INTRO Here's my semi-annual exercise to see if I remember why I own the stocks I own, and so I can check back and see if their stories have changed. I post in case it helps others too.
Geron
GERN (market cap $0.7B)
Geron is a leading edge biotech so far in front of the field that it sounds like science fiction (nuclear transfer, telamorase (sp?), stem cells, cloning). This is an exciting time as they have begun clinical trials. They are attempting to regrow nerve cells in paralyzed people. It will be headline news if they can make someone walk again. The company is well managed, especially considering how long they've been spending money without making much. Their partnership with GE is a good example of how they may survive long enough to reach FDA approval and profitability. Their partnership with GE is also an example of how difficult it will be to evaluate the revenue potential. Licensing agreements, shared expenses and shared profits can be difficult for individual investors to track and quantify.
Their potential is immense. Being able to replace organs, regrow nerves, fight cancer, are all life-improving possibilities.
Geron continues to be highly speculative, and will be so for years. They are making progress, which is encouraging; and few if any more technically advanced competitors exist.
I will continue to HOLD. I probably won't buy more until they are closer to phase three clinical trials.
DISCLOSURE LTBH since 1999. |
