Questcor has been beset by short sellers -- over half its float is sold short -- who cite a myriad of issues from reimbursement pressure for its flagship product Achthar to government inquiries and potential competition from overseas.
Well, scratch one concern off the list. Questcor just struck a deal to acquire Novartis drug Synacthen. Shares popped 15% yesterday and tacked on an additional 7% in gains today.
In this video, health-care analyst David Williamson discusses the deal in further detail and the implications for Questcor investors.
Legendary investor Warren Buffett is worried. After famously cheerleading for American stocks at the bottom of the financial crisis, Buffett has identified a looming threat to the American system that could jeopardize future growth, employment, and profit. He accurately labeled this dangerous trend "the tapeworm that's eating at American competitiveness." Fortunately, The Motley Fool has prepared an important special free report, "What's Really Eating at America's Competitiveness," which explains Buffett's pessimism, why the government is throwing billions of dollars at the problem, and, most importantly, names one stock with a unique and disruptive solution that could dramatically reshape an entire industry. Click here for free, immediate access.
Follow David on Twitter @MotleyDavid.
The article Questcor Pop: Acquisition Trumps Competition originally appeared on Fool.com.David Williamson and The Motley Fool have no position in any stocks mentioned. Try any of our Foolish newsletter services free for 30 days. We Fools may not all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Motley Fool has a disclosure policy.
Copyright © 1995 - 2013 The Motley Fool, LLC. All rights reserved. The Motley Fool has a disclosure policy.