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Strategies & Market Trends : Roger's 1997 Short Picks

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To: Mama Bear who wrote (7463)11/23/1997 10:47:00 PM
From: Brad Davies  Read Replies (1) of 9285
 
Barb, Although I am skeptical about Zona I wouldn't short it yet. The company has about 70M in cash, plus the 10 they just got for selling the marketing rights to Vasomax. They have about 11M shares out for a market cap of about 330M. If they get their FDA approval, it seems to me that they will likely collect on the other 47.5M from Schering, and be entitled to receive the undisclosed royalties.
You have to wonder why they would effectively sell the drug to Schering if it was goint to deliver as promised, but it seems to me there are better shorts out there. Just my opinion.
Ron
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