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Biotech / Medical : Genzyme Tissue Repair - GZTR

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To: BWAC who wrote (203)6/29/1999 9:37:00 PM
From: ajs  Read Replies (1) of 405
 
The PW midyear biotech review has GZTR as a buy with $8.00 12 month target (of course they thought it was worth $12-15 when it was selling for $8); GZTR has cash of $30 million and a market cap of less than $48 million. A few highlights from report: Carticel outlook improving has potential to be a $200-300 million product; Reduced expenditures from transfer of NeuroCell reduces burn $2-2.5 million per quarter; see $0.19 2001 fy EPS and $0.85 in 2002. IMO the value of Carticel alone should be at least 3 times sales so $6.00 per share today for Carticel if it were sold plus $1.50 in the bank in cash there is no way this dog is only worth $2.00. If GENZ can screw it up they probably will.
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