Although we don't believe in timing the market or panicking over market movements, we do like to keep an eye on big changes -- just in case they're material to our investing thesis.
What: Shares of biotech Ariad Pharmaceuticals
So what: Ariad and marketing partner Merck
Now what: We don't yet know what ridaforolimus could do for Ariad in the way of revenue, but in an interview with Bloomberg, a Cowen & Co. analyst estimated $300 million by 2015. Even so, Ariad has rallied more than 160% over the past year, and it commands $1.15 billion in market value as of this writing. Investors taking a position here need to realize that they're basically speculating on a buyout bid from Merck or another of the Big Pharma bunch.
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