Q2 STOCKS TO BUY

Corbus Leads Nasdaq on Drug Licensing Deal

Downgrades are burying BRKR and WLH today

Managing Editor
Sep 20, 2018 at 3:05 PM
facebook X logo linkedin


The Dow and S&P 500 are flying to new heights today, thanks to cooling trade tensions with China. Among stocks making notable moves today are drug concern Corbus Pharmaceuticals Holdings Inc (NASDAQ:CRBP), medical device specialist Bruker Corporation (NASDAQ:BRKR), and homebuilding name William Lyon Homes (NYSE:WLH). Here's a quick look at what's moving shares of CRBP, BRKR, and WLH.

CRBP Calls Hot After Licensing Deal

Corbus Pharmaceuticals scored a big win this morning, securing a licensing deal with Jenrin Discovery LLC. The deal gives Corbus exclusive rights to develop, manufacture, and sell drugs targeting the endocannabinoid system. In response, the stock is up 55.1% to trade at $8.03 -- one of the best stocks on the Nasdaq, after being halted for volatility earlier in the day. CRBP is on track for its largest daily gain since December 2014, and is now back in positive territory for 2018.

Options traders are targeting calls with renewed vigor today. Nearly 10,500 call contracts are on the tape, 82 times the average intraday amount and already more than five times the previous annual high. Leading the charge is the October 7.50 call, where new positions are being opened for a volume weighted average price (VWAP) of $1.23. 

BRKR Extends Skid After Downgrade   

Bruker stock is down 6.5% to trade at $32.64, after Morgan Stanley downgraded the medical equipment maker to "underweight" from "equal-weight," while raising its price target to $32 from $31. In the bear note, the firm said it sees end-market drivers and organic growth decelerating as 2018 ends.

BRKR is on track for its worst day since October 2016, and is currently mired in a five-day losing streak. Plus, the stock has dropped below its year-to-date breakeven point of $34.32.

An analyst stepping to the sidelines is nothing new for Bruker stock. Currently, 10 of the 12 brokerages covering BRKR rate it a tepid "hold," and the stock's average 12-month price target of $34.67 is right below last night's closing perch of $34.89.

Weak Home Prices a Concern For WLH Stock

William Lyon Homes stock is down 7.2% to trade at $17.31 -- one of the worst stocks on the New York Stock Exchange (NYSE) today-- after Wedbush downgraded the homebuilder to "neutral" from "outperform" while slashing its price target to $22 from $35. Weakening home prices in vital markets such as California and Seattle are causes for concern, according to the analyst.

WLH earlier fell to a one-and-a-half year low of $16.87, and has now given back more than 40% in 2018. The shares have carved out a path of lower lows since May, with resistance coming into play from WLH's 30-day moving average.

There is still ample room aboard the bearish bandwagon. Although short interest has doubled since July 1, the 1.61 million shares sold short represents only 5.7% of WLH's total available float. 

 
 

“Buy This Stock Now!” - Expert Who Called 11x On TSLA

He called a rare 11x on Tesla…

But now, thanks to Elon & Trump’s new alliance…

He says there’s a new opportunity that could be 1,000x BIGGER than Tesla – and it could completely revolutionize a $23 Trillion market.

It’s trading for less than $5 per share right now…

But it won’t be under the radar for long.

Discover The 1,000x Bigger Elon Opportunity Here

GRAND SLAM COUNTDOWN

 
 

Featured Articles from Trusted Partners:

👀Learn How Dividends Create Passive Income for Life
Receive $200 Off Motley Fool Epic. The Motley Fool Epic $299 discounted offer is based on $499/year list price. Introductory promotion for new members only. Take control of your money and your portfolio with Motley Fool Epic.

💵New Income System Could Pay You $4,243 Monthly
You could collect an average of $4,243 per month starting as early as next week with a new payout system for income investors. New registrations are being accepted for investors who want to be in a position to start with their first payout next week.

🚀Easy 92% Crypto Dividends (No Coins Required)
COIN stock doesn't pay a dividend... But there's actually a new way to collect a massive dividend that's indirectly based on the stock and offers a terrific monthly income (currently yielding nearly 92% on a forward basis).

🤝Free Advisor Match with Wiseradvisor.com
Don't leave your retirement to chance! Get matched with a trusted financial expert for FREE and make the most of your tax refund. Get started now.

⚠️Dennis Quaid's #1 Warning for Americans
Here's the thing: life doesn't come with guarantees. The economy shifts, markets stumble, and years of hard work could slip through your fingers like sand. But it doesn't have to be that way for you. So request a free copy of this Gold & Silver Guide that will arrive right to your doorstep when you act now.

 

 
 

Follow us on X, Follow us on Twitter