Hang in there. If you sell now, you are a fool. Pain brings spiritual growth. Of course with this stock, you have seen enough pain and spiritual growth to be a prophet already. The market has had a slight bounce off the low of January 21 but I'd hardly call it a rally. Besides, the small cap biotechs are usually about the last to participate. I think Gerstal should sell something in the next 2 months, even if the price is less than he likes.
It isn't increased short interest either. Somebody has a large position they are unloading under $5. A frequent poster on this message board who said he was going to start selling in the first quarter of this year?
I would not expect to see any deals this close to the first of the year. The market is just going through a little correction. February will be much better for the biotech sector.
You might think that these other deals are good for Compugen, but the share price is dropping because these deals continue going to other companies. Perhaps these deals bode well for the future of Compugen, but they are only hurting the share price in the short term. Speaking of short term, I believe that was a phrase Gerstal coined on a recent conference call. He probably shouldn't have said it if he couldn't back it up.
-the management are deluded and believe our discoveries have a higher value than people are prepared to pay.
There is probably some truth to this statement
-the management are difficult to deal with and other competitors are more "fleet footed "
There is probably some truth to this statement as well.
I went long in this stock the last time it dropped to $5. Five Prime has some former heavy hitters from Amgen. Surface has an incredibly talented advisory board. I think the day will come for Compugen, but they won't be the first to be scooped up, and Gerstal may not land as big a deal as some here have hoped. The stock is still undervalued here. Even a more modest size deal will take this stock much higher than $6.
Big Pharma is betting as much on the jockey as the horse. I believe this is why Surface and Five Prime have struck large deals and Compugen has not. I realize Gerstal has his loyal followers, but so far he hasn't produced that large deal.
Surface has attracted attention to the company through a world-class group of scientific advisers that includes Sasha Rudensky at Memorial Sloan Kettering and Arlene Sharpe at Dana-Farber. The scientific advisory group also includes former Bristol-Myers Squibb R&D chief Elliott Sigal, an NEA partner and individual investor in the company.
Surface is pretty impressive for a startup. It didn't take them very long to strike a good size deal.
The stock could always drop especially in a down market. I still don't see an argument for shorting in the $6s. The cream has already been skimmed off the top. I've actually added a few more shares this week. They have plenty of cash to float the boat for at least another year, and the stock should see a relief rally when Gerstal retires.
The stock has been holding up pretty well through this recent downturn. Granted the performance over the past 18 months has been pathetic, but things appear to be looking up slightly. This company really needs to make a deal though in the first three months of 2016 or they will lose all credibility with their "short term" deal comments.
I thought the recent Bayer news was a real positive. I have played this stock on both sides in the past. I had greater gains playing the short side, but I own a small long position now. The upside is much brighter than the downside here, but there are several factors working against small cap biotech in the short term. I don't like the market here. A lot of my funds are sitting in cash. I'm looking to add to my CGEN position, but not yet.
The thought must have crossed the minds of the Ivy League graduates on this message board that at least one, or possibly more deals have fallen apart. People continue to talk about Gerstal's impeccable integrity. If he isn't lying about deals in the short term, then what else can you assume?
" Depressed,disappointed and disillusionment setting in rapidly"
You sold out in February because you were depressed, disappointed and disillusioned. Did you buy back in because you are a glutton for punishment?
Deals in this field take quite awhile to put together. Management mentioned on a conference call that they would be making a deal in the short term. This would imply that they were already into negotiations. That deal must have fallen apart or you would have heard long ago. I suspect Five Prime got that deal with Bristol Myers instead.
Did you make your contribution to Anat's new wardrobe fund? She really needs some new and professional looking clothes.
You were just making up for what you would have lost Friday when the market was down over 300 and biotech was way down. CGEN went up on Friday so two days of losses were combined into one today.