27% profit every 20 days?
This is what Nic Chahine averages with his option buys. Not selling covered calls or spreads… BUYING options. Most traders don’t even have a winning percentage of 27% buying options. He has an 83% win rate. Here’s how he does it.
BTIG initiated coverage on Alexion Pharmaceuticals, Inc. (NASDAQ: ALXN) Monday with a Buy rating and $250 price target.
Analyst Hartaj Singh believed the “current valuation reflects a quality company but does not account for what we believe will be rapid top & bottom line estimate increases over the next 2-5 years. We are 8-16 percent above consensus sales and 12-20 percent above consensus EPS in 2015-18.”
Singh claimed that “consensus for 2015-19 is underestimating the rate of patient additions for aHUS and the continuing strength of PNH in the US/EU.”
“We are $260m above 2018 consensus sales of $403m for asfotase alfa as we believe that consensus is underestimating the size of the prevalent pool in hypophosphatasia post-treatment. Currently the mortality rate is 50 percent within 12 months post-diagnosis,” according to Singh.
“Alexion’s keen focus on costs will manifest itself in above-consensus operating leverage. The adjusted EBITDA margin jumped by 290bps in 2013 and we expect a 490bps increase in 2014. By 2019, we expect it to approach the high 50’s.”
The price target was based “on a blended DCF and 2016 P/E multiple approach” and assigned “a 30X terminal multiple to the DCF and 2016 EPS.”
Alexion Pharmaceuticals, Inc. closed at $182.17 Monday, down 2.37 percent.
27% profit every 20 days?
This is what Nic Chahine averages with his option buys. Not selling covered calls or spreads… BUYING options. Most traders don’t even have a winning percentage of 27% buying options. He has an 83% win rate. Here’s how he does it.
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