Health stocks were down - as were the broader markets - amid the kickoff of third-quarter results.The NASDAQ and Amex biotechnology indices were down 1.1% and 1.7%, respectively. Big biotech Amgen ( AMGN - Get Report) and Biogen ( BIIB - Get Report) were down 2.7% and 0.9%. Pharmaceutical stocks fared better than their biotech cousins -- the Amex pharma index was up just 0.8%, One component of the pharma index, Eli Lilly ( LLY - Get Report) said Tuesday that it has commenced the tender offer for all outstanding shares of ImClone ( IMCL) at $70 a share. The $6.5 billion deal was announced last week. ImClone shares rose 82 cents, or 1.2%, at $67.82, while Lilly's shares fell 88 cents, or 2.4%, to $34.98 on Tuesday. One of the first health stocks to release earnings, Johnson & Johnson ( JNJ - Get Report)reported income of $3.31 billion, or $1.17 a share, on revenue of $15.9 billion. Results topped expectations of analysts surveyed by Thomson Reuters who'd pegged $1.11 a share on $15.69 billion. Shares were up $1.48, or 2.4%, at $64.14. Elsewhere - in a few analyst actions -- Needham upped its rating for medical technology company and device maker Stryker ( SYK - Get Report) to buy from hold with a $66 price target. That stock was trading up $1.33, or 2.3%, at $59.86. Also, Cantor Fitzgerald significantly upped its price target for Sequenom ( SQNM), which is developing a non-invasive prenatal test for Down syndrome to $42 from $29. Shares added 34 cents, or 1.8%, to $19.76. Look for earnings from Abbott Laboratories ( ABT - Get Report)and St. Jude Medical ( STJ) before the market open on Wednesday. Analysts, on average, are expecting 77 cents a share on revenue of $7.35 billion for the third quarter from Abbott and 57 cents a share on $1.07 billion in revenue from St. Jude. After the close on Wednesday, look for third quarter results from Amylin ( AMLN). The Street expects Amylin to report a loss of 50 cents a share on $229 million in revenue.
More from Investing
Chipotle Shares Volatile After Earnings Beat Expectations
Comparable restaurant sales grew as transactions and check sizes both increased in latest quarter.
Facebook CEO Mark Zuckerberg Defends Libra Project in Written Testimony
Zuckerberg is scheduled to testify before the House Financial Services Committee on Oct. 23.
Nvidia's New 5G and 'Edge Computing' Offerings Fit Its Long-Term Strategy
The GPU giant has steadily grown its addressable market, in part by creating end-to-end solutions that pair its chips with complementary software.