Targacept, Inc. (TRGT)

[Alex H]

I am long TRGT. Why? Just announced failed phase 2 trial and stock got wallopped. Not sure what prospects the stock has going forward but its trading at cash value. Market cap of $157 million versus $143 million in cash as of 12/31/2013. More importantly in the last quarter Wellington Management, Vanguard, Deerfield Management, Dimensional fund, DE Shaw, State Street, Fidelity, and Goldman Sachs all initiated or increased existing positions. Something is most certainly up. Value investors should be looking.