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

To: tuck who wrote (572)	4/27/2001 2:43:45 AM
From: Spekulatius	Read Replies (2) \| Respond to of 1784

Tuck, a lot of the trickle company are in their early growth phase with a very small revenue base. If growth slows or even stalls many of them look very expensive. Just one example: Rosetta: 4.7M$ sales Q1/2001; loss: 6M$, cash at hand: 155M$, Market cap 295M$. RSTA needs more than double their revenue base (at current expense level) to break even, which may not be that easy in the current business climate. I am not recommending a short of RSTA here, just mention this as an example to illustrate the point. My guess is that big ticket purchases may be delayed due to economic uncertainty and this may hit segments of the sector.