Biovail Corporation is a fully integrated pharmaceutical company specializing in the development of drugs utilizing advanced controlled-release, rapid dissolve, enhanced absorption and taste masking technologies. The Company generates its revenues from developing and licensing oral controlled-release products using its proprietary drug delivery technologies; manufacturing such products for sale to licensees and wholesalers; direct marketing of proprietary and in-licensed products in Canada, and providing pharmaceutical contract research services to Intelligent Polymers Limited and other third parties.

February 12, 2001

Biovail Corporation develops and manufactures drugs utilizing advanced oral controlled-release, rapid dissolve, enhanced absorption and taste masking technologies. The Company currently has developed 15 products that are sold under license in over 55 countries. BVF ran into some profit taking in November after hitting an all-time high of $45.38 on November 8th. The stock then put in a triple-bottom over the course of two months. Now the stock has regained its momentum and on Monday, the stock broke out to an all-time high of $46.15 on volume of 956,000 shares. This was the move we were looking for so we are adding them to our current plays list. Going forward, support is the 10-dma at $43.76 with additional support at $42.90, Monday’s intra-day low. Resistance could show up in the $47-$48 range with heavier resistance at $50. Traders may consider staring new plays on a bounce off of $43.76 or a break out above $47 on volume greater than 800,000 shares by noon. We plan to set stops at $41.50 as downside protection.

Picked on February 12th @ $46.15
Change since picked +0.00
Stop Loss @ $41.50

March 1, 2001

Biovail Corporation, a leading developer of controlled-release drugs, announced first quarter earnings on Thursday morning. Revenues for the quarter increased 54% to $99.8 million and pro forma earnings increased 128% to $40.4 million compared to the same quarter last year. The company also raised its revenue and earnings guidance for 2001 and 2002. Despite the positive guidance, the stock sold off on Thursday. Shares of BVF closed just above its intra-day low of $44.20 on volume of 1.27 million shares. However, BVF is not falling out of its recent $42-$46 trading range so not much has changed technically. For now, support is the February 23rd intra-day low of $43 with stronger support at the February 14th intra-day low of $42. Resistance has moved up to the Thursday’s intra-day high of $46.50 and then the February 13th intra-day high of $47.35. Traders may consider entry points on a bounce off of $43 or a move above $46.15 on volume greater than 400,000 shares by noon. We are keeping our stops at $41.50 as downside protection.

Picked on February 12th @ $46.15
Change since picked –1.94
Stop Loss @ $41.50

February 27, 2001

Biovail is having trouble breaking through resistance at $46.15. Shares of the controlled-release drug developer traded to an intra-day high of $46.08, but it could not hold on to the gains. The stock finished the session at $44.42 on heavy volume of 1.9 million shares. BVF remains locked in the $42-$46 range as the market searches for direction. Unfortunately, the upward trend is flattening and the stock has violated the 20-dma in three of the past four sessions. From a technical standpoint, support is holding steady at Friday’s intra-day low of $43 with additional support at the February 14th intra-day low of $42. Resistance has moved up to the February 12th intra-day high of $46.15 and then the February 13th intra-day high of $47.35. A bounce off of $43 or a move above $46.15 on midday volume of at least 400,000 shares may be possible entry points. We are leaving our stops at $41.50 to limit potential losses.

Picked on February 12th @ $46.15
Change since picked –1.73
Stop Loss @ $41.50

February 25, 2001

Biovail Corporation, a leading developer and manufacturer of controlled-release drugs, rallied after hitting the low end of its trading range on Friday. Shares of BVF traded to an intra-day low of $43 before bouncing back to close at $44.17 on volume of 666,000 shares. The stock has been consolidating in the $42-$46 range on less-than-average volume over the past four weeks but the long-term upward trend is still alive. BVF may need heavier daily volume to regain its momentum. In the meantime, support has moved down to Friday’s intra-day low of $43 with stronger support at $42, the February 14th intra-day low. Resistance is unchanged at Thursday’s intra-day high of $44.65 and then Tuesday’s intra-day high of $45.68. Traders may consider opening new positions on a bounce off of $43 or a move above $44.65 on volume greater than 400,000 shares by noon. Our stops are holding steady at $41.50 to prevent additional losses.

Picked on February 12th @ $46.15
Change since picked –1.98
Stop Loss @ $41.50