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BioTech Stock Report, January 2004
Bio Portfolio
We at BioTech Stock Report believe that science and technology are the key to the future. Achieving scientific advancements in t echnology
will fuel the growth of the biotechnology industry, making possible the creation of new drugs or therapeutics. We believe our picks are well posi-
tioned to take advantage of the technological advances that will improve the quality of human life.
Investors should recognize that this is a long-term portfolio and share price will fluctuate according to market conditions.
Company
Reference
Date Price
12-18
Price
%
1-mo
%
YTD
%
Inception
Institutional
% Ownership:
+/-
Aggressive Growth
Abgenix (ABGX)
12-30-99 33.06
11.57
8.54
56.99
-65.01
79:NC
We like ABGX because of its partnership with AMGN to develop ABX-EGF receptor to treat cancer similar to Imclone's Erbitux, except ABX-EGF
has a better safety/side-effects profile than Erbitux. ABX-EGF is in Phase II clinical trials. See November 2003 BioUpdates for more info. Accumu-
late shares around $11 with a target price of $17.
Adolor (ADLR)
10-30-03 18.40
19.45
8.36
5.71
5.71
60:-1
On Nov. 14, 2003, ADLR completed the patient enrollment for a Phase III trial of Entereg in POI. The company hopes to release the top-line
Entereg Phase III clinical data in the first quarter of 2004. Buy below $18 with a target price of $26. See November 2003 BioAnalysis.
Alexion Pharmaecuticals (ALXN) 9-26-02 12.31
16.86
-1.40
19.41
37.52
84:NC
ALXN reported Q1-04 earnings of a loss of $1.01. On Dec. 8, 2003, ALXN's eclizumab received orphan drug status from the FDA and the European
Agency for the Evaluation of Medicinal Products for the treatment ofPNH, a rare and chronic blood disorder. On Dec. 18, ALXN and Xoma an-
nounced they would collaborate together to develop human c-MPL agonist antibody to treat chemo-induced thrombocytopenia with clinical testing
to begin in 2005. On November 10, 2003 ALXN reported Phase III clinical data, the PRIMO CABG trials for pexelizumab. The studies meet all of
endpoints with the exception one, and that barely missed statistical significance. (see September/October/December 2003 BioUpdates for additional
info). The Phase II clinical data for rheumatoid arthritis with eculizumab should be released late 2003. Buy below $13.
Cell Genesys (CEGE)
3-27-97 6.25
12.85
6.64
12.25
105.60
53:NC
On July 23, 2003 CEGE and Novartis announced they entered into a R&D collaboration to develop oncolytic virus therapy for cancer patients.
CEGE to start Phase III clinical trials at the end of 2003 for GVAX for both prostate and lung cancer. With an advancing pipeline, CEGE is adding
value to itself. See December 2003 BioUpdates for details. Buy below $10.
Ciphergen (CIPH)
3-30-01 4.44
11.44
12.82
231.59
41.57
66:-1
On Dec. 18, 2003, CIPH announced it has an exclusive service alliance with GE Medical Systems for its ProteinChip systems in hospitals that serv-
ice China, Hong Kong and Taiwan. CIPH's proteomic technology will play a significant role in clinical development of new drugs. CIPH anticipates
to breakeven by 2004. Buy below $10.
Dendreon (DNDN)
1-30-03 5.37
7.80
9.86
45.25
45.25
37:-1
Due to the acquisition of Corvas, DNDN said on Dec. 17 it will consolidate the San Diego operations and relocate to Seattle. DNDN is seeking a
worldwide partner to help develop its cancer vaccine. If successful, we expect its share price to do well. On Sept. 4, 2003 DNDN announced it re-
ceived fast-track designation from the FDA for Provenge on asymptomatic metastatic androgen independent prostate cancer, an aggr essive form of
the disease. See November 2003 BioUpdates for additional comments. Accumulate DNDN's shares around $4 with a target price of $12.
Esperion (ESPR)
11-21-03 21.65
22.57
3.96
3.96
3.96
82:+1
On Dec.4, 2003, ESPR released Phase I single-dosing safety for ETC-1001 that showed the drug had no adverse events. The company plans to begin
multi-dosing in the first half of 2004. Then on Dec. 16, ESPR said the second Phase I study for ETC-642 to treat acute coronary syndrome had no
safety issue, was well-tolerated. Accumulate shares around $20. See December 2003 BioAnalysis.
ICOS (ICOS)
6-30-98 18.00
41.57
-7.68
77.57
130.94
54:NC
On Nov 21st, ICOS and Eli Lilly received FDA approval to market Cialis. The U.S. launch occurred in early December 2003. On our email update
dated Oct. 17, we said sell shares around low to mid $40s. See September/October/November 2003 and current BioUpdates for our thoughts.
