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

To: Spekulatius who wrote (5927)	3/17/2002 4:33:25 PM
From: Crossy	Respond to of 52153

Spekulatius, thx for your opinion on Dainippon. Chugai I noticed the increasing revenue (hard for a pharma in Japan to do when ASP prices are held down) but their Price/Sales number is quite high.. Dainippon I liked it too. My problem is the lack of "market potential" background that each compound development is associated with. I only can count compounds. If I see "orphan drug" it means specialty pharma product - no blockbuster. But what is the market size a drug is adressing. I'm pretty much left to guesses.. Anyway, your comments warrant a "pipeline first" approach. The same "quality of pipeline" seem to have been exactly the difference that catapulted Pfizer to what it is now.. BTW - one pharma I looked at (Kaken Pharma) seems to go the other way round. They have a pretty vast diversified Japanese salesforce and they are signing in-licensing deals by the dozen. For exacmple they are SCIOS partner for their famed "fibroplast" drug in Japan. So that looks like a "specialty pharma" - a marketing driven model to me. Could also be interesting - a replicate of the "bipolar" pharma environment in the US.. wow - you remember the fiberoptic battles of 99-2000. Great times - will always be faithful to them. Right now I diversified a tad into scientific instruments (NBSC), med equipment (METC) and some development stage biomaterials (BIP.V) Aside from that I really do like Japan. Bought 2 electronic stocks recently.. New Japan Radio (linear ICs) and Asahi Kasei (chemicals, diversified into Pharma/Drug Delivery and semiconductors). Both will benefit from the current boom in consumer electronic gizmos. Valuation is a joke down under. Price/Sales at 0.30-0.50 for companies with those kind of credentials (NJR, AKM). Roughtly 10-20% of their US counterparts. I got into those 2 japanese firms because I saw ESST run away in the US.. Just did a study into many groups and their stock-components in Japan. That is really a "pipeline" of its own.. <g> all the best CROSSY