Silicon Investor (SI) -- The First Internet Community

STOCKTALK

We've detected that you're using an ad content blocking browser plug-in or feature. Ads provide a critical source of revenue to the continued operation of Silicon Investor. We ask that you disable ad blocking while on Silicon Investor in the best interests of our community. If you are not using an ad blocker but are still receiving this message, make sure your browser's tracking protection is set to the 'standard' level.

Biotech / Medical : Complete Genomics GNOM DNA analysis for human genome -- Ignore unavailable to you. Want to Upgrade?

To: idos who wrote (44)	7/26/2012 10:46:16 AM
From: Maurice Winn	1 Recommendation Respond to of 45

Talking to a human geneticist [in London] he confirmed my theory that the value in human genomes is in the data management rather than the data development. That matches GNOM's strategy of focusing on clinical applications. <The company, based in Mountain View, Calif., sells technology that can sequence human DNA for research purposes. It said it plans to focus on developing clinical applications for its whole human genome sequencing service, while continuing to provide genomes to research customers. > The value of humans is high [at something like $2 million for an average American young adult though dramatically lower for Africans and Indians]. So some genetic improvements have potential for a very high value-add. For example, eliminating defective DNA such as stomach cancer genes, cystic fibrosis and all sorts has got high value. Even more value could be obtained by selecting high performance DNA such as intelligence genes. It would be great to have a more powerful brain that need not labour so much to squeeze out half-baked conclusions like this. With some genetic improvement, the average could be pushed up towards $10 million and maybe $100 million. With the cost of developing the basic genome information being only about $1000 now, there is huge residual value in finding the right clinical applications such as saving people from cancer, eliminating bad genes, selecting good ones. Complete Genomics is in a position to supply the information to clinicians who are able to advise people on how their genetic situation can be improved, or that of their descendants. Cancer treatment alone is a multi$trillion value [if successfully applied to everyone]. Increasing average intelligence from 100 to 150 would be vastly more valuable than that. Intelligence value can be calculated from relative salaries and the intelligence necessary to gain occupational status in those jobs. 20 IQ points improvement from average enables a doubling of income. An extra $50,000 per year income is worth about $1 million with a Price:Earnings ratio of 20:1. 300 million Americans x $1 million each = $300 trillion in value improvement. That's real money, even in the USA. Your mileage may vary. If GNOM enables just a minuscule proportion of what's possible, it would return a lot on the $100 million market capitalisation. Mqurice