What do you think about long term CRGN?
From a "financial" point of view,the revenues on this fiscal year have continued on the downtrend.<g>(60% 54% and 87% less compared to previous year on the 1st, 2nd and 3rd Q respectively.)
In spite of that, the loss for the 3rd Q was $0.35 vs.$0.41 in 2002 and for the current Q the loss in 2002 was $0.59 and the coming report may also make a better comparison.<g>(The estimated loss for the 4th Q is about $0.48)
They announced in June they were cutting about 20% of their workforce as plan of their restructuring plan.
The estimated loss for 2004 is $1.74 vs. $1.54 for this year.
From a TA standpoint, the stock has been on a near term uptrend since Dec.16 and today is up ($0.24)It needs to close above its Dec.24 H of 7.77 (a triple lucky number.<g>)If it can do that it will make another 52 wks. H
siliconinvestor.com
The stock has been trading above its Aug.2002 H of 7.20 and next resistance is its May 31,2002 H at 8.45 before it can test the May 17 2002 H at 9.20 and close its May 3,2002 downgap above 9.60
bigcharts.marketwatch.com
On Dec.15, it announced the publication in Nature of a methodology,that can be used to prioritize promising drug targets.Today the stock is holding up in spite of BAY announcing that it will write off the value of its holdings in CRGN.
CRGN still has more than $7 in cash/share, insiders reportedly hold more than 17% and institutions more than 50% The float is around 40M and the short position is about 2x the daily average.
In Dec.1999, CRGN entered into a strategic alliance with ABGX to develop genomics-based antibody drugs and in Nov. 2000, it expanded its alliance to develop up to 250 fully human antibody drug candidates across all disease areas.
In Jan 2001, it signed two agreements with BAY for drug discovery.One involves small molecule drugs to treat obesity and type II DM. The other is for applying CRGN genomic technologies to evaluate BAY's pipeline of compounds across all disease areas.
CRGN also has "agreements" for collaboration with many other companies as well as with more than 100 universities.<g>
In view of the foregoing and its good cash/share and restructuring cost trimming, it seems OK to keep CRGN under close watch.<g>
Bernard |
