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Biotech / Medical : BJCT-BIOJECT-needle less injection product

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To: James Strauss who wrote (220)7/20/1998 9:34:00 PM
From: Marc Kahn  Read Replies (2) of 534
 
Jim,

10 days ago, we were discussing an unknown analyst's earnings estimate and wondering about his assumptions. It turns out that I have been sitting on his report for more than a year, and forgot all about it.

His name is Frank Lyles, MD and he works for a research company called Preferred Technology, Inc., of San Francisco (415-781-4572). The report that I have is dated 2/13/97, and indeed projects EPS of .31 for FY2000. This is based on product sales of $31.35M. He rates BJCT as a Strong Buy.

The research report is 8 pages long, and very informative. I especially found the section on DNA vaccines and genetic therapies to be interesting, in that it validates what I have gathered from other sources. Here's what he says:

"Bioject's technology gives it a distinct advantage with DNA vaccines and genetic therapies. These treatments require that injected DNA make physical contact with each cell. Bioject's injection pattern disperses into the tissue which allows the DNA access to all the cells in the dispersion pattern; whereas a needle creates a sac of fluid and only the cells that directly surround the sac will be exposed. Bioject's jet injection pattern effectively surrounds each cell and leads to higher DNA transfection rates and improved efficacy. Published data demonstrates that Bioject's device is superior to needles, giving over four fold higher expression of the target protein. Genetic vaccines received much attention in the past year as demonstrated by a noted industry leader, Pasteur Merrieux Connaught, expanding its pipeline of "naked DNA" vaccines to six. DNA vaccines have been noted in the recent scientific literature to give better protection and to be simpler to manufacture. Bioject is in prime position to capitalize on this significant opportunity."
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