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Biotech / Medical : VVUS: VIVUS INC. (NASDAQ)

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To: Mkilloran who wrote (10332)7/1/1998 11:09:00 PM
From: RCMac  Read Replies (2) of 23519
 
>> Smith Barney is projecting PROFITS from MUSE of $118 mill in 2001.<<

Assuming SB's estimate will prove accurate, the arithmetic might look like this:

$118MM divided by 32MM shares equals about $3.69/share. Put a very modest multiple of 15 on this and you have a $55 stock in three years. More likely, a multiple of 25 for a growing healthcare stock, for a $92 stock.

Or assume SB's numbers are double the right ones, you still have a $46 stock. So what's not to like about VVUS at $6?

--RCM
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