This is a set up. In 2011, Barclay's was the co-underwriter for a $3.7 billion offering of senior unsecured notes for a certain company. In 2014, they again were the underwriter for another $4 billion in unsecured notes for the same company. And also in 2011, they were the lead advisor to this company for the largest price ever paid in biotech history in an acquisition of an unproven company.
Oh, you want to know the company that Barclay's was advising? GILEAD.
I think the shark is teeing up the guppy.
they may have shut off your posts for 24 hours if you copied and pasted a link or if you deleted your own post. They have little checks and balances built into these boards to try to catch spam bots, and they unfortunately catch real people too. On the other hand mac, I'm sure you're well known to the Yahoo folks as a serial shorter that publicly libels companies, so ya never know. ;-)
You remember the tourists feeding the pigeons corn kernels? The rush around the person, each one scurrying to get a few pieces. Reminds me of the shorts scrambling to make 20 cents here and there, while Martin and Deshpande debate $35 versus $45 per share...I love it; I feel the breeze on the Gondola ride...
Mac you may be throwing good money after bad. XON reminds me of the joke about Adam and Eve on their first almost-naked embrace together. They hug for the first time, ADAM gets aroused, (which scares him as that's never happened before), and he shouts, "Stand back Eve! I have no idea how big this thing is going to get!!"
Now the article has a byline, and it has been edited somewhat"
From the WSJ: "
Getting a drug approved for commercial use is difficult. For biotech companies, that’s not the full extent of the challenge.
This can be seen in fourth-quarter results of Keryx Biopharmaceuticals KERX +0.93%, a manufacturer of a phosphate binder used in treatment of chronic kidney disease. Keryx’s drug, Auryxia, generated great excitement. From the start of 2013 through the FDA’s approval of Auryxia on Sept. 5, 2014, Keryx returned more than 500%. At the peak, it commanded a market value in excess of $1.6 billion. Analysts estimate company revenue of $402 million and net income of $200 million by 2017.
But things have changed since Auryxia received the green light. On Friday, Keryx announced it lost 44 cents a share in the fourth quarter. Revenue was $569,000 versus expectations of $1.1 million. In light of this, those 2017 estimates look ambitious. The stock has lost nearly a third of its value since approval, and is now worth about $1.2 billion.
Enthusiasm can lift prices, but sales and profits are ultimately needed to create value. Even for biotech stocks.
Here's a second comment on there now:
This is the lamest piece of journalism I think I've ever seen under the WSJ brand. Auryxia launched on Dec 22, 2014. But based on the FOURTH QUARTER 2014 earnings report, this little ditty proclaims, "But things have changed since Auryxia got the green light." Seriously folks? Sales have barely begun, let alone ramp up, and from reading this one would assume that both the drug and the company are a mere shadow of their glorious past. That is so inaccurate it's laughable. And since when does WSJ allow anonymous reporting?
Welcome to the stock market, arts. These boards generally reflect the tug and pull of price movements based on the underlying conflict of opinion. So here is my strategy: A certain percentage of long and short positions are wrong. Shorts look for stocks that have high demand without the underlying case (fundamentals, technicals, etc) to justify it. So they short, and they are often right. I do the same thing they do, except on the long side. I look for stocks that have strong underlying cases, but nonetheless have significant short positions due to negative opinion (often from past history of the stock that is no longer relevant), and I go long. Sometimes I lose, but often I win. To paraphrase Robert Duvall in Apocolype Now, "there's nothing like the exhilaration of a short squeeze in the morning!" ISIS, I believe, is one of those stocks, and it comes in waves. I took it from 40-55, and from 55-75. Sold, bought some back at 65, and will buy more as soon I can see a new direction upward. But be careful: large players can move this stock $3-5 down and the back up or visa versa in a day.
I own both of them, and ALNY has a 400 mill higher valuation than ISIS. Now, don't tell the ALNY board this, but if ALNY deserves an 8.5 billion valuation, then ISIS deserves double that. ALNY has 15 named drugs in development, with one phase 3, one phase 1 1/2, and the rest are phase 1 or earlier. Now go take a look at what ISIS has in their pipeline. More than 2X the drugs, two approved, five drugs in phase 3, 12 in phase 2, and a whopping 15 more in phase 1 or preclinical. But wait, you're not done yet! NOW go look at the market size of just three of ISIS's drugs: ISIS-APOCIIIRx, ISIS-FXIRx, ISIS-ANGPTL3Rx. The only reason I can think of as to why ISIS has not yet been acquired, is a) too many partnerships with other competing companies to the acquirer, and/or b) people want to see more RNAi drugs approved before they buy the platform.
hello again Igonber. RCPT has been my largest position for quite some time. 25% of my entire portfolio to be exact. I think it has the potential to go to $400 a share, at least. 1063 is one of the best drugs to come along in a decade.
This morning, after the secondary pricing at $24, I put in $75,000 in pre-market at 24.47, 24,25, and 24 even. I could have had it all at 23.80 in pre-market, but c'est la vie. I've been in and out of Celldex since before it merged with AVANT in 2008. It is finally coming into its own. Once the secondary closes I think this will fly to $35. But that's just me talking.
just wanted to congratulate the longs - today's price action was totally unpredictable - maybe this time it won't slide!