Based on the aggregated intelligence of 180,000-plus investors participating in Motley Fool CAPS, the Fool's free investing community, biotechnology company Synta Pharamaceuticals
With that in mind, let's take a closer look at Synta and see what CAPS investors are saying about the stock right now.
Synta facts
| Headquarters (Founded) | Lexington, Mass. (2000) |
| Market Cap | $440.3 million |
| Industry | Biotechnology |
| Trailing-12-Month Revenue | $5.2 million |
| Management | Co-Founder/CEO Dr. Safi Bahcall CFO Keith Ehrlich |
| Trailing-12-Month Return on Capital | (70.9%) |
| Cash/Debt | $44.7 million / $16.3 million |
| Competitors |
Infinity Pharmaceuticals Kyowa Hakko Kirin Novartis |
Sources: S&P Capital IQ and Motley Fool CAPS.
On CAPS, 16% of the 168 members who have rated Synta believe the stock will underperform the S&P 500 going forward.
Just last week, one of those Fools, All-Star zzlangerhans, touched on Synta's seemingly unsustainable valuation:
Hsp90 inhibitor Ganetespib is certainly in a lot of mid-stage trials but thus far in 2012 we haven't seen the kind of exciting interim data that management led us to expect. There's certainly a lot more info to come, but with Synta's poor developmental track record so far I see a market cap of [$450M] as excessively optimistic.
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