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Biotech / Medical : Agouron Pharmaceuticals (AGPH)

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To: sam who wrote (2971)11/24/1997 12:33:00 PM
From: PAL  Read Replies (1) of 6136
 
The problem facing Agouron is Wall Street's perception that the company is one product company albeit very successful in that Viracept. However, there is anxiety that there are potentially other products that will come to the market (in two years or so) that will compete against Viracept. Although Agouron is developing other products, the only one in Phase III is AG337 while AG2034 and AG3340 are still in Phase I. The other seven projects are in Research Stage. It will be a long time before Agouron has a new product in the market.There are many biotech companies that are burning money during research and development but rewarded by Wall Street. On the other hand it seems that a great company like Agouron is penalized WS for its success. Therefore, although the stock deserves to be around 70 like John W. kept mentioning some times ago, realisticly it is facing turbulent waters.
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