@adamfeuerstein Too late for this week's mail bag, but would like your thoughts on $EXAS recovery from its deep dip after data.— hvypilot (@bigojetairliner) May 10, 2013The results from the phase III study of Exact Sciences' ( EXAS) non-invasive colon cancer screening test were labeled disappointing by a lot of investors, analysts and biotech stock commentators (ahem) when released on April 17. Here's a chart of Exact Sciences since the Cologuard data were announced: EXAS data by YCharts
So much for conventional wisdom. For an explanation, I sought out a hedge fund manager source who's been a stalwart Exact Sciences bull. He still owns the stock today.
Alan P. writes: "With biotech companies doing so well and the stocks surging, I'm surprised that we're not seeing more acquisitions being announced. Is there a reason for this? The rumors about takeovers don't seem to come true very much and I wonder why. Thanks for your help." Alan is correct about the relative dearth of healthcare mergers-and-acquisitions activity this year. Through the end of May, U.S.-based M&A healthcare deals totaled $34.1 billion, down 12% compared to the same time period last year, according to healthcare merchant bank Burrill & Co.