Questions on options?
Recently (Jan 2) you report hevy increase in otions volumen!
Calls or puts?
The Smith Barney "speculative" downgrade of REGN from V1 to V2, and advice investors to protect posible downside, "own stock & hedge with puts", will be resonable explanation.
But, lately, we are talking about calls option! This means, carrent price is atractive for speculative bayers! Am I correct?
There will be no (1/2 1997) FDA ruling concerning REGN BDNF-trial. Because of the controversy in Cephalon's Myotrophin ALS trial, and to eliminate any future ambiguous P-III ALT trials(efficency trials), FDA can rule on longer (carrent is nine manths), probably 18 months trial.
This can, but not imperative, effects BDNF trial. If the results are positive(life extending by 6% or everage three months fot ALS), any new FDA ruling will not effect REGN. Because REGN alredy has ongoing new BDNF trial with Medtronic pump-CNS infusion, it is well ahead from competitors in ALS. It means that posible ambigous results from carrent BDNF trial will not be disaster as it was CNTF two years ago!!??
It is posibility that Smith Barney(Leslie A.C.) overreacted in their concern for BDNF trial outcome. Near future will tell.
Miljenko |
