Biotech Values

[DewDiligence]

Cramer says to cut your ENTA position in half.

Even if I thought ENTA was fully-valued (which I don’t), I wouldn’t sell now because my gains are short-term and are sizable enough to put me in the topmost tax bracket, where the federal and state tax rates are punitive.

p.s. In 2014, the 3.8% ObamaCare tax on investment income applies to capital gains (as well as investment income) for taxpayers who are in a high bracket that year.