Is InterMune Inc. Your Next Biotech Buyout?
InterMune was health care's top performing stock, thanks to positive phase 3 trial results for its lead drug Esbriet in idiopathic pulmonary fibrosis. Shares popped nearly 15% as Esbriet compared favorably with a competing drug also in late-stage develpment, by Boehringer Ingelheim.
This caused a rash of upgrades from Wall Street analysts, who insist InterMune is now a full-fledged takeover target. However, deep-pocketed competitors like Biogen Idec and Bristol-Myers Squibb are lurking with mid-stage drugs using completely different methods of action that could pose a threat to Esbriet's blockbuster potential.
In this episode of Market Check-Up, The Motley Fool's health-care-focused investing show, analysts David Williamson and Michael Douglass discuss the trial results, IPF drug competition, and ultimately why InterMune investors should be exited about their stock.
The article Is InterMune Inc. Your Next Biotech Buyout? originally appeared on Fool.com.David Williamson, Michael Douglass, and The Motley Fool have no position in any of the stocks mentioned. Try any of our Foolish newsletter services free for 30 days. We Fools don't 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.
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