Drugmakers Have Shown Maximum Strength of Late

By Arlene Weintraub

Wall Street is by and large bullish on Big Pharma. Shares of the world's largest drugmakers have surged in recent months, providing a port in the storm that's roiling financials, real estate, and other pockets of the market. And judging from forecasts, top pharmaceutical makers may keep on climbing in the coming months. But the gains may be muted in some cases amid competition from generic versions of blockbuster drugs, recent reports that question the efficacy or safety of key treatments, or a lack of promising new pharmaceuticals in the pipeline.

Herewith a look at the bull and bear case for eight of the biggest drugmakers, along with the three-month stock performance through July 21, and the projected stock price in 12 months, based on average analyst expectations compiled by Yahoo (YHOO) Finance. Each slide also lists the company's July 21 closing share price.