I would like to get an opinion from the board on what will be the effect of tapering on CLDX PPS? I see a lot of PPS prediction on this board regarding CLDX and how it will go to $50 next year etc... i do believe that the PPS is undervalued at this level but do you think that the FED tapering (end of Q1 2014 maybe?) will push the PPS lower? From what I have been reading we should expect a fairly important market sell off and I do think that CLDX PPS might suffer from this - Short term at least until the pipeline is more mature. I have been in CLDX for over 1 year now and I am in for the long haul but I am trying to set my expectations for next year and maybe sell other stocks to keep some dry powder for any important dip! Thanks
Tapering will have a marginal effect on equity markets because people think it will have an effect. In reality, the only logic of lower stock markets is the presumption of capital shift to bond markets. I expect some doldrums in equities as people move to cash as they wait and see. But it will be short lived, I'm wagering. If you're going to be in equities at all (and biotech in particular), I'm not sure what better investment there is.
In short, if CLDX pps suffers via tapering (as would stocks in most sectors), so what? You can try to guess the market and move to cash, or ignore the short term fits in equities, and ride to a certain $5b market cap in two years (and more likely one, or at least that's my options play on '15 Jan LEAPS).
Thank you scott, i will keep cldx no matter what as i do believe, as you do, that this company will keep going higher in a short, medium and long term. However i want to try to time the market to exit some of my other stocks and invest some in CLDX if possible. Thanks again for the input