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

To: tuck who wrote (4422)	8/8/2001 10:00:03 AM
From: Biomaven	Respond to of 52153

tuck, Most analysts are lagging indicators. Downgrade after the stock goes down, upgrade after it goes up. The price targets have historically lagged even more than the buy/sell ratings, and they can easily start to look ridiculous if the stock moves a bunch. So the apparently contradictory moves on QGENF might be explained by different degrees of staleness in when the two measures were previously adjusted. I also expect to see overall price targets much closer to existing stock prices than they were in the past, and this might also be the explanation. I do think analysts are feeling the heat some, and pressure from the investment banking side is probably not as immediate given the deal flow has dropped so sharply. I would have intuitively thought the trickle company analysts would do a better job than the pure biotech analysts - lots more hard numbers for them to crunch and they can look at inventory levels and days-outstanding of receivables and other such measures they love. Peter