Diamonds and Dogs
After two straight down days for the healthcare/ biotechs, the sectors are bouncing back today. Cantel (CMN) is the diamond today up 8% following better than expected earnings. The medical equipment maker easily beat estimates while revenue grew 15%. When this correction is over, the biotech and healthcare sectors should outperform once again.
Most biotechs are bouncing back except for today's dog, Galapagos (GLPG). The stock is down 15% today and 30% in the last three days after partner, AbbVie (ABBV) decided not to license its arthritis drug and focus on its own drug. Evercore. The biotech sector is a lot of hits and misses. The last couple years its felt like all the biotechs were a hit, but recently the sector has reminded us that not all biotechs can go up.