Rick and all,
For those who didn't see, Wedbush(Alex Arrow) recently downgraded ORG, and today ORG responded:
http//biz.yahoo.com/bw/980701/organogene_1.html
It was all pretty interesting. ORG looks to not be worried about slinging mud and making enemies right now, right or wrong about their product. Some interesting comments ORG made though, such as inferring that dermagraft was turned down rather than given a letter of nonapproval....rejection and delay are two very different words.
For those who haven't read Alex Arrow's discussions before about biotech/tissue engineering, he gives very good fundamental descriptions of the industry and the specific companies. Although it is a small company, his reports have been far more fundamentally correct than just about any other analyst I have read over the last year, regardless of current stock price. Predicting actual earnings or dates of fda approvals is trickier. I haven't gotten to read his report about ORG to comment, but I have found his comments about ATIS to be very forthcoming. FWIW, he has acknowledged that Wedbush maintains a market share in ATIS. He downgraded them from accumulate to hold on the day of the nonapproval news, and soon after upgraded them to accumulate again, given the change in the valuation..etc. On one hand, Wedbush could be said to be pushing for a company they own, but on the other hand, why wouldn't they own shares in a company they believe has a very sound fundamental future?
Trying to test that 4.5 resistance. Will be interesting to see if it breaks through or settles back a bit, although it looks like you are correct, Rick. I'd be surprised to see the low get back to the 3s again without bad news, or at least below the upper 3s.
Take care,
Marshall |
