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Biotech / Medical : Biotech Valuation -- Ignore unavailable to you. Want to Upgrade?

To: LLCF who wrote (478)	12/27/1999 10:24:00 PM
From: Larry Liebman	Respond to of 52153

More valuation: CRA+AFFX+INCY+HGSI+MLNM= $19 billion capitalization MRK 2.34 billion shares outstanding. Move of MRK from 70(today) to 78(someday)...8 point move... equivalent to total market cap of genomics leaders. Not saying the valuation is inexpensive... rather, trying to put it in context.

To: LLCF who wrote (478)	12/27/1999 10:35:00 PM
From: Biomaven	Read Replies (2) \| Respond to of 52153

Well it's dinner time: "COME AND GET IT!" Oh, and no need to worry about us - we've eaten already. <g> Seriously, in this environment you particularly want to own stocks that have frequent "good news" announcements. With more than 20 chromosomes to go, the genome stocks clearly fall into this category. Similarly, the MAb stocks like ABGX and MEDX with lots of partners can come up with a tidbit every few weeks. I suspect the "new owners" won't have much patience, so the traditional multi-year waits between phases just aren't going to cut it. At some point these people are going to figure out that CRA is a long, long way from a product but it could conceivably take a year or two for this to sink in. So when is the party going to stop? Wish I knew! We're apparently not in Kansas anymore, and rational projections (to the extent they were ever possible in biotech) are no longer the driver. Never dreamt I was going to end up as a part-time tulip farmer, though. Peter