Today we are watching…
1. Bristol-Myers Squibb (#bmyers)
BMS has found a new cure for cancer. Investors are celebrating the findings of a recent study that shows two Bristol-Myers drugs working together to edge out chemo in lung cancer survival rates. Biotech firms and drug companies at the forefront of immunotherapy are all scrambling for market share as the treatment delivers more and more promising results, this being the latest. Merck currently leads the pack, but the FDA approval pipeline for new drugs remains strict. For investors, that means stock picks can plummet or soar overnight. An application to the FDA runs 100,000 pages long, and drugs are formulated and developed ten years before facing federal judges. Wowza!
2. Boeing (#boeing)
Two of Boeing’s new 737 Max planes hit the ground with impact earlier this year, leading to the indefinite grounding of the rest of them. Airbus capitalized, but now the American king of commercial aerospace wants to reclaim its thrown. In preparation for the CEO testifying before lawmakers on October 30th, Boeing’s board of directors has drawn up a series of new safety measures intended to rebuild trust. The first is a shake-up of safety culture at the manufacturer, and the second is a software update. Investors fear the financial damage of groundings that could stretch into next year. The stakes are high as the company tries everything in its power to put this unfortunate episode behind it and get clearance for takeoff once again.