Feuerstein's Biotech-Stock Mailbag

Whether or not the "new" Avant can get its stock off the floor probably depends on how the merged company is reorganized and recapitalized. A reverse stock split is planned to return to Nasdaq listing compliance. Will they raise more money?

For homework, I'd also recommend performing more due diligence on the technology and drugs that Celldex is bringing to the deal, since those are more likely to be the drivers of any future stock appreciation.

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Ron B. wants to know if Telik(TELK) is a good investment.

"Telik was worth $20 to the market before the FDA shut down studies. Now that things are back as they were, is it worth $20 again?"

Telik isn't worth $20 again. I'm not sure it's worth anything, especially with current management at the helm. I'll be shocked and surprised if Telik finds a partner for development of its cancer drug Telcyta.

Not much in biotech shocks me, but a deal for Telcyta surely would.

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Paul R. ask, "Could you please tell us what drugs are being developed to help people with autism?"

I have to go back to 2004 to find the last time I wrote about an experimental autism drug. That was a drug called secretin from Repligen(RGEN), and unfortunately, the phase III study was a failure.

Nastech Pharmaceuticals(NSTK) is investigating the use of intranasal carbetocin (a long-acting form of the natural hormone oxytocin) for autism spectrum disorders. This work is still in phase I trials.

A check of BioMedTracker's database uncovered no other drugs being developed for autism, although there are 61 clinical trials for autism listed on the ClinicalTrials.gov web site.

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Fred is another (dis)satisfied reader:

"Your analyses are pathetic. You cannot possibly spend enough time properly evaluating the numerous stocks you comment on. It is obvious your research is limited to a few hours on Google and regurgitating the offhand comments of a few similarly useless colleagues.

"Your column is a real disservice to those who are looking for sound advice. If you want to have any real credibility, spend the time and do a thorough job of researching. Otherwise, you are just another hack selling useless media, living a parasitical existence never really making a meaningful contribution to society."

I do my best, which is pretty good, in my humble, if biased, opinion. That's not enough for Fred, so he's free to read biotech news and commentary elsewhere.

1 What would best describe your stance heading into the coming week of trading? Bullish Bearish Neutral 2 Which of these sectors do you think is set to move up in the coming week? --Choose One--Aerospace and DefenseAirlinesAutomobilesBeverages and Food ProductsBiotechnologyCommercial BanksComputers and PeripheralsConsumer NondurablesEnergy Equipment & ServicesHMOs and HospitalsHomebuildingInsuranceIntegrated OilInternet, Software ServicesInvestment Bankers and BrokersMediaMultiline RetailPharmaceuticalsPrecious MetalsSemis, Semi EquipmentTelecom EquipmentTobacco and AlcoholWireless CommunicationsUtilities 3 Which of these sectors do you think is set to move down in the coming week? --Choose One--Aerospace and DefenseAirlinesAutomobilesBeverages and Food ProductsBiotechnologyCommercial BanksComputers and PeripheralsConsumer NondurablesEnergy Equipment & ServicesHMOs and HospitalsHomebuildingInsuranceIntegrated OilInternet, Software ServicesInvestment Bankers and BrokersMediaMultiline RetailPharmaceuticalsPrecious MetalsSemis, Semi EquipmentTelecom EquipmentTobacco and AlcoholWireless CommunicationsUtilities View the results without voting

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