The two stocks which I am about to mention have both failed on the main exchanges, they've both hit the pink sheets within the last year and they've both lost investors a lot of money; although traders who sold into spikes and bought on dips probably did pretty good over the years.

That being said, these two stocks now look like attractive, if not tempting, BUYs because they are trading for chump change and each one has the potential to bounce back to previously traded levels; in other words, they're great risk-reward stocks.

The first stock is Titan Pharmaceuticals (TTNP.PK). Titan formerly traded on the AMEX under the symbol TTP until last year when two of their three most advanced drug candidates were deemed failures; Spheramine, Titan's Parkinson's treatment which they partnered with Bayer, failed to demonstrate any benefits in a Phase II trial and then Iloperidone, a potential treatment for schizophrenia, was denied approval by the FDA.

Titan's third late stage drug candidate, Probuphine, is what gives any remaining investors hope because it still has the potential to reach market. Probuphine, which uses Titan's ProNeura technology to deliver six months of Buprenorphine for the treatment of opioid addiction, has been demonstrated as effective in a Phase III trial and is currently being tested in an additional Phase III trial for opioid addiction and a Phase II trial testing it's effectiveness in the treatment of chronic pain. By no means is Probuphine a blockbuster drug, but it could finally bring Titan to profitability.

Before that were to happen, the stock could approach the fifty cent to a dollar level on news of positive results in a second, ongoing Phase III trial.

Not a bad return on a stock that was trading for two cents earlier this week.

Additionally, Iloperidone is currently under re-review by the FDA for approval and a decision could come in May. Iloperidone is licenced to Vanda Pharmaceuticals who would pay Titan royalties on any future sales.

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Next is Biovest International (BVTI).

Biovest is another company with a failed drug that I have previously covered here at The Stock House, yet it is also trading at levels that make it a great risk-reward play.

BiovaxID, Biovest's immunotherapy treatment for Non-Hodgkin's Lymphoma, is currently being tested for efficacy in a Phase III trial. Although initial reports last year on trial results looked like some fuzzy-numbering by the company, BiovaxID is not dead.

In November the company reported that BiovaxID will be available in a named-patient program in Europe, indicating that, based on data collected from that program, they may seek approval for the drug in the European Union.

Any positive news on BiovaxID that indicates approval in Europe or elsewhere could launch the stock to one dollar in short time, if not higher.

BVTI.PK looked a lot more attractive at under ten cents, but it's still an attractive risk-reward play right around twenty cents.

For the cost of a couple of nights out on the town, the small investor has a chance to purchase a large amount of shares of both of these stocks. At the very worst, nothing happens with these companies or their drug candidates and the chump change that would have been spent on some vodka-tonics is gone. At the very best, one or more of these drug candidates starts to look like they may be approved and that chump change could turn into a new car.

Buying Back In, BVTI
Awaiting Phase III Results, BVTI
Why VFC Sold Out of BVTI
BVTI.OB Not Acting Like a Stock With Good News Pending
BVTI, We'll Know In September

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