodes well for Pharmacyclics shares.

Let's take a look...

5 Pharmaceutical Stocks to Avoid

pharmaceutical stocks

Pharmaceutical stocks can plummet for myriad reasons: loss of funding, lawsuits, poor clinical trials.

It's a risky sector to get yourself involved in - one with big rewards. But, where there are big rewards, there are also big losses.

We took a look at five pharmaceutical stocks you should avoid...

These Pharma Companies Stand Between Us and the "Bacterial Apocalypse"

pharmaceutical stocks

Antibiotic-resistant microorganisms are turning into a national medical nightmare, and the need for new, more effective medications to treat them has reached critical mass.

In response, the U.S. government and the pharmaceutical industry are joining forces to handle the crisis - and extraordinary opportunities are beckoning the savvy investor.

The Centers for Disease Control and Prevention (CDC) estimates that in the U.S. alone, antibiotic-resistant bacteria make 2 million people sick and 23,000 die each year.

Estimates of the annual cost to the economy range up to $35 billion in excess medical expenses and another $35 billion in lost productivity.

It's a problem that isn't going away. In fact, it's getting worse...