We may be in violent agreement, adjusting for different time perspectives. Long term very bullish, with short term pronounced swings up and down. The uncertain and highly volatile macro environment over the past several years, and the resultant potential need to raise or re-deploy assets quickly, is always on the near term horizon. For those investors, including myself, the ability to liquidate MACK or other holdings, if necessary, quickly and without financial damage, is dependent on selecting an entry or add to price where the likelihood of a significant decline is minimized. Today's price drop supports the view that an entry price of $ 8.06- $ 8.56 is more compatible with my risk/reward and time frame objectives. Your greater tolerance for 20% up/down swings is fully consistent with a much longer time perspective.
Exactly. I'm too busy with the rest of my life to trade in and out, and frankly when I look back on the days when I did do that I didn't make out any better than I am now. Glad to hear we are on the same side, and good luck with your methodology. Bottom line this is a very neat company to know about and share in the growth of, and the next few years look exceptionally promising.
The significance of this announcement is multi layered:
First, it validates the clinical relevancy of Erb 3 as a target for antibody therapy. Second, it validates the potential of Merrimack's drugs that focus on Erb 3: MM121 and MM111. Third, it validates Merrimack's Network Biology platform as it was through this platform that they identified Erb 3 as a target when virtually the entire drug industry had all but ignored it.
If the target Erb 3 turns out to be anything like Her2(aka Erb 2) or EGFR(aka Erb 1)---and there are dozens of papers in the literature already that indicate it will---then this is one huge opportunity for Merrimack. Drugs like Herceptin and Erbitux etc that focus on these targets should give you some idea of the potential of MM 121 and MM 111.
As well, Merrimack's drugs are the FIRST into this space and they are followed by Amgen and Roche--good company to be among---who are playing catch up. This is arguably a multi billion dollar opportunity for the company, and next stop is the first Phase II's which we will hear about in the first half of next year. Stay tuned.
The presentation from ESMO is promising, getting though Phase II next year and more importantly Phase III is a long and arduous process with many potential pot holes in the path. This is the nature of the process and not specific to MACK, but fair to say the earlier in the FDA approval process the greater the risk. While generally supportive of the longer term prospects, I am concerned that the ESMO presentation only resulted in a 1.9% gain, to $ 9.02, in share price today on low volume is, far below the $11 price last week.Without any near term catalysts, the stock could retrench to $ 8.00- $ 8.60 before again reaching $11. The technical's are showing some weakness, the 5/13 Day EMA, and MACD are both under pressure.