Amerisourcebergen Corp

ABC-N

NYSE:ABC

96.80
2.14 (2.26%)
AmerisourceBergen Corporation is an American drug wholesale company that was formed by the merger of Bergen Brunswig and AmeriSource in 2001.
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Analysis and Opinions about ABC-N

Signal
Opinion
Expert
DON'T BUY
DON'T BUY
January 17, 2020
Looking at seasonality before election cycles, this was the only one that underperformed in the sector. It is a wholesaler between the manufacturer and pharmacies. He prefers McKessen to this name. He doesn't know about the opioids and their potential exposure. It's an inexpensive company, but he would prefer to buy this in an ETF.
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Looking at seasonality before election cycles, this was the only one that underperformed in the sector. It is a wholesaler between the manufacturer and pharmacies. He prefers McKessen to this name. He doesn't know about the opioids and their potential exposure. It's an inexpensive company, but he would prefer to buy this in an ETF.
DON'T BUY
DON'T BUY
January 9, 2020
They are essentially the balance sheet for the US pharma industry. They are the distributors in the industry. It is a stock that has really struggled. You think it is good value but really it is dead money.
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They are essentially the balance sheet for the US pharma industry. They are the distributors in the industry. It is a stock that has really struggled. You think it is good value but really it is dead money.
DON'T BUY
DON'T BUY
April 10, 2019
It has a good cash flow and steady dividend. The problem is the business drivers are not very good right now. Cost pressures in the industry is causing them to cut costs, which leads to margin erosion. He would look elsewhere.
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It has a good cash flow and steady dividend. The problem is the business drivers are not very good right now. Cost pressures in the industry is causing them to cut costs, which leads to margin erosion. He would look elsewhere.
TOP PICK
TOP PICK
May 9, 2018

One of the three major US drug distributors. Partnered with Walgreens to buy drugs from manufacturers in bulk, then sell to pharmacies and hospitals at profit. Trades at a low multiple. The industry has challenges: generic pricing has been soft and declining, but that's stabilizing now to ABC's margins. ABC has the highest exposure among its peers to specialty pharmaceuticals which are growing faster at higher margins. Their contracts are set through 2020. (Analysts' price target $103.87)

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One of the three major US drug distributors. Partnered with Walgreens to buy drugs from manufacturers in bulk, then sell to pharmacies and hospitals at profit. Trades at a low multiple. The industry has challenges: generic pricing has been soft and declining, but that's stabilizing now to ABC's margins. ABC has the highest exposure among its peers to specialty pharmaceuticals which are growing faster at higher margins. Their contracts are set through 2020. (Analysts' price target $103.87)

BUY
BUY
April 27, 2018

This drug distributor controls huge volumes of non-proprietary distribution networks. There is uncertainty in health care generally however. It is very inexpensive here. He would consider buying at these levels.

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This drug distributor controls huge volumes of non-proprietary distribution networks. There is uncertainty in health care generally however. It is very inexpensive here. He would consider buying at these levels.

DON'T BUY
DON'T BUY
April 11, 2018

He is not a big fan of drug distributors. The technical chart has been whippy. He would prefer to see higher highs on the chart and confirmed by relative strength. The healthcare space is neutral in their valuation. (Analysts’ price target is $105 )

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He is not a big fan of drug distributors. The technical chart has been whippy. He would prefer to see higher highs on the chart and confirmed by relative strength. The healthcare space is neutral in their valuation. (Analysts’ price target is $105 )

COMMENT
COMMENT
February 15, 2018

CVS Health Corp (CVS-N) vs Walgreen Boots Alliance (WBA-O) or stay out of health care? He prefers Walgreen between the two, due to their Rite Aid acquisition. They feel that a safer option is AmerisourceBergen (ABC-N) as they are more on the distribution side.

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CVS Health Corp (CVS-N) vs Walgreen Boots Alliance (WBA-O) or stay out of health care? He prefers Walgreen between the two, due to their Rite Aid acquisition. They feel that a safer option is AmerisourceBergen (ABC-N) as they are more on the distribution side.

PAST TOP PICK
PAST TOP PICK
March 13, 2017

(A Top Pick April 4/16. Up 4%.) Part of the fallout from the healthcare situation in the US. Trading at very mid-teen multiples, much less than what the market is trading at. Also, this is partially owned by Walgreens (WBA-Q) who got the contract away from CVS (CVS-N), so there is going to be an extra 40 million prescriptions going to be written that Amerisource is going to take advantage of. He is going to continue to Buy more.

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(A Top Pick April 4/16. Up 4%.) Part of the fallout from the healthcare situation in the US. Trading at very mid-teen multiples, much less than what the market is trading at. Also, this is partially owned by Walgreens (WBA-Q) who got the contract away from CVS (CVS-N), so there is going to be an extra 40 million prescriptions going to be written that Amerisource is going to take advantage of. He is going to continue to Buy more.

TOP PICK
TOP PICK
March 1, 2017

One out of 5 pills we take are coming from this company. A very well-run company with a terrific free cash flow yield of just under 10%. Very profitable. Reasonably cheap, because healthcare has come under pressure. This is closely related to Walgreens (WBA-Q) which he has recommended in the past. Walgreens is their biggest customer. Dividend yield of 1.6%. (Analysts’ price target is $90.)

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One out of 5 pills we take are coming from this company. A very well-run company with a terrific free cash flow yield of just under 10%. Very profitable. Reasonably cheap, because healthcare has come under pressure. This is closely related to Walgreens (WBA-Q) which he has recommended in the past. Walgreens is their biggest customer. Dividend yield of 1.6%. (Analysts’ price target is $90.)

COMMENT
COMMENT
August 22, 2016

MCK-N vs. ABC-N. He likes both, but prefers Cardinal Health (CAH-N). Those running for election are talking limits of drug prices.

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MCK-N vs. ABC-N. He likes both, but prefers Cardinal Health (CAH-N). Those running for election are talking limits of drug prices.

COMMENT
COMMENT
May 20, 2016

A big drug distributor. Part of the problem is drug pricing, and generic pricing has become a bit of a political issue as well. Have a sustainable and growing dividend, but now it is in a situation where even if management gets it all right, there is a huge investor turnover to work through before starting to make your money back. He tends to avoid these because the return over time is not very good.

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A big drug distributor. Part of the problem is drug pricing, and generic pricing has become a bit of a political issue as well. Have a sustainable and growing dividend, but now it is in a situation where even if management gets it all right, there is a huge investor turnover to work through before starting to make your money back. He tends to avoid these because the return over time is not very good.

TOP PICK
TOP PICK
April 4, 2016

Inflation was driving their revenues and now has come off a bit. It is a long term hold. Over the counter oncology drugs are slowing and so pricing power is getting weaker. Walgreen has been exercising some warrants and so is diluting the stock. Now they should get back to doing what they are doing. It may do nothing for 2 years.

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Inflation was driving their revenues and now has come off a bit. It is a long term hold. Over the counter oncology drugs are slowing and so pricing power is getting weaker. Walgreen has been exercising some warrants and so is diluting the stock. Now they should get back to doing what they are doing. It may do nothing for 2 years.

PAST TOP PICK
PAST TOP PICK
May 20, 2014

(BNN had the date as Nov 28/13, but I show Nov 8/13.) (A Top Pick Nov 8/13. Down 0.32%.) A distributor, not a manufacturer of pharmaceuticals. Have Walgreen (WAG-N) and Bootes as their biggest partners. Share price has been a little weak only because they issued warrants to Walgreens and issued long-term debt to buy back shares to offset the warrants. Going to start hitting its earnings growth over 2015-2016.

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(BNN had the date as Nov 28/13, but I show Nov 8/13.) (A Top Pick Nov 8/13. Down 0.32%.) A distributor, not a manufacturer of pharmaceuticals. Have Walgreen (WAG-N) and Bootes as their biggest partners. Share price has been a little weak only because they issued warrants to Walgreens and issued long-term debt to buy back shares to offset the warrants. Going to start hitting its earnings growth over 2015-2016.

TOP PICK
TOP PICK
November 8, 2013

(He recommends you take a half position only because these Top Picks are trading at multiples that are higher than average, but are still attractive as long-term investments.) Distributes pharmaceuticals to hospitals and doctors offices. With the recent joint venture with Walgreen’s (WAG-N) and Alliance Boots in England, this gives them a new footprint into Europe. There is a lot of room for this company to grow.

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(He recommends you take a half position only because these Top Picks are trading at multiples that are higher than average, but are still attractive as long-term investments.) Distributes pharmaceuticals to hospitals and doctors offices. With the recent joint venture with Walgreen’s (WAG-N) and Alliance Boots in England, this gives them a new footprint into Europe. There is a lot of room for this company to grow.

PAST TOP PICK
PAST TOP PICK
September 14, 2012

(A Top Pick April 11/12. Down 2.77%.) Hoping to hold this for 10 years. Pharmaceutical distributor to doctors’ offices and hospitals. This get them away from litigation risks and patent concerns and they don’t have to plough a lot of money into R&D. Revenues have been growing. Have been buying back about 10% of the float every year. Dividend has been rising at about a 20% clip over the last 5, 10, 20 years. When it hits $36, that’s when he usually steps in and buys more.

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(A Top Pick April 11/12. Down 2.77%.) Hoping to hold this for 10 years. Pharmaceutical distributor to doctors’ offices and hospitals. This get them away from litigation risks and patent concerns and they don’t have to plough a lot of money into R&D. Revenues have been growing. Have been buying back about 10% of the float every year. Dividend has been rising at about a 20% clip over the last 5, 10, 20 years. When it hits $36, that’s when he usually steps in and buys more.

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Amerisourcebergen Corp(ABC-N) Rating

Ranking : 3 out of 5

Bullish - Buy Signals / Votes : 0

Neutral - Hold Signals / Votes : 0

Bearish - Sell Signals / Votes : 2

Total Signals / Votes : 2

Stockchase rating for Amerisourcebergen Corp is calculated according to the stock experts' signals. A high score means experts mostly recommend to buy the stock while a low score means experts mostly recommend to sell the stock.

Amerisourcebergen Corp(ABC-N) Frequently Asked Questions

What is Amerisourcebergen Corp stock symbol?

Amerisourcebergen Corp is a American stock, trading under the symbol ABC-N on the New York Stock Exchange (ABC). It is usually referred to as NYSE:ABC or ABC-N

Is Amerisourcebergen Corp a buy or a sell?

In the last year, 2 stock analysts published opinions about ABC-N. 0 analysts recommended to BUY the stock. 2 analysts recommended to SELL the stock. The latest stock analyst recommendation is DON'T BUY. Read the latest stock experts' ratings for Amerisourcebergen Corp.

Is Amerisourcebergen Corp a good investment or a top pick?

Amerisourcebergen Corp was recommended as a Top Pick by Paul MacDonald on 2020-01-17. Read the latest stock experts ratings for Amerisourcebergen Corp.

Why is Amerisourcebergen Corp stock dropping?

Earnings reports or recent company news can cause the stock price to drop. Read stock experts’ recommendations for help on deciding if you should buy, sell or hold the stock.

Is Amerisourcebergen Corp worth watching?

2 stock analysts on Stockchase covered Amerisourcebergen Corp In the last year. It is a trending stock that is worth watching.

What is Amerisourcebergen Corp stock price?

On 2020-09-25, Amerisourcebergen Corp (ABC-N) stock closed at a price of $96.8.