It is damn funny people calling out Ernie for talking about science and not talking about bad management/financial decisions which are not under his/any retail investor’s control. I love the EXEL board because of the back and forth talk about science between wilder, hbomb, joeflow, ernie, oncodoc and others. I’m a scientist too but I don’t understand the clinical trial aspect of it much. EXEL will be an amazing story but it will require patience and if you don’t have patience to ride it out or you become jealous because other xyz stock is going sell this and move along or don’t look at it. If your cost average is below 6 you will be in very good shape once the hype starts building around. Otherwise consider this as an opportunity to add more.
For any biotech company there are two important aspects 1) science and 2) market potential. We both have here. However I don’t want it on my conscience to pump the stock day in day out and suck in other investors because everything looks rosy. Look at many other companies where pumpers reigned and many investors got burned believing in the story and wanting to make quick money. Atleast here you have an opportunity to make an informed decision whether to add/subtract to your position.
Sure we don’t like management but cursing other people because they don’t rant in day in day out is not going to help you in any way. If you have problems with management take it up to the company. The more people talk to them more cautious they will be…. or not. Holding somebody on yahoo message board is simply naïve.
I don’t call out people who have problems with EXEL management. This is their personal opinion and they are certainly entitled to them. However this again adds to my decision making process whether should I put more money here or should I seek company where management is better aligned toward shareholder value creation. I suggest you all should do the same.
"So,I wonder if you or Ernie had contacted ISS or BOD venting your concerns."
I vote regularly and I make my views known to my legislators and the White House. It is my civic duty and in my self interest to do so. When mistreated by a business, I look for whatever leverage is available and exploit it. AT&T said they could not cancel my landline phone service without also cancelling my DSL. I turned to my state's Public Service Commission and within days got accomplished what normal customer service said was impossible.
What does this have to do with EXEL? Here's the deal. Corporate governance in America is broke. There are well run companies led by hard working executives who understand the concepts of leadership and accountability, but those are the exception rather than the rule. My complaints are not going to result in smaller salaries and bonuses, fewer options and less dilution. I get one meaningful input, I can sell the stock if I no longer want to be an owner. I buy stock in companies as investments, not as fixer uppers that need my involvement for improvement. Due to dilution my share of EXEL is about half of what it was originally and my investment is breakeven somewhere in the $5’s. Offsetting that is the clinical progress that has put Cabo in two ongoing and two near term pivotal trials in indications with significant revenue opportunity. I still like the risk/reward. My real evaluation of management will be how they handle the sale of the company. Hopefully they will engage in a process that realizes the underlying full value of the drug assets.