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Biotech / Medical : Cell Genesys (CEGE) -- Ignore unavailable to you. Want to Upgrade?

To: Londo who wrote (1128)	5/20/2001 2:52:27 PM
From: Icebrg	Read Replies (2) \| Respond to of 1298

Londo Thanks for your opinions. It is of course possible to do this type of "calculations" in many different ways. To me the shareholders' equity does not mean very much for a company like CEGE. The reason is that the equity (as is also the case with the cash and the ABGX-shares) will be eroded over time, as the company progresses with its products through the necessary clinical trials. That is why I tried the shortcut to look at other "similar" companies. Although they are not very similar, at least it gives an indication of how the market looks at companies with their IP invested in cancer vaccines. There are of course several reasons why this type of comparison might not be quite fair to CEGE. One is that while CEGE might very well be expected to complete the trial series for GVAX, without any further dilution in the form of the selling of new shares or by licensing out future income potential, this will most probably not be the case for the other two companies. To what extent the market has factored in this is impossible to judge. Most of the time when looking at the share price development for biotech stocks, I get the impression that the market is not very efficient at setting these values. Which is of course why we hope to be able to make some money in this sector. Ice