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Tuesday, February 15, 2011

CLDA On The Rise, Buyout Talk?

Shares of Clinical Data were on the surge during Tuesday's trading, flying higher by over 15% with three times the daily average having traded before 3 PM EST.

Speculation of a buyout has been in the air ever since the FDA approved CLDA's antidepressant drug Vilibryd last month, and it could be that word of an imminent announcement has leaked. 

It's also possible that Tuesday's action is the product of large scale short covering.

This stock has been on the significant rise since the Vilibryd approval, and hasn't looked back at all, aside from a slight pause at the thirty dollar mark.

The stock broke through that level with force today, and if a buyout is being worked behind the scenes right now, it begs to question - just how high is this one going to go?

Excpectations are high, but with the market cap now over a billion dollars, will Vilibryd be worth that so quick?

Someone thinks so.

Keep an eye on this one, but again - I'm not a fan of chasing.  Congrats to those who rode this up, but we could be pretty close to the highs right now.

Disclosure:  No position




3 comments:

  1. You should do your homework. CLDA is going to be bought. Viibryd and Stediavaze are 2 first-in-class products.

    ReplyDelete
  2. I definitely appreciate the advice on what I should or shouldn't do.

    That said, you're correct that it looks like CLDA is going to be bought and that the potential of the pipeline is significant, as I've posted here numerous times before.

    Thanks for reading.

    VFC

    ReplyDelete
  3. Hi Vinny,

    Regarding CTSO, ive talked aobut it a couple of times, but i was wondering, this looks good and everything but why hasn't management bought any shares?

    Much appreciated

    ReplyDelete

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