Covance, Inc. (NYSE:CVD)

Using CDO's as a means to control biotech and pharma companies costs will make CVD's business fluorish over the next few years.

Safe bet in medical space

Let’s face it, investing in drug developers isn’t easy. First, there’s the science risk – the chance that the company’s best drug prospect will fail somewhere during the arduous clinical trial and regulatory approval process. If that weren’t enough, there’s the market risk – the chance that someone else either brings their competing drug to market first, or brings a more effective drug to market later. If, however, you are looking for a way to capitalize on the overall uptrend in the pharmaceutical industry without taking on risks than can, and often do, border on speculation, Covance may well be a candidate worthy of serious consideration.

After all, “selling pickaxes to gold prospectors” may seem like an overly used analogy in the business and investing world, but finding these kinds of companies can be a great way to boost your portfolio’s returns without taking on the speculative risk of doing the prospecting on your own.

CVD is a premiere Contract Research Organization. It is continually expanding its sales to Bio-Techs and large Pharmaceuticals. It is expanding in a controlled way into the Chinese market.

Great company growing quickly at a time when healthcare for baby boomers is a huge market. this company will see more and more business as pharma both big and small continue to test drugs in the pipeline. I also like this play as a safe way to bet in drug development as Covance's bottom line isn't effected when a drug fails tests like the pharma guys.

great defensive play

This company appears to be the best in its field. also with more and more drug companies

trying to cut expenses, they are outsourcing

these services. Covance should do well for

many years to come. They are efficient and fast.

This company has shown steady growth year after year and 2008 is no exception. I see several years of good growth in this companies future.

Medical industry: a win, win situation.

medical dental. growth.
will go up. will beat sp 500?
not sure. grow 25%, ROE 17%. 5B

More and more big pharma is outsourcing to CRO's, and CVD is the dominant player.

This stock was hit in late October after reporting 3Q profit was in line with analyst expectations. I think that CVD is still in a strong enough position to make a great investment, though growth may be slowing. Either way, the P/E isn't terrible for such a stock. Drug companies HAVE to develop new drugs to stay in business, and those companies need someone like CVD to help develop new products. I have not done enough research on this company yet, and am not putting any real money in, but I will be keeping my eye on this stock and looking further into what looks like a good deal.

CVD has strong numbers and the company is very strong in a lot of areas. I believe the compant will catch up with the numbers and the price will turn to positive side down the road

excellent growth prospects

9/2006

97

Earnings Per Share (EPS) Rating
92
Relative Price Strength (RS) Rating
87
Industry Group Relative Strength (Grp RS) Rating
B+
Sales + Profit Margins + ROE (SMR) Rating
B
Accumulation/ Distribution (Acc/Dis) Rating
A

well placed

Currently a 3 bagger for me and still looking strong. Riding the boomer wave.