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published in Blogs
Jul 24, 2018
What's News This Morning

What's News This Morning

Earnings, earnings, earnings. Here is a brief summary of the news – and all positive!

  1. China apparently decided to print more money, build more speed trains, wonderful airports, more freeways. This is their response to a possible trade war (or not?) 
  2. One of the largest European banks – UBS - just reported great earnings. 
  3. Manufacturing index out of Germany is much better than expected. 
  4. On this side of the pond, earnings continue to impress – Google yesterday was a pleasant surprise, but others (Verizon, Biogen, Eli Lily, Lockheed Martin) are doing very well.
  5. 10 year Treasuries yield is approaching 3% again and the gap between 2-year Treasuries and 10-years is increasing again.

Are we out of the woods?

Related Ticker: BIIB

Contributor

Sergey Savastiouk, Ph.D. has a degree in Applied Mathematics from Moscow University and has extensive experience as an entrepreneur, investor, manager, and mathematician. His professional expertise is in applied mathematics, mathematical modeling, system and pattern analysis, and software and hardware system integration. He has served as the CEO of several hi-tech start-up companies and nonprofit organizations, which has given him proven capabilities in business strategy for high-tech start-up companies, market assessment, company formation, team building, product development, marketing, and sales. He has published numerous articles in journals and magazines on related fields. As a retail investor, he spent 15 years developing his proprietary trading and quantitative algorithms (now Tickeron’s A.I.), which brought him significant returns in trading the stock market. His current work and goal in founding Tickeron is to bring professional, sophisticated stock market analysis capabilities to retail investors via an easy-to-use interface.


Aroon Indicator for BIIB shows an upward move is likely

BIIB's Aroon Indicator triggered a bullish signal on September 14, 2026. Tickeron's A.I.dvisor detected that the AroonUp green line is above 70 while the AroonDown red line is below 30. When the up indicator moves above 70 and the down indicator remains below 30, it is a sign that the stock could be setting up for a bullish move. Traders may want to buy the stock or look to buy calls options. A.I.dvisor looked at 180 similar instances where the Aroon Indicator showed a similar pattern. In 108 of the 180 cases, the stock moved higher in the days that followed. This puts the odds of a move higher at 60%.

Price Prediction Chart

Technical Analysis (Indicators)

Bullish Trend Analysis

The Stochastic Oscillator suggests the stock price trend may be in a reversal from a downward trend to an upward trend. 31 of 58 cases where BIIB's Stochastic Oscillator exited the oversold zone resulted in an increase in price. Tickeron's analysis proposes that the odds of a continued upward trend are 53%.

Following a +0.90% 3-day Advance, the price is estimated to grow further. Considering data from situations where BIIB advanced for three days, in 160 of 274 cases, the price rose further within the following month. The odds of a continued upward trend are 58%.

Bearish Trend Analysis

The 10-day RSI Indicator for BIIB moved out of overbought territory on August 20, 2026. This could be a bearish sign for the stock. Traders may want to consider selling the stock or buying put options. Tickeron's A.I.dvisor looked at 27 similar instances where the indicator moved out of overbought territory. In 19 of the 27 cases, the stock moved lower in the following days. This puts the odds of a move lower at 70%.

The Momentum Indicator moved below the 0 level on September 08, 2026. You may want to consider selling the stock, shorting the stock, or exploring put options on BIIB as a result. In 61 of 86 cases where the Momentum Indicator fell below 0, the stock fell further within the subsequent month. The odds of a continued downward trend are 71%.

The Moving Average Convergence Divergence Histogram (MACD) for BIIB turned negative on September 08, 2026. This could be a sign that the stock is set to turn lower in the coming weeks. Traders may want to sell the stock or buy put options. Tickeron's A.I.dvisor looked at 61 similar instances when the indicator turned negative. In 38 of the 61 cases the stock turned lower in the days that followed. This puts the odds of success at 62%.

Following a 3-day decline, the stock is projected to fall further. Considering past instances where BIIB declined for three days, the price rose further in 50 of 62 cases within the following month. The odds of a continued downward trend are 69%.

BIIB broke above its upper Bollinger Band on August 19, 2026. This could be a sign that the stock is set to drop as the stock moves back below the upper band and toward the middle band. You may want to consider selling the stock or exploring put options.

Fundamental Analysis (Ratings)

The Tickeron PE Growth Rating for this company is 5 (best 1 - 100 worst), pointing to outstanding earnings growth. The PE Growth rating is based on a comparative analysis of stock PE ratio increase over the last 12 months compared against S&P 500 index constituents.

The Tickeron Price Growth Rating for this company is 24 (best 1 - 100 worst), indicating outstanding price growth. BIIB’s price grows at a higher rate over the last 12 months as compared to S&P 500 index constituents.

The Tickeron Seasonality Score of 75 (best 1 - 100 worst) indicates that the company is slightly overvalued in the industry. The Tickeron Seasonality score describes the variance of predictable price changes around the same period every calendar year. These changes can be tied to a specific month, quarter, holiday or vacation period, as well as a meteorological or growing season.

The Tickeron Valuation Rating of 76 (best 1 - 100 worst) indicates that the company is slightly overvalued in the industry. This rating compares market capitalization estimated by our proprietary formula with the current market capitalization. This rating is based on the following metrics, as compared to industry averages: P/B Ratio (1.704) is normal, around the industry mean (18.978). P/E Ratio (38.607) is within average values for comparable stocks, (31.992). Projected Growth (PEG Ratio) (2.240) is also within normal values, averaging (5.791). BIIB has a moderately low Dividend Yield (0.000) as compared to the industry average of (0.029). P/S Ratio (3.209) is also within normal values, averaging (4.045).

The Tickeron SMR rating for this company is 84 (best 1 - 100 worst), indicating weak sales and an unprofitable business model. SMR (Sales, Margin, Return on Equity) rating is based on comparative analysis of weighted Sales, Income Margin and Return on Equity values compared against S&P 500 index constituents. The weighted SMR value is a proprietary formula developed by Tickeron and represents an overall profitability measure for a stock.

The Tickeron Profit vs. Risk Rating rating for this company is 100 (best 1 - 100 worst), indicating that the returns do not compensate for the risks. BIIB’s unstable profits reported over time resulted in significant Drawdowns within these last five years. A stable profit reduces stock drawdown and volatility. The average Profit vs. Risk Rating rating for the industry is 64, placing this stock worse than average.

Notable companies

The most notable companies in this group are Eli Lilly & Co (NYSE:LLY), Johnson & Johnson (NYSE:JNJ), ABBVIE (NYSE:ABBV), Merck & Co (NYSE:MRK), AstraZeneca PLC (NYSE:AZN), Amgen (NASDAQ:AMGN), Gilead Sciences (NASDAQ:GILD), Pfizer (NYSE:PFE), Bristol-Myers Squibb Co (NYSE:BMY), Biogen (NASDAQ:BIIB).

Industry description

The Major Pharmaceuticals industry includes companies that are involved in various processes of creating drugs to treat/prevent diseases. These companies engage in research, testing and manufacturing, as well as the distribution of pharmaceuticals into markets. Johnson & Johnson, Merck & Co., Inc., Pfizer Inc. and Novartis are among the largest companies in this category.

Market Cap

The average market capitalization across the Pharmaceuticals: Major Industry is 194.94B. The market cap for tickers in the group ranges from 72.83K to 1.01T. LLY holds the highest valuation in this group at 1.01T. The lowest valued company is CRXTQ at 72.83K.

High and low price notable news

The average weekly price growth across all stocks in the Pharmaceuticals: Major Industry was -3%. For the same Industry, the average monthly price growth was -3%, and the average quarterly price growth was 13%. AMRN experienced the highest price growth at 3%, while NVS experienced the biggest fall at -13%.

Volume

The average weekly volume growth across all stocks in the Pharmaceuticals: Major Industry was 4%. For the same stocks of the Industry, the average monthly volume growth was 2% and the average quarterly volume growth was -44%

Fundamental Analysis Ratings

The average fundamental analysis ratings, where 1 is best and 100 is worst, are as follows

Valuation Rating: 26
P/E Growth Rating: 56
Price Growth Rating: 48
SMR Rating: 59
Profit Risk Rating: 63
Seasonality Score: 4 (-100 ... +100)
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General Information

a manufacturer of therapies for people living with neurological, autoimmune and hematologic disorders

Industry PharmaceuticalsMajor

Profile
Details
Industry
Biotechnology
Address
225 Binney Street
Phone
+1 617 679-2000
Employees
7500
Web
https://www.biogen.com
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What's News This Morning