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Biotech / Medical : EntreMed (ENMD) -- Ignore unavailable to you. Want to Upgrade?

To: Don Dorsey who wrote (1962)	7/26/1999 8:14:00 PM
From: Don Dorsey	Read Replies (1) \| Respond to of 2135

If we assume that between ES, AS, 2ME2, and Thalidomide, one treatment emerges that is about as effective as other's currently on the market, what would be a fair value for ENMD? I've worked up some numbers. Someone may want to check my math. Suppose a treatment as effective as Rituxan (for non-Hodgkin's lymphoma from Genentech) is developed. In all objectivity, this is only a mildly effective drug, for a very small percentage of all patients. Nevertheless, In '98 Rituxan generated $163 million in sales. At the end of '98 Genentech was trading at a price to sales ration of 9.6. Asuming the same revenue and price to sales ratio for any new drug from ENMD, I get a share price of $196/share. I know it's a long way from where we are to an approved drug, but if only the most modest expectations are met, ENMD is very undervalued.