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Biotech / Medical : IDPH--Positive preliminary results for pivotal trial of ID

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To: I. Luttichuys who wrote (548)4/5/1997 1:08:00 AM
From: Roger Cranwill   of 1762
 
Bennet-
Here's something I've been mulling over lately-the 'experts' believe IDEC will earn-what-$.74/shr in the latter half of the year. Being in pharmacy, you get a pretty good idea of what a new drug is going to cost when it comes online by factors such as the category the drug falls in to, or which drug company is producing the product. C2B8 is a total enigma, because its the first monoclonal antibody to (hopefully) to pass FDA approval, and IDEC has no other product out there to judge how IDEC will determine their pricing structure. You have various justifications for a price-time in development, the man-hours invested in research, development, and administration, etc. What I'm getting at is I don't see how a market analyst has any way whatsoever of determining even a ball park estimate of earnings-I see no way of being able to working out the supply and demand factors for a totally new drug category. Am I way off base here? Do you think earnings estimates for C2B8 are that accurate? Some food for thought...Roger
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