Rick,
My question about the patents was more one of concern than strong conviction. As for the murkiness factor, all I really have to go on was a news article raising concern about biotech patents and whether or not many of them could be enforced. CellPro I used as an example only because it is one I'm somewhat familiar with, and it demonstrates how costly litigation can be for a small company. At the time I invested in it, the focus was entirely on the FDA approval for its Ceprate system and potential sales, and I didn't notice much serious concern about the patents. Maybe that's just another example of the undereducation or tunnel vision of biotech analysts. But I think the CellPro story suggests some degree of uncertainty around the patents, since CellPro won the first go around in the courts, had the decision reversed the second time, and is now in an appeal process. As for the moustaches, I never noticed them growing smaller. In fact, in a moustache contest, I would say CellPro management could out-moustache just about anyone.
All in all, I hope you are right because my biotech investment is mostly in smaller companies, and I certainly hope the new discoveries they are making prove profitable. I'm interested in them because I think this sector is enormously undervalued in its price/potential. It seems to swing between feast and famine, and I guess I'm predisposed to invest during a price famine. Among these, I agree that MCDE does look great; the more time I've spent looking it over, the more attractive it gets.
I want to thank you again for the good information and smart thinking you bring to the discussion. You've been enormously helpful in accelerating my biotech learning curve, alerting me to good possibilities, and helping me evaluate them better.
Baird |
