A View From Inside the World of Pharmaceuticals

I couldn’t believe my ears. It was the night after the election and I’d invited a friend over for dinner. I thought he might be upset about the election results, but, surprisingly, he wasn’t.

You see, “Chris” is a regional sales manager for one of the biggest pharmaceutical companies in the world. His area covers four states, including Florida. And it turns out that inside the pharma industry, they aren’t worried about Obama overhauling the healthcare system.

Here’s how Chris explained it to me: If pharmaceutical companies are limited on what they can charge for prescription medicines, the demand for these drugs will actually increase. People who needed the medicine but could not afford it will now be able to. So the decline in price will be made up by an increase in units sold.

While I wouldn’t rush out and buy shares in every pharmaceutical company out there, I also wouldn’t rush to sell shares I owned either. If you are looking to add a drug company to your portfolio, AstraZeneca (AZN) and Cephalon (CEPH) both have solid balance sheets and improving price action.

[Ed. Note: You may not know what the market will do under Obama’s presidency. But there are plenty of opportunities to profit – and you need to be ready when the moment to prosper arrives. Market analyst Rick Pendergraft has put together an educational program that lays out the simple steps you need to take to make money in any market condition.]

Inspired by his high school economics teacher, Rick Pendergraft fell in love with the markets at an early age. He entered his first investing competition at 17, and opened his first brokerage account before he finished college. At the age of 23, on the third options trade he had ever placed, Rick turned $1,800 into $22,000 in less than a week, when the company he bought became the target of a takeover. He admits it was a stroke of luck, but it was a memorable education as to the leverage that options can provide. After a ten year career in banking, Rick decided to pursue trading full-time. To get his foot in the door, he started out in the sales department at Schaeffer's Investment Research. It was not long before his talent was recognized and he was invited to apprentice under Bernie Schaeffer, one of the top options traders in the world. Rick thrived in his new position and twice received the award for "Top Trader."Rick has developed a loyal following of readers who are grateful for his timely warnings and profitable advice. He is widely recognized as a market expert and has been frequently quoted by Reuters, BusinessWeek, Forbes, USA Today, the New York Times, and the Washington Post. Rick's primary focus is on identifying short and intermediate term rising and falling trends in the major market sectors. His analysis is based on technical factors along with indicators of market sentimentRick lives near Delray Beach, FL with his wife and three children.