Biotech Investors: When Will They Ever Learn?
Investors should get a grip on reality. Many small companies that were lifted on the latest news are strapped for cash and pursuing risky science that will take years to bear fruit. Even for big players, good trial data on a drug don’t guarantee Food & Drug Administration approval. And once drugs do get approved, most of them face competition in the market.
Drug ads deliver a few side effects Drug companies tripled their advertising budgets in recent years to acquaint American consumers with things like acid reflux disease, depression, erectile dysfunction, and even toenail fungus, a marketing blitz that accounted for roughly 12 percent of the growth in national prescription drug spending in 2000, according to a Harvard University-MIT study released yesterday.
Biotech Industry Could Turn Profitable This Decade
The U.S. biotechnology industry could turn a net profit within five to seven years if it gets a break on both regulatory and technological fronts, the author of a new report on the industry said.
Biotech firms eye rally hungrily
With so many firms in dire financial straits, many executives are desperately hoping that this spring’s rally in biotech stocks will give way to a turnaround that will allow them to raise the cash they need to survive.