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Biotech / Medical : XOMA. Bull or Bear? -- Ignore unavailable to you. Want to Upgrade?

To: Robert K. who wrote (5181)	12/23/1997 11:16:00 AM
From: opalapril	Read Replies (2) \| Respond to of 17367

Robert, George, etc.: I'm having difficulty buying the "year end tax selling" explanation for XOMA's recent price action. If you look back over the past five years, not once did December mark the year-end low. More frequently than not, it was February. So why all of a sudden are XOMA holders worrying over capital gains offsets? I think it's the lack of new money buyers owing to general market conditions and the Asian sniffles -- on top of our chronic problems of no investor funds to speak of, few analysts following us, no real income, and the continuing hangover from the '80s "spesis wars", as I saw someone with a long memory recollecting on another SI board recently. What this leads me to conclude is the obvious: nothing much good of a sustained nature will happen to XOMA until and unless a P3 trial establishes an unqualified success. I don't mean to be negative -- not at all, since I am very long and still cautiously optimistic about ultimate success -- but to suggest more patience is needed with this stock than with most others. The road we're traveling is too dark and slippery, the previous driver lost his way for too long, and with no significant funds or analysts helping to navigate we have to map our own course as we go along.

To: Robert K. who wrote (5181)	12/24/1997 2:47:00 AM
From: Tharos	Read Replies (1) \| Respond to of 17367

Bob, Not to spank my own monkey but I do remember mentioning Xoma's E5 failure as the cause of the biotech crash that occured shortly after. So in my mind is not so much a project failure as it is a case of a firm that tanked the whole biotech industry. As pointed out by others, Xoma will have to prove itself before it gets the capitalized value that you and I think it deserves. Asia appears to be imploding, on the surface at least. Watched a news program that showed a lot of unsold Japanese cars parked on the tarmac (sp). One thing that stood out in the Thai segment was that all of the "agreements" shown by the program were denominated in US$. In a slowing economy that has gone from an excange rate of about 20 Bhat/US$ to 36/$ (last time I was there) it just builds the pressure to default on loans. I am sure it is the same with other countries. Just what this means to the US I am not quite certain. I seem to remember Bubba saying how proud he was in helping the US "export" its way to recent prosperity. I find the devaluation of the Yen exciting. As Japanese products get less and less expensive, consumers will again seek out these normally superior goods. This increased demand for Japanese goods should help this economy. Enough rambling.