I agree, Anthony.
If I may add my 2 cents as an "armchair biotech investor", maybe I can put some of this Enbrel stuff to bed (for the benefit of naive and twt), so here goes:
twt:
Enbrel is an injectible medication that is used to treat rheumatoid arthritis, it is made by IMNX and AHP owns some of IMNX. Its main competitor will be Remicade which is made by CNTO and is currently approved for Crohn's disease. Recently, CNTO's stock has gotten hammered because Remicade has some bad side effects, thus IMNX has enjoyed big upticks because this might delay Remicade's entry into their market. This market is TOTALLY separate, with TOTALLY separate projections.
MTC has developed Celebrex,a two-a-day pill which PZE will market in Feb, if given the 'ok' by the FDA in Dec. It will compete with the likes of (large doses) of Advil or Tylenol given to people who have arthritis. The biggest competitive threat will be around Aug, when MTC's drug Vioxx goes up for FDA approval. It is from the same class as Celebrex, but it's advantage is it's a one-a-day, thus will be competing for the same dollar. It is projected that this market could be near $5 billion/ annually. So there is room for a few competitors. I personally like PZE on my side, they have the number 1 sales force.
mrnaive:
As for the risk factors that Moody's brought up, as you probably know, check any prospectus, and you will find that we shouldn't buy any stock or bond without first accepting the inherent risk involved with an open-market issue...every one I've ever read has a paragraph or so about risk.
To really get a good insight to this field, do what I do, and look for magazine articles on the subject. 'Fortune' just had one a few months ago, and I bet you can find it in the library.
I am a recent owner, but a long-term follower of this company, and I feel the management is up to the task of creating wealth for us as stockholders.
Hope this helps,
John |
