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Biotech / Medical : Agouron Pharmaceuticals (AGPH) -- Ignore unavailable to you. Want to Upgrade?

To: Zirdu who wrote (2993)	11/25/1997 5:22:00 PM
From: Steve Fancy	Read Replies (1) \| Respond to of 6136

Hi RRanney - good points, didn't think it through, just posted the info. I will listen to the call again and try to clarify. sf

To: Zirdu who wrote (2993)	11/25/1997 5:41:00 PM
From: Steve Fancy	Respond to of 6136

RRanney: I screwed that one up. In listening to the call again, her comments on the price target were somewhat rushed and vague. I pulled the following from PW morning notes that Elise released on 11/13/97. *********************** REITERATING BUY (1) RATING We are expecting a series of new clinical data, including more on the Viracept BID regimen, combinations of Viracept with other antiretroviral therapies (e.g., saquinavir-SGC, indinavir (Crixivan), DMP 266, etc.) and other data to be released at the 5th annual Retrovirus conference and other meetings over the next six months that will support market demand for Viracept. With key trends including support from thought leaders to utilize earlier and aggressive treatment with triple combination therapy (with a protease inhibitor) reinforcing strong growth, we continue to expect the market for protease inhibitors to expand rapidly with Viracept capturing a significant portion of the market growth over time. We are reiterating our buy (1) rating with a 12-month price target of $75 based on applying a PE range of 40-45x (comparable to other biotech companies with high growth earnings) to calendar 1998 EPS estimate of $1.78. We arrive at the same price target by discounting fiscal 2000 EPS estimate of $4.00 at a 20-25% rate using a 25-30 multiple. ************************* Sorry for the confusion. sf