Pharma Stock May Be Just What the Doctor Ordered

by Sam Collins | August 29, 2012 1:46 am

The Medicines Company (NASDAQ:MDCO[1]) — This pharmaceutical company is focused on the treatment of critical care patients through the global hospital network. All of its acute-care, generic products are injectable. It recently entered into an agreement with AstraZeneca (NYSE:AZN[2]) to market a key heart drug called Brilinta.

Analysts estimate that the company will earn 90 cents in 2012 and $1.26-plus in 2013.

Technically the stock broke from a right triangle in June, and then retreated to its uptrend line and 50-day moving average where it found support.

In July, it gapped higher as part of a bullish flag formation and recently popped from its 50-day moving average again. This is a very bullish pattern, and it supported by a buy from the stochastic. Our trading target for MDCO is $30-plus.

08 29 12 mdco 300x208 Pharma Stock May Be Just What the Doctor Ordered
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chart key 300x84 Pharma Stock May Be Just What the Doctor Ordered

Endnotes:
  1. MDCO: http://studio-5.financialcontent.com/investplace/quote?Symbol=MDCO
  2. AZN: http://studio-5.financialcontent.com/investplace/quote?Symbol=AZN

Source URL: http://investorplace.com/2012/08/trade-of-the-day-the-medicines-company-nasdaq-mdco/
Short URL: http://invstplc.com/1fuTc4T