15
BioTech Stock Report, April 2002
Tools Institutional Ownership, somebody knows something ....
What's the big money doing? Institutional ownership tracks investment by mutual funds, pension plans, banks, insurance companies, and stock
brokerages. Institutional ownership is a handy benchmark of conventional wisdom on Wall Street. Beyond that, things get tricky.
Company
Reference
Date Price
3-22
Price
%
1-mo
YTD
%
Inception
Institutional
Ownership:+/-
Stable Growth
Amgen (AMGN)
3-27-97 14.44
61.80
6.59
9.57
328.05
59:NC
Kineret, AMGN's rheumatoid arthritis drug approved to be marketed in Europe. Neulasta, AMGN's drug to fight infections in chemotherapy pa-
tients, to be launched in April 2002. Buy below $60.
Biogen (BGEN)
3-27-97 38.25
50.29
-5.38
-10.66
162.95
63:NC
Serono's drug Rebif has been FDA approved in the US, thus Avonex has a competitor. BGEN anticipates approval late this year and prepares to
launch Amevive late 2002 or early 2003. Maintain buy, but revised to buy below $50.
Chiron (CHIR)
3-27-97 18.88
47.69
10.29
10.17
166.06
39:+3
The driver for CHIR is its Procleix, a detection system to locate viruses in blood banks that received FDA approval last month. Buy below $45.
Genentech (DNA)
3-27-97 14.47
53.74
9.75
-4.85
258.01
36:+1
Herceptin, DNA's drug to treat breast cancer is approved to be used in the United Kingdom. DNA to file a BLA for Xanelim to treat psoriasis in the
summer of 2002 and for Xolair to treat asthma at the end of 2002. Target price $60.
Genzyme (GENZ)
3-27-97 24.00
51.80
21.09
10.17
347.83
81:NC
GENZ reported 4th qtr and 2001 year-end results of 20 cents per share and 21 cents per share, respectively. The company expects 2002 earnings
between $1.40 to $1.46 with an average consensus earnings estimate of $1.45. The company is solid, buy below $45 with a target price $60.
IDEC Pharmaceuticals (IDPH)
8-31-98 3.00
69.20
10.16
1.54
2206.67
91:+1
IDPH will charge a higher price for Zevalin. Zevalin received FDA approval in February 2002 for the treatment of lymphoma. Buy below $62 with
target price of $72.
Immunex (IMNX)
3-27-97 2.28
31.11
8.25
11.75
1263.73
38:NC
The National Institute of Clinical Excellence (NICE) of the United Kingdom recommended Enbrel and Remicade to be reimbursed by the state
health service
.
AMGN to buy IMNX for $16 billion. Rate as a hold.
Medimmune (MEDI)
8-31-99 51.60
43.22
4.83
-6.33
-16.23
77:+1
Expect FluMist to be FDA approved later this year and launch of the product. Twelve month target price of $60.
Perkin Elmer (PKI)
3-27-97 10.69
17.65
-23.26
-49.56
28.93
90:NC
PKI forms a collaboration with NextGen to develop protein microarrays. PKI's 2002 earnings guidance of $1.24 to $1.26. Buy on the dips.
