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Biotech / Medical : Oncothyreon

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To: StockMiser who wrote (649)5/7/1999 3:44:00 PM
From: Dan Hamilton  Read Replies (1) of 2344
 
I have just started to follow Biomira, and I have a question relating to Biotechs in general. Obviously the further along a drug is in trials, the lower the risk to investors. Analysts typically try to do a risk adjusted rate of return calculation, discounting future potential profits by the number of years and probability of success/failure.

I have seen statistics somewhere that suggest 2/3 of drugs that enter Phase I successfully pass, and 90% of those that pass Phase III ultimately get FDA approval. Does anyone know what the statistics are for Phase II and Phase III?
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