Biotech Stock Mailbag: Cell Therapeutics
The Biotech Mailbag is making a comeback! I've been delinquent with this column lately, so please accept my apologies.
The important thing is that the Mailbag has returned, and I promise to be better about delivery. My column Tuesday that took a bearish stance on Cell Therapeutics (CTIC), CEO Jim Bianco and the company's cancer drug pixantrone generated a ton of email from readers, most of it angry stuff, so I want to devote this entire space to the topic.
Tomorrow, I'll post a bonus Mailbag tackling other reader email.
Let's get started with a response to my column from Dan Eramian, Cell Therapeutics' public relations chieftain:"It's hard to respond to your Tuesday tirade against Cell Therapeutics since (CTI) it was mostly opinion, and crystal ball pieces don't need facts. Your personal views about CTI and its management did come through loud and clear. As for your business acumen, I don't know any investor who doesn't think it's a good idea to reduce company debt, and I don't know what medical background you have to pronounce pixantrone's medical benefits. "I do know that CTI bought Trisenox for $12 million in stock and sold it for $70 millon. I do know CTI bought Zevalin for $10 million and sold it for $31 million. Both drugs continue to help cancer patients. The company also raised $64 million in the first five months of 2009 when most small biotechs are starving for resources. That spells investor confidence. Just the facts man, just the facts."
Select the service that is right for you!COMPARE ALL SERVICES
Jim Cramer and Stephanie Link actively manage a real portfolio and reveal their money management tactics while giving advanced notice before every trade.
- $2.5+ million portfolio
- Large-cap and dividend focus
- Intraday trade alerts from Cramer
- Weekly roundups
Access the tool that DOMINATES the Russell 2000 and the S&P 500.
- Buy, hold, or sell recommendations for over 4,300 stocks
- Unlimited research reports on your favorite stocks
- A custom stock screener
- Upgrade/downgrade alerts
Jim Cramer's protege, David Peltier, identifies the best of breed dividend stocks that will pay a reliable AND significant income stream.
- Diversified model portfolio of dividend stocks
- Alerts when market news affect the portfolio
- Bi-weekly updates with exact steps to take - BUY, HOLD, SELL
All of Real Money, plus 15 more of Wall Street's sharpest minds delivering actionable trading ideas, a comprehensive look at the market, and fundamental and technical analysis.
- Real Money + Doug Kass Plus 15 more Wall Street Pros
- Intraday commentary & news
- Ultra-actionable trading ideas
Our options trading pros provide daily market commentary and over 100 monthly option trading ideas and strategies to help you become a well-seasoned trader.
- 100+ monthly options trading ideas
- Actionable options commentary & news
- Real-time trading community
- Options TV