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Biotech / Medical : VD's Model Portfolio & Discussion Thread

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To: Rocketman who wrote (5793)10/23/1998 11:10:00 AM
From: rkrw  Read Replies (1) of 9719
 
A little devil's advocate on AMLN.
Cash is $25M. 35M shares. So 71 cents a share in cash, well above current levels.
The problem is on the liability side. $15.3M in current liabilities. $43.4M in "other" liabilities. What are the "other" liabilities? Book value is a negative $24M. Just want to make sure you aren't playing with a company that is essentially bankrupt.
Since you aren't planning to hold for too long, I suppose the fact that it could delist in less than a month is not a concern.
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