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

To: M. Ramle who wrote (1187)	6/13/2000 11:19:00 AM
From: Biomaven	Read Replies (1) \| Respond to of 52153

Mazen, I would be quite satisfied with SEPR earnings of $5.00 in 2003. My guess is that as SEPR revenues rise, so too will the temptation to "go it alone" on more projects, and this will damp earnings some over the next four or five years. Where I disagree with the BA analyst is that earnings of $5.00 will correspond to a price of just $200. As SEPR starts earning real money, the rest of its pipeline will become that much more "real" to the street. PFE currently has a PE of 50, and SEPR will be growing much faster in '03 than PFE is now. The key to SEPR is that there are substantial opportunities for upward revisions of the projections - none of these projections take into account just how successful an unpartnered drug like R-formoterol or the Meridia ICEs could be. Further, there are new SEPR ICEs popping up all the time with significant potential - e.g., the ICE for Risperdal, or the SEPR end run around the existing omeprazole ICE. That said, SEPR did seem to get a little ahead of itself, given that we have had no real news (other than the FTC decision) for a while. A couple more significant partnerships or some good clinical results should do wonders for the stock. Peter