Biotech Values

[DewDiligence]

MRK – Goldman’s biotech analyst, Jamie Rubin, had a sex-change
operation, evidently. Perhaps more important, she (he?) is more
bullish on MRK than I am (#msg-38786542).

http://finance.yahoo.com/news/Merck-shares-rise-on-Goldman-apf-1138218076.html?x=0&.v=1

Merck Shares Rise on Goldman Sachs 'Buy' Rating

Goldman Sachs analyst Jami Rubin moved the stock to "Buy" from "Not Rated" saying the stock is currently valued at a 30 percent discount to the market. That sets it up to outperform the market over the next 12 months, he said, in a note to investors… Rubin expects shares to reach $38 over the next 12 months.

"With an expanded pipeline and historical precedence to exceed cost-cutting expectations, the potential for accelerating new revenue growth could drive significant bottom-line leverage: a recurrence of the upswing following Vioxx in late 2005," he said.

He said the upswing is not a given, but a mix of factors, including the management team's experience, has the ability to surprise Wall Street.