blush.........
One last thought..... it's no coincidence that so many interested parties are coming out, in very visible forums, as biotech bulls. I'd love to see them go face down, eating dirt and losses, but.... I agree, the highflyers are over
valued.
Most will realize that I meant to say "bears".
It's no coincidence that so many objective observers are popping out with "beware biotech" rantings in the forums that love to play to big money.
When I consulted for underwriters, I'd get warnings, from out of the irrational blue, that the sector was going down. It did. It's collective "don't rock the boat" wisdom. Wall Street doesn't make money by being smart. We all know that. They make money by brute force.
Small cap biotechs with good pipelines and/or patents may not be safe havens, but (1) it's the place, IMO, to make bongo returns in the next six months, (2) some of them look safe to me, and (3) there are enough companies that are absolute values (and screaming relative values) that one can construct nice, diversified baskets.
Why Gruss won't concentrate on picking small caps and providing them with liquidity, instead of dumping on the sector as a whole, is beyond me. In general, the "moneyed" interests in biotech pick the "pipeline" small caps and stick them in their PAs -- but only, and generally only, when they're not dumping on the big guys.
However, again, I don't disagree with the major point that Gruss is driving home. Too bad that they don't have the guts to drive further. |
