Getting the “Skinny” on Vivus

I am probably going to have a little too much fun with this one, but if you had shares of Bio-pharmaceutical Company Vivus (VVUS) you’re feeling “fat” from the profits you made today and its time to unload and take a slice of the pie (profits).  Vivus Inc’s Qnexa was a promising obesity drug that’s had its fare share of rejections from the (overweight) US FDA over the past few years citing health and safety concerns.  Today a panel recommended approval for the drug saying that treating obesity “over-weighed”  the potential cardiovascular risks and potential birth defects.

That reminds me of those commercials we have all seen where the softly toned lawyer type speaks at the end of a pharmaceutical commercial about the potential side effects that include (blindness, death and a potential gamut of other horrible health issues).  Speaking of which; time for me to hit the gym.  Expect further upside if/when the drug actually does get approved (April 17).  We will keep a close eye on this one and will probably be a buyer on the 16th and a seller the day after for some quick money.

Metro PCS (PCS)

Destroyed the original guidance from Wall Street’s 9 cents per share earnings.  Up over 15% at the end of day, PCS attributed its strong earnings to it’s fairly competitive lineup of Smart Phones along with its consistently growing (contract free) subscriber base.  Look for earnings in the next quarter to be more on par with Wall Street’s expectations, and not a significant (like we saw today) jump in price.  With strong fundamentals and significant profit growth, we see this as a buy and hold.  If you can buy in the low 11′s you’ll be getting a really good deal.