BioHealth Business Daily (APPA, ARIA, MDVN, OSIP, SOMX, TEVA)

These are some of the top movers in the world of BioHealth investing.  It is usual that drug companies and biotech stocks have major volatility around news and these are examples of that today.  The big movers so far are AP Pharma Inc. (NASDAQ: APPA), Ariad Pharmaceuticals Inc. (NASDAQ: ARIA), Medivation, Inc. (NASDAQ: MDVN), OSI Pharmaceuticals Inc. (NASDAQ: OSIP), Somaxon Pharmaceuticals, Inc. (NASDAQ: SOMX), and Teva Pharmaceutical Industries Limited (NASDAQ: TEVA).

We have provided color on the news, links if appropriate, and background data on price and volume trends.

AP Pharma Inc. (NASDAQ: APPA) is up 21.8% at $1.90 on over 4.6 million shares.  This is close to 10-time normal volume and the high of $2.05 today compares to a 52-week moving average of $0.38 to $2.16.  This is ahead of today’s pending FDA nod on its drug candidate APF530 for chemotherapy-induced nausea and vomiting.

Ariad Pharmaceuticals Inc. (NASDAQ: ARIA) was cut to Hold from Buy at Argus Research and shares are down almost 8% at $3.36 today.  The new market cap is now only $366 million.

Medivation, Inc. (NASDAQ: MDVN) is down again on concerns that Dimebon’s partnership is toast after its lack of efficacy in the fight against Alzheimer’s.  Pfizer Inc. (NYSE: PFE) has so far maintained that it is too early to call it dead.  Shares are down 4.6% at $12.06 in mid-afternoon trading.

OSI Pharmaceuticals Inc. (NASDAQ: OSIP) is believed to be getting a higher price than its $52 tender from Astellas.  We noted earlier this week that it seems unlikely that this one can remain independent.  Shares rose over 1% and hit a new 52-week high of $58.97 today.

Somaxon Pharmaceuticals, Inc. (NASDAQ: SOMX) is surging today after the FDA approved its application for Silenor as the first sleep aid for insomnia and sleep disorder without all the nasty sleep action disorders that are present in other sleep aid drugs.  Mid-afternoon trading has shares up almost 65% at $6.48 on over 22 million shares and almost 10-times normal trading volume.

Teva Pharmaceutical Industries Limited (NASDAQ: TEVA) is running up today after the news that it won the bid to acquire German generic drug maker Ratiopharm GmbH for close to $5 billion.  You have to love when the acquiring company rallies.  Shares are up 3.8% at $62.22 in mid-afternoon.

JON C. OGG