Replies to post #134495 on Biotech Values

[turtlepower]

ECYT and BMTI are IMO better "bottom fishing" bets than DRRX for the following reasons

1) Trading below cash. If the ongoing Greek talks ends badly and the EU implodes for that reason or for several other reasons, I'd rather be holding stocks trading near cash with meaningful near-term catalysts.
2) Upcoming catalysts - BMTI is expecting an EU decision on its augment program during the 1st half of the year along with the results of a rotator cuff repair clinical trial within the next few months. ECYT has fewer catalysts but could announce that it will proceed to apply for accelerated EU approval for Ovarian. ECYT could also get approval from the FDA for a parallel P3 trial with another chemo while it waits for more doxil. ECYT also has PII NSCLC trial results upcoming sometime this year. While the results announced in december weren't good compare the results with other companies with suspect PII results like ARQL.
3) Insider buying - There has been substantial insider buying for ECYT in the low to mid 3's. None so far for BMTI though.

DRRX could be a good bet if it goes below 50 cents since it only has about 30 million in cash end of 2011 and intends to spend about 15-20 million in 2012 and there are also no substantial catalysts for this year.