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 biotechnology company Idenix Pharmaceuticals (Nasdaq: IDIX ) are dipping 15% today following analyst comments regarding its hepatitis-C drug hopeful, IDX-184.
So what: Brean Murray Corrat analyst Brian Skorney noted, in response to Roche's comments that it was experiencing unacceptable relapse rates for patients on multiple treatment combinations, that Idenix's IDX-184 may need to be used in regimens lasting longer than 12 weeks. This could be a significant setback in that it delays Idenix's clinical studies and makes it a far less attractive combination drug than its peers.
Now what: I'm personally not surprised by today's drop one bit. I've often compared the mergers in the hepatitis-C sector to tulip mania, and speculators who are betting on Idenix getting purchased may have just barked up the wrong tree. Bristol-Myers Squibb (NYSE: BMY ) took a big gamble in paying $2.5 billion for Inhibitex's leading drug (which was just barely out of phase 1 trials), so I'm not too high on IDX-184's chances after today's analyst comments.
Craving more input? Start by adding Idenix Pharmaceuticals to your free and personalized watchlist so you can keep up on the latest news with the company.
RSS Headlines
Fool UK
Comments from our Foolish Readers
Help us keep this a respectfully Foolish area! This is a place for our readers to discuss, debate, and learn more about the Foolish investing topic you read about above. Help us keep it clean and safe. If you believe a comment is abusive or otherwise violates our Fool's Rules, please report it via the
Report this Comment icon found on every comment.
Report this Comment On April 05, 2012, at 12:51 AM, portefeuille wrote:
------------
Winners, Losers From EASL Hep C Data Dump
...
Idenix CEO Ron Renaud calls comparisons between IDX184 and mericitabine "ridiculous," adding that data already presented shows '184 to be more like GS-7977 than mericitabine. "Comparing '184 to mericitabine, I don't know where that comes from," says Renaud. "It's just conjecture and assumptions being made by some… All we can do is continue to generate good data. We remain as optimistic about '184 as we've ever been."
...
------------
from here -> http://www.thestreet.com/story/11484416.
There are currently 100/100/240/2000 ABT/BMY/GILD/IDIX shares in my fund with break-even of around 42.16/29.21/29.76/0.10 USD.
the fund -> http://caps.fool.com/Blogs/fund-trades/721836.
Add your comment.