Gilead 3rd-quarter results beat Wall Street estimates, raises outlook

 Gilead Sciences reported third-quarter financial results that handily beat Wall Street expectations on Wednesday as sales climbed 7%, leading the drugmaker to raise its outlook for full-year earnings.

The Foster City, California-based company posted an adjusted quarterly profit of $2.02 per share on revenue of $7.5 billion, ahead of average analyst estimates of $1.55 per share and $7 billion, according to LSEG data.

Due to "the strength of our overall business model ... we're increasing our 2024 guidance across every metric," Gilead Chief Executive Officer Daniel O’Day told Reuters.

Gilead said net earnings for the quarter fell to $1.00 per share, from $1.73 a year earlier, due in part to a $1.75 billion impairment charge related to its 2020 acquisition of cancer drug developer Immunomedics.

Third-quarter sales of HIV drug Biktarvy rose 13% to $3.5 billion while sales of COVID-19 treatment Veklury rose 9% to $692 million.

Oncology sales were up 6% to $816 million, while liver disease drugs brought in $733 million, up 4% from a year ago.

For full-year 2024, Gilead raised its product sales forecast to a range of $27.8 billion to $28.1 billion from a previous view of $27.1 billion to $27.5 billion. The company now expects an adjusted profit of $4.25 to $4.45 per share, up from $3.60 to $3.90.

Analysts have projected full-year earnings of $3.81 per share on revenue of $27.72 billion.

https://finance.yahoo.com/news/gilead-3rd-quarter-results-beat-211946375.html

CVS names former UnitedHealth exec to run Aetna, shares jump

 CVS Health on Wednesday named Steve Nelson, a former UnitedHealth insurance head, to run its Aetna business, where rising medical costs in the third quarter caused the company to preannounce an earnings miss last month.

The company last month also replaced CEO Karen Lynch with David Joyner due to troubles managing costs in that business.

CVS, which also owns a pharmacy benefit manager and one of the largest U.S. retail pharmacy chains, has come under investor pressure, including from activist hedge fund Glenview Capital Management.

CVS's beaten down shares rose nearly 13%. Stocks of other health insurers were also buoyed on Wednesday after Donald Trump was elected U.S. president for a second term.

The healthcare conglomerate confirmed its earlier plans to take $1.2 billion in restructuring charges for layoffs, the closure of 271 retail stores and the shutdown of some business lines. It plans to continue offering healthcare services in its CVS pharmacies, the company said.

"We're very much focusing on how we right-size our store footprint, and we think that we're there with the next round of closures," Joyner said in an interview with Reuters. "Then we're building inside that store footprint a set of healthcare services that we believe will become a healthcare destination for the consumer."

CVS reported a third-quarter adjusted profit of $1.09 per share, less than half of the $2.21 it earned a year ago. That was in line with its pre-reported earnings of $1.05 to $1.10 per share.

The company's shares are still down 21% so far this year, compared with a nearly 20% gain for the broader S&P 500.

Following the COVID-19 pandemic, medical services use rose after its Medicare plans for people aged 65 and older or disabled enrolled the highest amount of new members in the industry. As states redetermined eligibility for their Medicaid plans for low-income people, healthier members fell off the rolls, leaving behind those who require more medical services.

The company underestimated medical costs when pricing its healthcare benefits for 2024, Joyner said in a call to discuss third-quarter results. "I recognize that we have been more acutely impacted than others in the industry."

Chief Financial Officer Tom Cowhey said the level of disconnect between use of medical services and the payment rates from state Medicaid plans had stabilized toward the end of the third quarter. "We continue to work closely with our state partners to align rates with changes in (use)."

https://ca.finance.yahoo.com/news/cvs-taps-former-unitedhealth-executive-113736289.html

Novo Nordisk aware of reports 10 people taking compounded weight-loss drug copies died

 Novo Nordisk said on Wednesday it was aware of reports of 10 deaths and 100 hospitalizations of people who had taken compounded copies of its weight-loss and diabetes drugs.

U.S. regulations allow compounding pharmacies to copy brand-name medicines in short supply by combining, mixing or altering drug ingredients to meet demand.

Novo Nordisk's popular weight-loss injection Wegovy and diabetes drug Ozempic, both known chemically as semaglutide, were — until recently — in shortage in the United States.

Given all the U.S. regulatory surveillance of Novo Nordisk's production of the two drugs, CEO Lars Fruergaard Jorgensen said it was puzzling that people in the United States could inject themselves with a product not regulated, approved or inspected.

"It beats me," he told Reuters after the company reported better-than-expected third-quarter results. "I think this is something that will change over time," he said of the oversight for compounded versions of Wegovy.

He added that the copycat versions were being sold online and through so-called "health spas" rather than through the formal supply chain where Novo Nordisk and chief rival Eli Lilly sell their approved medicines.

Last month, Novo Nordisk asked the FDA to ban compounding pharmacies from making copycat versions of Wegovy and Ozempic, which it said were too complex for those manufacturers to produce safely.

Multiple safety concerns

Earlier on Wednesday, Novo Nordisk's Chief Financial Officer Karsten Munk Knudsen told a media briefing that the company had been looking at a number of compounded products in the market and identified multiple safety concerns as well as reports of hospitalizations and deaths.

The company did not give further details when asked to elaborate on the reports and whether there was a causal link between the medication and the deaths and hospitalizations he mentioned.

Jorgensen noted that the safety reporting on compounded versions was not done through the FDA's adverse events system.

Although all dose strengths of Ozempic and Wegovy are now listed as available on the FDA website, the drugs remain on the agency's shortages list.

This was a result of significant investments to expand its manufacturing capacity and ongoing communication with the FDA, the company said at the time.

"This is an ongoing dialogue with the FDA. I don't want to speculate today whether we're completely off the shortages list, but this is a first step and we're hopeful that we'll be getting off in the future," Knudsen told the media briefing on Wednesday.

He said that was important because if a product was not on the shortages list, there were limitations for compounding pharmacies making copycat versions.

https://www.ksl.com/article/51182570/novo-nordisk-aware-of-reports-10-people-taking-compounded-weight-loss-drug-copies-died

'From banks to small-caps, Trump victory drives rally in stocks'

 Donald Trump's U.S. presidential election victory boosted the stock market on Wednesday as investors bet on lower corporate taxes and deregulation, lifting shares of Tesla , banks, small-cap companies and Trump's own media company.

His promise to make Tesla CEO Elon Musk head of a government efficiency commission after the billionaire backed Trump throughout his electoral campaign sparked a 15% surge in shares of the electric automaker.

Wall Street's main indexes jumped to record highs, with the Dow Jones industrial average rallying almost 4% and the S&P 500 more than 2% higher. The small-cap Russell 2000 index jumped almost 6% to its highest in nearly three years.

"Business animal spirits could be rekindled once again from Trump's pro-business approach, which could lead to a more robust capital expenditures and investment environment," said Jeff Schulze, market strategist at ClearBridge Investments.

Trump Media & Technology Group, majority-owned by Trump, jumped 6%. The company late on Tuesday reported quarterly results that showed the Truth Social parent's revenue was just $1 million.

The stock has more than tripled in value from its lows in late September, valuing Trump's stake at over $4 billion.

POLICY DETAILS AWAITED

Trump's Republican Party also secured the Senate and was making gains in the House of Representatives, potentially making it easier for the president to legislate his proposals and push through key appointments.

Markets "have priced in a pretty strong mandate for the Republicans and are biasing toward most of the Trump trades," said Scott Chronert, U.S. equity strategist at Citi.

"The market focus seems to be putting more emphasis on deregulation, tax cuts and a more business-friendly backdrop."

Wall Street lenders JPMorgan Chase, Bank of America and Goldman Sachs jumped between 8% and 13% on prospects of looser regulations and more deals.

"There is an expectation that the regulatory landscape will ease under the Trump administration" and that is helping financials' shares, said David Ellison, portfolio manager at Hennessy Funds, which holds several bank stocks.

Investors will also be anxious to see how Basel III, a set of global banking regulations, will be implemented by the next administration, said Greg Hertrich, head of U.S. depository strategies at Nomura.

The latest version of the proposal called for a 9% rise in banks' capital. "Whether the banks will need 9%, 6%, 4% or 0% more capital creates very different scenarios," he said.

https://finance.yahoo.com/news/trumps-media-business-tesla-surge-094620067.html

Trump Declares Victory: It Was A Historic Realignment, "We Are The Party Of Common Sense"

 President-elect Donald Trump touted the "most unified coalition" in campaign history at a victory rally early on Wednesday.

TRUMP: This campaign has been so historic in so many ways. We've built the biggest, the broadest, the most unified coalition. They've never seen anything like it in all of American history.

They've never seen it. Young and old, men and women, rural and urban. And we had them all helping us tonight.

When you think, I mean, I was looking at it. I was watching it. They had some great analysis of the people that voted for us.

Nobody's ever seen anything like that. They came from all quarters. Union, non-union, African-American, Hispanic-American, Asian-American, Arab-American, Muslim-American.

We had everybody, and it was beautiful. It was a historic realignment, uniting citizens of all backgrounds around a common core of common sense. You know, we're the party of common sense.

We want to have borders. We want to have security. We want to have things be good, safe.

We want great education. We want a strong and powerful military. And ideally, we don't have to use it.

You know, we had no wars for years.

https://www.realclearpolitics.com/video/2024/11/06/trump_declares_victory_it_was_a_historic_realignment_we_are_the_party_of_common_sense.html 

Spring the Felon, Kill the Squirrel

 With violent assaults surging across New York, and with many crimes going unprosecuted, state law enforcement firepower has been directed against a truly dangerous criminal adversary: a pet squirrel.

Dan Longo’s beloved pet, Peanut, was seized at his home in Pine City, New York, on October 30. Responding to anonymous reports of “potentially unsafe housing of wildlife,” Elmira’s overly zealous (to put it kindly) animal control officers from the Department of Environmental Conservation showed up at Longo’s home in a convoy of vehicles. The DEC officers, numbering ten in all, forcibly removed Peanut. After Peanut allegedly bit one of the officers, the squirrel was euthanized—ostensibly to test for rabies, though squirrels “almost never get rabies,” according to no less an authority than the New York State Department of Health. But why should we expect state wildlife workers to know such relevant things?

While the officers were raiding Longo’s home, they took the opportunity to grill his wife about her immigration status. Their interest in this matter is surprising, given the state’s usual course of action: illegal immigrants have swarmed into New York for years now and are severely taxing public services, shelter space, and even schools. Violent Tren de Aragua Venezuelan gang members “hide in plain sight” in New York City’s migrant shelters. But Longo’s wife: now there’s a woman to watch.

The raid of Longo’s home lasted five hours. Longo said that the experience made him feel “like a drug dealer.” He should be so lucky. New York drug dealers and addicts can ply their trade free from government interference. Indeed, not only are they left largely unmolested across the state, but in many jurisdictions they enjoy taxpayer-funded paraphernalia.

The DEC’s zealous attention to ferreting out lawbreakers stands in marked contrast with New York law enforcement’s approach to other crimes. Tattooed gang members roam New York streets with impunity, New York police appear helpless to deal with dangerous criminal immigrants, and the crime clearance rate is poor: 41.47 percent in New York City as a whole, 29 percent in Manhattan. In 2023, the 126,920 arrests in New York State resulted in only 58,871 convictions—a conviction rate of a dismal 46 percent.

Those few criminals whom the police do manage to arrest are often set free. Sixty-six percent of those released without bail are rearrested within two years. Dantay Moore stabbed and killed a 63-year-old grandmother. Though Moore had 15 prior convictions, he was let back out on the streets to kill. Guy Rivera, who shot and killed NYPD Officer Jonathan Diller, had nine prior felony arrests. Alvin Doris punched an 11-year-old and broke his nose. Doris had nine prior arrests, including four previous assault charges. In 2023, 250 people accounted for 2,500 arrests in the city, and 70 percent of the arrestees were repeat offenders.

A 2024 study of New York City crime shows that “categories of violent crime, like assaults, are in the midst of a significant increase,” causing many New Yorkers to have “growing feelings of insecurity in their neighborhoods.”

New York could devote more taxpayer dollars to making communities safer and helping families feel more secure. The state could aggressively assist federal immigration authorities in the removal of dangerous criminals. It could hire more beat cops to curb petty crime and spend more resources on clearing violent cases.

Instead, the government has found a way to make New York families feel even less secure: by demonstrating that the state may now join migrants and felons in invading private homes and harassing citizens. Not one New Yorker will rest easier knowing that the DEC has taken Peanut off the streets. As for the bad guys, they need not lose any sleep.

Tim Rosenberger is a legal policy fellow at the Manhattan Institute.

https://www.city-journal.org/article/spring-the-felon-kill-the-squirrel

Democratic Leadership Should Apologize to the American People

 

Bill Ackman

@BillAckman

If the election outcome is as I expected, it should cause the large minority of the country who supported

@KamalaHarris

and predicted her victory to begin to question their sources of truth. Half the country has believed that

@X

is filled with mis- and disinformation, and that they could only therefore rely on The NY Times, MSNBC, CNN and other mainstream media for their news. And they did. If, however, you have been active on

@X

for the last year, you have known the truth days, weeks and often months before the facts appear in the MSM. The MSM excerpted, clipped and cut to defame

@realDonaldTrump

while claiming that

@JoeBiden

was fit as a fiddle. Then when Biden’s polls collapsed,

@KamalaHarris

was anointed the candidate and her hagiography was written with glowing acclaim from the press. But this could not hold as she ducked the media and held fast to the teleprompter. Citizen journalists with their phone cameras in hand captured the real Kamala forcing her to defend her record and her plans in more media appearances. It did not go well and the public demanded to learn more so

@KamalaHarris

had to risk more unscripted media. The doom loop was underway with perhaps 60 Minutes as one of the more dramatic examples, even after CBS tried to save her, most glaringly by excerpting one answer to replace a word salad response to another. But the citizen journalists on

@X

quickly caught and outed this fraud and demanded a transcript. As many who supported Kamala began to realize that they have been misled, they became open to Trump as an alternative, but they didn’t want to rely on the media to understand him because they did not want to be misled again. They wanted to hear the candidate in his own words and that is where

@lexfridman

and

@joeroganhq

long form podcasts came to the rescue. When Kamala was offered the same opportunities to explain herself, she rejected them. And the voting public could only draw a negative inference. When the story of this election is written, I expect it will be as much about how half of America woke up to the reality that they have been manipulated by the media. This should lead to an abandonment by many of the MSM as their primary source of information. It will push more people to

@X

, to podcasts and other empirical sources, and it will lead to a more informed public. The other outcome I hope happens is the implosion of the Democratic Party. The Party lied to the American people about the cognitive health and fitness of the president. It prevented, threatened, litigated and otherwise eliminated the ability of other candidates for the primary to compete, to get on ballots, and to even participate in a debate. The Party and the administration used lawfare in an attempt to imprison, bankrupt or otherwise kill off Trump as a candidate. These acts are collectively grave threats to our democracy. With the highest irony in order to hide these acts, the Party accused the opposition candidate of being the grave threat to democracy. The Democratic Party proved itself to be fundamentally undemocratic. It needs a complete reboot. The leadership should be thrown out and those responsible should apologize to the American people. Honest Abe said it best: You can fool some of the people all of the time, and all of the people some of the time, but you can not fool all of the people all of the time.

Quote

Bill Ackman

@BillAckman

·

Nov 4

I believe that @realDonaldTrump will win in a decisive victory and potentially a landslide Electoral College outcome tomorrow. I could of course be totally wrong, but that helps elevate an important point. Approximately half the country will be unhappy about the election

Show more

11:35 PM · Nov 5, 2024

·

49M

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https://x.com/BillAckman/status/1854019674385547454