Investing in Biotech…Two Short examples from today

As I described in the previous post, profiting from short-selling in biotech requires the identification of companies likely to fail clinically or commercially (or both!). Today we saw two very fine examples of that: Cell Genesys and Amylin.
Cell Genesys took a solid thumping today, dropping 72% after it halted its GVAX trial in [...]

Investing in Biotech–The First Commandment

Let’s think about an industry where the companies have a product development time of 7-10 years, at a cost of a minimum of $100M (I’m not talking about the famous Tufts numbers here, I’m assuming you’re lucky and that one compound makes it through the clinic unscathed), and at the end of it all is [...]

The mysteries of biotechnology investing

Introducing a blog by an ex-stock analyst, ex-Motley Fool author on the ins&outs of biotech stock investing.  I aim to provide my philosophy on how to make money going both long and short (very important!) biotech stocks in the next few posts and then get on to actual stock picking…