September 30, 2004 – TheStreet.com: Street Insight Veritas looked like a bargain, but when I adjust my cash-flow model for stock option expense, it’s not cheap at all. If the expense was disclosed on the income statement, mgt. wouldn’t give out stock options like turkeys on Thanksgiving. My frustration with stock options has officially reached [...]
September 28, 2004 – TheStreet.com: Street Insight Channel stuffing by pharmaceutical companies had handicapped the drug distribution industry. Drug distributors are pushing distribution costs back to pharmaceutical companies in a “fee-for-service” arrangement. A wait-and-see approach is best when investing in drug distributors, the situation may get worse before it gets better. The drug distribution industry [...]
September 23, 2004 – TheStreet.com: Street Insight The premium valuation multiple that the healthcare industry commanded in the past is in the past. Last week I was teaching a Practical Equity Analysis class and describing the concept of channel stuffing to my students. As an example, I brought up the large pharmaceutical and drug distributors [...]
September 9, 2005 – TheStreet.com: Street Insight September 17, 2005 – Realmoney.com Recent clinical studies on Vioxx and Zocor do not bode well for the stock. A negative FDA ruling and/or tight restrictions from insurance companies would hurt sales dramatically. A 30% decline in sales could result in 45-65% lower earnings, according to my firm’s [...]
September 5, 2004 – TheStreet.com: Street Insight Predictability of revenue and earnings along with a likely dividend increase make BDX an appealing investment. It is hard not to be impressed with Becton, Dickinson (BDX) and its management. The company is producing consistent organic growth in both the top line and bottom line through innovation. It [...]