JOEBT1, I think that you are right on the money. What's most remarkable about the RS report is the comments on it by those who have never read it. As I said before, it is the most extensive report on LGND that I have seen. It helps put LGND's huge pipeline into perspective. Most of the products that are entering the clinic now are not even in the report. LGND has a great deal of potential and individuals will have to decide if the projections are realistic or not.
I actually think that LGND is getting some backlash from the sector in general. It has under performed largely because of its dismal clinicals. LGND has done exceedingly well in the clinical arena with trials halted because the data was too strong to continue giving the placebo, and the recent ONTAK vote was unanimous on the safety and efficacy front.
The sector in general leaves much to be desired. Although the number of compounds in the clinic is at record levels, so is the number of drugs rejected by the FDA, as well as those drugs that cannot generate a statistically significant numbers or those that produce a marginally significant result. The sector is maturing, but it still has a way to go.
Eventually the street will recognize LGND's potential, but at this time it is relying of the sector's track record, which definitely has room for improvement. There are still too many companies and too many marginal products, so I suspect that it will remain difficult for LGND to achieve an appropriate market cap, but they will keep on getting bigger and better, and the patient investor will be rewarded, sooner or later. |
