Should You Buy Immunomedics Before the Gilead Sciences Acquisition Closes?
Gilead Sciences (NASDAQ: GILD) can be both a hero and a goat, depending on your perspective as an investor. The stock price rose from $17 in July 2010 to $118 in July 2015, as the company introduced revolutionary HIV drugs and helped bring a cure for hepatitis C to market. Since then, the stock has been cut in half as investors have watched revenue and profits decline in the absence of new blockbuster drugs.
In management's second attempt to address this, Gilead agreed to buy Immunomedics (NASDAQ: IMMU) for $21 billion in cash, an offer of $88 per share. The offer was more than double the share price of the smaller biotech prior to the announcement. In 2017, management acquired Kite Pharma for $11.9 billion, a union that has yet to produce needle-moving results.
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Source Fool.com