Maggot factory: I completely disagree with your assertion that no institutional investor will put money into a "stupid maggot factory".
I also disagree. While biotech isn't for everybody, there are still a few sharp fund managers. The rest just continue to receive 401K and IRA money, and throw it at anything that moves.
The way I see it, if they can PR a pretty dog, and a fancy pony: The Wall Street dog and pony show will continue to be the way to invest up until the "Boy crying Wolf" gets eaten.