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Biotech / Medical : ABTI Alpha-Beta Technology
ABTI 0.200+99,900.0%Jun 17 12:34 PM EST

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To: Wayners who wrote (76)5/13/1997 7:03:00 AM
From: Jonathan Rothschild   of 572
 
I don't think it's Ceohalon or Chiron that has people worried; it's Autoimmune. This sector is very cold right now after a string of phase III failures (IMGN, AIMM, CRTQ to name a few). We haven't had a breakthrough study report since Protein Design Labs. The stock of PDLI has nearly tripled off its lows based on these results. I wonder if people are aware that the upside is so much greater than the downside. Nevertheless, this stock is difficult to hedge, because the implied volatility is so high for the puts. I assume that some people are just paring back their positions because thy don't want the risk right now. Biotech investors' recent memories are what is most impressionable. Don't forget PDLI.
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