Biogen Inc (NASDAQ: BIIB) shares dropped by as much as 7%, after Samsung denied report’s it is in talks to acquire the U.S. drug maker. The stock had initially popped by as much as 13%, the most since June, after Bloomberg reported, citing the Korea Economic Daily, that the company had placed itself up for sale.
Biogen Inc (NASDAQ: BIIB) is a biopharmaceutical company that discovers, develops, and delivers therapies for the treatment of neurological and neurodegenerative diseases. Biogen’s earnings report for Q4 2021 is scheduled for January 27, 2022.
Biogen –Samsung merger push
Biogen Inc (NASDAQ: BIIB) pushing to be acquired by Samsung does not come as a surprise. The two are already partners as part of a joint venture Samsung Bioepis focused on making low-cost biosimilars. The joint venture has already secured approval in the US for the macular degeneration treatment Lucentis.
Additionally, Biogen Inc (NASDAQ: BIIB) is placing itself up for sale on the heels of securing regulatory approval for its Alzheimer’s treatment Aduhelm. However, the drug has been shrugged with controversy on experts alleging there was no sufficient evidence to show that it really works. Consequently, the drug has struggled in the market as payers balk over its $56,000 a year cost.
Early this week, Oppenheimer analyst Jay Olson reiterated a Buy rating on Biogen Inc (NASDAQ: BIIB) stock and lowered the price target to $350 from $390, implying 45.83% upside potential to current levels.
The stock has lost close to 15% in the last quarter and 31% in the last six months. Institutional owners own 86.70% in the company’s stock. The 52-Week range of the stock is $221.72 and 468.55. It is currently trading 48% below its 52-Week high. While the average volume of the stock is 1.25 million. It is also trading below its 50-Day and 200-Day moving averages.