Biotech Values

[io_io]

Pharming - Norman's opinion:



Down on good news ?
by: norman_klein 06/30/05 10:52 am
Msg: 20854 of 20871

Pharming down 5 % on good news. It seems impossible and raises alot of questions. AFter having browsed through some of the investor message board I think one of the main problems is that people really have a low understanding of transgenics in general. It seems very difficult to people to interpretate the press releases well.

The deal from Pharming with Agresearch is of course a very good and technology broad deal. In fact, I think already two years ago I prediced this deal and after PPl went bankrupt in my eyes this was already a done deal, as there will come partnerships with zymogenetics, hematech and kirin (just a matter of time).

Unfortunately a lot of investors have no clue how much money needs to be invested in the first place to identify a product, develop it and get it to the market. AGresearch is investing heavily, so is the very progressive new zealand and australian government. Biotech IP is always granted the fastest over there (just an interesting fact).

Unfortunately few investors realise this and the only thing they look at in a press release is the upfront payment. Thankgod over here most of us know better. But the moral of the story is that sometimes even if you know it all, the ignorance of the market is that big that short term prediction or shareprice movements are very hard.