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Microcap & Penny Stocks : Tokyo Joe's Cafe / Societe Anonyme/No Pennies

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To: new novice who wrote (9209)11/7/1998 8:19:00 AM
From: FawnVu  Read Replies (3) of 119973
 
New Novice...hard to say on GERN...may gap up a bit on Monday and then continue its trek downward to where it was before unless another explosive news release...Last night, some negative reactions from Gruntal & Co. and Hambrecht & Quist about GERN soaring...I would get rid of it when I see it's high on Monday...Here are some extracts from the analysts comments...Hope this helps...

""But financial analysts warned investors to be wary, noting that any potential commercial application of the breakthrough would take at least a decade and possibly longer.

''This is why people fantasize about hitting the lottery in drug stocks,'' Gruntal & Co. analyst David Saks said of Friday's stock
rise. ''But many times investors are hurt badly by overpaying too early for a stock and not understanding the risks of the
pharmaceutical development program and the risks involved.''

Saks noted that on average only about 5 percent of laboratory discoveries find their way into useful commercial applications.
The market of cancer research, for example, is littered with drugs that managed to cure cancer only in mice.

Richard van den Broek, biotechnology analyst at Hambrecht & Quist, warned there is many a slip between the cup and the lip.

''This is a lot more significant scientifically than commercially,'' van den Broek said. ''It could have tremendous commercial
application but this is very early stage research.''
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