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Briefs: BDSI, BIEL, PCYC, SIRI

Posted by Posted by VFC on Mar 01, 2010

BDSI: Shares of BioDelivery Sciences have approached the four dollar mark once again after the company recently issued a PR outlining current and future developments regarding the company.

Of note, BioDelivery announced that it plans to move forward with Phase III studies for three products in early 2011; those products being BEMA Buprenorphine in the treatment of pain, BEMA Buprenorphine in the treatment of opioid dependence, and BEMA Granisetron, a treatment for nausea and vomiting.

However, the more immediate potential for an increase in share price remains with Onsolis. Sales growth in the United States should be realized and according to the recently issued PR, the company anticipates regulatory approval in the European Union and Canada over the near-term.

While the share price of BioDelivery has undoubtedly disappointed many long term shareholders, I still like this stock as a long term growth story.

Disclosure: VFC is long BDSI.

BIEL.pk: If I had never seen the BIEL stock before and I just happened to roll up on a company that is producing, marketing and distributing a product that does what Tylenol and Ibuprofen can do (and arguably do it better) with no associated risk (liver for Tylenol/kidney for Ibuprofen), then I think that I'd be pretty satisfied while buying the stock for right around two cents.

The outstanding and authorized shares continue to be a burden on the share price of BioElectronics, but another burden could also be associated with the fact that many investors who want to purchase the stock, can't because of restrictions by their brokers.

It's also fair to note the company has been slow to deliver on its promises and as a result many short term minded investors grew weary of waiting on FDA and audit developments and bailed.

That said, the company is making progress on both fronts at a time when the products are entering the international market.

The determination to drive BIEL down to see how low she can go is impressive, but I'm fine picking up some shares down here to see how high she can fly if/when this FDA issue ever gets sorted out and the Acti and Allay patches are sold OTC in the United States.

Disclosure: VFC is long BIEL.



Two stocks that I'm completely sold out of right now:

PCYC: I'm still a fan of the long term value of the Pharmacyclics pipeline, but when the stock soared past five bucks after trading for under a dollar at about this time last year, I couldn't help but unload the remainder of my PCYC portfolio for just over the five dollar mark.

I'll be back if we see the $2.50 range again, but with no significant news being released during the run and with Pharmacyclics still a 'Phase II company' for all intents and purposes, it was time for VFC to realize the profits on hand and bail ship for the time being.

Hopefully wifey doesn't read this. This one's all mine.

Disclosure: No position.

Covestor Investment Management

SIRI: Siri is another one that I couldn't help but to unload recently. My long term opinion of the company hasn't changed, but with the rise from sixty cents to over a dollar taking place so quick, it's my opinion that the biggest gains that this stock will realize anytime soon have already been had - especially considering that this thing was trading for just over a nickel at around this time last year.

I also like this play: On January 27th, Wunderlich initiated coverage on the company with a BUY, only to downgrade it to a hold barely 30 days later. So after the best gains had already been had, these guys get the retail investor that was waiting on a SIRI turnaround to buy the stock on their BUY rating.

No doubt these guys and their buddies then sold into the ensuing spike because, after all, they knew that a downgrade would be coming and the stock would fall again.

I will admit, however, that I agree with Wunderlich about not buying the SIRI stock for over a buck; I just think that SIRI was worth buying in terms of risk/reward for a lot lower than the sixty five cents or so where they jumped on board.

No chance that they would tell you to buy earlier on in the run though, because that's where they were loading up waiting to sell into your buying after they initiated coverage, huh?

And they wonder why no one trusts Wall Street.

Disclosure: No position.

SIRIUS|XM Radio 

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