First Eagle Investment Adds to Stake in NewLink Genetics

Stock price is close to one-year low

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Feb 03, 2016
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First Eagle is an independent firm that was originally founded in 1864 by the Arnhold brothers in Dresden, Germany. In 1931, the firm acquired S. Bleichröder and moved the company to New York City in 1937 and began conducting business under the name of Arnhold and S. Bleichroeder Inc.

In 1967, the company launched their first offshore fund First Eagle Fund N.V., and in 1995 the firm became SEC-registered investment advisers. The company continued to grow and expand in 1999 when the firm acquired a majority share of Société Générale Asset Management Corp., forming what is now the company's Global Value team. In 2009, the firm was renamed to First Eagle Investment (Trades, Portfolio) Management and it has kept that company name ever since.

First Eagle Investment (Trades, Portfolio) currently owns 327 stocks with a total value of $39.676 billion.

In the fourth quarter of 2015, First Eagle Investment (Trades, Portfolio) added 2,615,229 shares of NewLink Genetics Corp. (NLNK, Financial).

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NewLink Genetics was originally founded in Delaware in 1999. NewLink Genetics is a biopharmaceutical company that focuses on discovering, developing, and commercializing novel immuno-oncology products to help improve the lives of cancer patients.

NewLink Genetics has a market cap of $740.07 million, a P/E ratio of 10.58, an enterprise value of $543.92 million and a quick ratio of 19.37.

Below is a Peter Lynch chart for NewLink Genetics Corp.

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NewLink Genetics has a few good signs according to GuruFocus.

The company’s Piotroski F-score is high with a ranking of 7, which indicates a very healthy financial situation. NewLink Genetics has a comfortable interest rate coverage of 5 and a quick ratio of 19.37, meaning they have enough cash to cover all of their debt. The price of the company is also close to a one-year low.

I believe that NewLink Genetics is a good investment because the company has numerous good signs with strong operating margins. The company is also doing something positive to help improve the lives of patients with cancer.

Cheers to your investment success.