Shares in pharmaceutical group Elan tumbled to a new low on the New York Stock Exchange in early trading after a new report from Credit Suisse First Boston (CSFB) launched a scathing attack on the company.
The report from CSFB analyst Mr David Maris put a $7 price target on the shares and said that a cash squeeze could hit Elan's ability to meet earnings targets.
On the NYSE, more than 4.5 million shares had traded by midday (2.5 million shares is the average daily turnover) and the shares hit a low of $7.40 before recovering some ground. By midday, however, they were still down more than 10 per cent on $7.78. In Dublin Elan shares finished 63 cents down at €8.90.
On the home market, there was some busy trading in selected markets although there was no overall trend to trading. Bank of Ireland remained in demand and dealt up eight cents to €13.78 while Irish Life & Permanent continued this week's strong run and was 25 cents higher on €16.73.
Among industrials, CRH gained 21 cents to €19.15, Green was six cents higher on €9.20 as investors await bid news, while there was continued heavy trading in Smurfit within a narrow range. Smurfit was a cent easier on €3.13 in volume of 5.3 million shares.
After a period of relative weakness, Ryanair was in good demand and closed 10 cents higher on €6.25 in turnover of 2.3 million shares.
Kerry gained 12 cents to €15.74, while Conduit gained nine cents to €2.10 after better-than-expected results.
This is my last Markets Report as I will be leaving The Irish Times this week after 16 years. Many thanks to the numerous brokers, analysts and fund managers without whose assistance the column could not have been complied over the years.
