BEHIND EVERY STAR is a woman...or two...or three. Just ask Kris Jenner, lead portfolio manager of the T. Rowe Price Health Sciences fund (PRHSX) .
The six-foot-five 45-year-old has successfully guided the fund during several periods in which medical care has been one of the U.S. stock market's more anemic sectors. His wonder drug: prowess at picking small pharmaceutical and biotech issues, along with big-cap drug makers and health-care providers.
Jenner, who became manager in 2000, has outpaced his peers and the S&P 500 over one, three and five years. The fund has earned five stars � the top rating � from Morningstar for its three- and five-year results and top scores from Lipper for total returns and consistent performance. The $2.2 billion no-load mid-cap growth fund carries a 0.87% expense ratio, about half of what's typical in its category.
As of Nov. 28, the fund was in the top 9% of its group this year, having gained 20.27%, compared with 7.95% for the S&P 500. It also easily beat that bogey over three years, rising 16.04%, versus 9.52% for the S&P. And it was up 17.50% over five years, against 11.38% for the benchmark index.
Vertex Pharmaceuticals (VRTX), based in Cambridge, Mass., is another money loser on his buy list. Its big hope is Telaprevir, an oral medication for treatment of hepatitis C. The Food and Drug Administration hasn't approved it yet, but Jenner considers it very promising.
He estimates that only a small fraction of the three million to four million Americans with the disease are treated because the current therapy takes a year, can have serious side effects and cures only 45% of those who use it. Adding Telaprevir to the existing treatment regimen, he says, could halve the therapy's duration, while boosting the cure rate to more than 60%.
The stock has pulled back, to around 25, on the specter of competition materializing sooner rather than later, but he expects it to hit 35. If the shares don't pop, he adds, the company would be an attractive takeover candidate.
This stock gets hammered every time somebody scratches a bug bite, so I'm not surprised by ANYTHING that is printed. Seems to me that Vertex is a bit like Hep C...created to test the resolute, to make us stronger than most, with the perspective the gods wanted us to have...reasonable, yet imaginative. I can and do imagine the time I will be able to say.."no detectable virus".
It will be extra nice to say I am rich too, with the help of my little bitty position in Vertex....I am a big believer in both the SVR for me and the stock.
Here's hoping we all have a GREAT holiday!!! Hope this credit hangover goes away soon.
<<This story is about one-month old. You seem desperate, Glad>> --------------------------- Label it as you wish. But the data is not a month old. It was published on 11/27/07 in Forbes on line and to my knowledge it was not reported as news under Yahoo vrtx board, nor did anyone else cited the info on vrtx message board.
BTW I am not desparate. Most of my shares were acquired around $10. If anything shorts are the ones who are desparate. Many have shorted around $25 and their predictions have not materialzed yet. Meanwhile they are paying their brokers a good deal of money for shorting the stock.