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Biotech / Medical : Cell Genesys (CEGE) -- Ignore unavailable to you. Want to Upgrade?

To: ted who wrote (564)	2/5/1999 1:32:00 PM
From: Dan Spillane	Read Replies (1) \| Respond to of 1298

While there isn't any question that CEGE has broad patent coverage, that is only part of the whole picture. Implicit within such a broad patent portfolio is the underlying, long-standing body of research and development. So an aspect to consider besides patents is how long of a track record a company has; in fact, if and when litigation arises, a track record (with dates) is often used in cases where patents are in question. Let me explain what I consider to be key in valuing a biotech stock for possible purchase: 1) Overall, relative market capitalization given prospects. Thus, if there are a few gene therapy companies trading for peanuts, and at the same time investors will pay huge sums for hundreds of Internet stocks, I see opportunity. 2) Partnerships. 3) Milestones, and milestone payments. 4) Breadth and applicability of technology; potential for revolutionary product introductions. 5) Track record (how long a company has been doing work in an area). 6) Balance sheet. 7) Buyout potential, given all of the above. By the above criteria, certain companies come out on top.