Wyeth buyout a good deal for Pfizer?

Pharma observers just won't stop matchmaking. A Credit Suisse analyst wants Pfizer to buy out Wyeth, and the Bayer-Novartis rumors are still flying. Catherine Arnold, the Credit Suisse analyst, notes that Wyeth stock has plummeted 19 percent since July 23 on a string of bad news, including two FDA rejections and a generic Protonix challenger. But, she says, the company's pipeline is promising, and its biotech drugs are strong--so it's a bargain. Pfizer, are you listening?

Meanwhile, Bayer's stock was up about 3.5 percent today on continued gossip that Novartis is kicking the company's tires. Analysts, however, still contend that the math doesn't work: Novartis' market value is around $143 billion, and Bayer's is $54 billion. One investment bank told its clients that Novartis isn't strong enough now to launch that big a buyout.

- read the Wall Street Journal's take (sub. req.)
- and here's another report