Replies to post #23336 on Zeev's Turnips Patch-No Politics (ZEEV)

[Fletch]

Zeev,
I know from following here that you aren't interested in owning RDRT right now. I'm fairly sure this is mostly due to dwindling sales and the cash burn rate. You do have to admit though, that it's been strong during this market tumble and it's being bought up. My question to you is, with your infinite TA wisdom, can you put an upside target on it? I'm still holding half from my OB buy at 1.89 BTW. This isn't much because I don't throw a lot at low priced stuff to begin with.
Much thanks,
Fletch

[Rick Storm]

Zeev, I see that PDI has changed it strategy since 2000, with the use of performance based contracts instead of fee for service. They appeared to have taken a huge hit in cash from the write off of Ceftin, which went generic. It looks as though their other two main contracts for Evista and Lotensin ,Diovan have yet to be profitable. I was wondering if you have concerns about their change in business model?

Thanks for sharing your uncommon ability with all of us.

Happy holiday. Rick