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Biotech / Medical : Sugen (SUGN) -- Ignore unavailable to you. Want to Upgrade?

To: gao seng who wrote (334)	3/31/1999 12:48:00 PM
From: Caravan	Respond to of 550

Terrific overview of SUGN from the yahoo board: WELCOME! Here is a brief overview of SUGEN. To short-term traders: if my analysis is correct, you may wish to consider holding some of your SUGEN as a long-term investment. Investment Thesis: Milestones in the development of SUGEN's drugs, particularly for SU101 and SU5416 which are now in Phase III human trials, should push SUGEN's stock price up significantly in 1999. Insider Buying: Insider buying has been strong; from day one no insider involved in operations has sold a single share. Business Mission: To build the strongest signal transduction based drug discovery platform in the industry. SUGEN regulates a cell's "receptors" to control the signals that can go haywire causing diseases such as cancer. SUGEN's Baskets of Value Strategy: SUGEN is building a vertically integrated cancer business. Cancer drugs in human trials include SU101, SU5416 and SU6668 (see descriptions below). SUGEN also has cancer drugs in pre-clinical development for tumors, chronic therapy, stomach cancer, lung cancer, etc. In addition, areas of development outside cancer include dermatology, immunology, ophthalmology, diabetes, cardiovascular, neurobiology, and diagnostics. SU101 (PDGF receptor; brain, ovarian, prostate): SUGEN's lead compound; some Phase III trials. For brain cancer, patients in Phase I/II trials were terminal and failed all conventional therapies, and with SU101 treatment some are still alive after 2+ years. For prostate cancer, patients in Phase II trials were end stage (near death), and having used up the benefit of all available treatments, showed a 43% response rate for bone pain reduction. SU101 has the potential to become a broad based cancer therapy. SU5416 (Flk-1 receptor; colorectal, lung, Kaposi's sarcoma): An angiogenesis inhibitor; some Phase III trials. The drug prevents tumors from attracting new blood vessels and thus prevents tumor growth and metastasis; without angiogenesis, the tumors starve from lack of blood supply. Phase I trial results were so good the FDA gave SUGEN permission to proceed directly to Phase III. SU6668 (Flk-1, PDGF, FGF receptors): This next generation angiogenesis inhibitor is in Phase I trials. The drug is stable, water soluble, easily manufactured and available in pill form. Conclusion: The impact of positive Phase III data can be illustrated by Immunex Corp (IMNX) which traded in a $10-$15 range for years (just like SUGN). Positive Phase III results and then FDA approval resulted in this stock moving from $15 to the current price of $174 in 2 years (note: $174 is not adjusted for stock split - currently trading at $87 after 2 for 1 split). Based on strong Phase I/II results, there is a strong probability SUGEN will have successful Phase III results, and then receive FDA approval. SUGEN is a strong buy.