Sanofi to acquire Blueprint Medicines, Boeing upgrade

In This Article:

Here are some of the stocks on the move on Monday, June 2.

Blueprint Medicines (BPMC) shares are soaring after Sanofi (SNY) agreed to acquire the company for up to $9.5 billion.

Boeing (BA) shares were upgrade to Buy from Neutral at Bank of Bank of America. Learn more about the call in the video above.

To watch more expert insights and analysis on the latest market action, check out more Wealth here.

00:00 Speaker A

Now time for some of today's trending tickers. We are watching blueprint medicines and Boeing joining me now. We've got my Morning Brief co-host Madison Mills here back on set. All right, let's set the stage for the folks at home, Maddie. First up biopharma firm blueprint medicines is rallying after striking an agreement to be acquired by Sanofi for up to 9 and a half billion dollars here. Shares of blueprint reacting just as you would expect for the company being acquired. They're up by about 26% right now, Maddie.

00:35 Speaker B

And what's really interesting is the price. 190, I'm sorry. Let me try that again. $129 per share in cash. Sanofi to buy blueprint for that amount. That's about 26% upside from where blueprint closed on Friday. So a little bit expensive, perhaps, and that might be why you're seeing such a rally in blueprint and then a little bit of pressure on Sanofi here, which is interesting given that there might be an indication that, you know, it's potentially not the most well priced deal. But of course, the big question is what this means for M&A more broadly here. This, of course, is a major deal, especially within the healthcare space that has been typically the defensive sector in the market, but not seen a ton of activity within Healthcare over the course of this year here and whether or not this kind of opens up a floodgate of additional M&A activity in the space. Of course, is something that we're going to be continuing to monitor here. But as you can see right now, those blueprint shares really soaring over the last two years. They're up nearly 120%.

02:05 Speaker A

We're going to be watching closely for that deal to close here. We'll track it. And also tracking here, shares of Boeing, Boeing upgraded to buy from neutral at Bank of America. The firm sighting turnaround progress made under CEO Kelly Ortberg and Boeing's key role in recent trade negotiations. Take a look at shares of Boeing. Tickers simple BA. It's up by about 3/10 of a percent right now.

02:36 Speaker B

Yeah, they say the balance of issues tips into Boeing's favor here, especially when it comes to some of the trade policy challenges. They see progress in stabilizing production and carve outs, alleviating any free cash flow burns going forward and a renewed focus on performing in concert in the with the favored trade mechanism status creating a buying opportunity for the stock here. And interesting to see them talking about how they've compared Boeing in the past to sort of having to create these herculean efforts in order to restore it to American Titan status, but they say that narrative has changed thanks to new CEO Kelly Ortberg's appointment last August. So they really talk about Kelly Ortberg very positively here, saying that he has effectively approached significant challenges at the business, effectively managed through many labor issues at the company. And now focus is steadily on ramping up production, and they see that as feasible for Boeing going forward. Those shares up about 4/10 of a percent.

03:57 Speaker A

Maddie, thanks so much.

04:00 Speaker B

Thank you.