This Day On The Street
Continue to site
This account is pending registration confirmation. Please click on the link within the confirmation email previously sent you to complete registration.
Need a new registration confirmation email? Click here

Biotech Stock Mailbag: Amarin, Spectrum, Arena

3. Management did their last financing in January 2011 before the second AMR101 data set at a price of around $7 per share. Then management didn't raise any money when their stock was $15 to $18 for many months! How stupid are they?

My investor source's bottom line:

A. Something is going really badly here from a fundamental perspective (which we haven't figured out yet); or

B. Amarin does have a very good opportunity in front of them, but we will look back on this just as we looked back on Fred Price's misadventures and needless Orapred-related dilution at BioMarin Pharmaceuticals several years ago: A really awful management team robbing biotech investors of a portion of what turned out to be home run longer term.

Either way, he bailed on Amarin.

Paolo M. writes: "You said a lot about Spectrum Pharmaceuticals' (SPPI - Get Report) current cancer drugs, but I haven't seen you write about what is more important to the company, which is the pipeline products with trial results this year. What about these drugs? Are they growth opportunities for Spectrum? I think so."

Spectrum has two drugs in late-stage studies: belinostat for peripheral T-cell lymphoma (PTCL) and apaziquone (Eoquin) for non-invasive bladder cancer. Results from these pivotal studies are expected this year.

I'll discuss belinostat today and save apaziquone for a future Mailbag.

The pivotal phase II "BELIEF" study of belinostat enrolled 120 patients with PTCL that has failed to respond to at least one prior therapy. All patients in the study are being treated with belinostat -- there is no control arm. The primary endpoint of the study is overall response rate. Spectrum plans to seek approval for belinostat using the data from this study when it's completed.

Spectrum conducted a previous, small phase II study of belinostat in patients with PTCL and cutaneous T-cell lymphoma (a related cancer.) In the PTCL subgroup of 20 patients, the overall response rate to belinostat was 25% with a median duration of response of 5.2 months.

Another study conducted by Spectrum partner Topotarget of 19 PTCL patients yielded a 32% response rate and a median duration of response of 9 months.

If belinostat yields a similar 25-30% response in the pivotal phase II study, will that be strong enough for FDA approval?
2 of 4

Check Out Our Best Services for Investors

Action Alerts PLUS

Portfolio Manager Jim Cramer and Director of Research Jack Mohr reveal their investment tactics while giving advanced notice before every trade.

Product Features:
  • $2.5+ million portfolio
  • Large-cap and dividend focus
  • Intraday trade alerts from Cramer
Quant Ratings

Access the tool that DOMINATES the Russell 2000 and the S&P 500.

Product Features:
  • Buy, hold, or sell recommendations for over 4,300 stocks
  • Unlimited research reports on your favorite stocks
  • A custom stock screener
Stocks Under $10

David Peltier uncovers low dollar stocks with serious upside potential that are flying under Wall Street's radar.

Product Features:
  • Model portfolio
  • Stocks trading below $10
  • Intraday trade alerts
14-Days Free
Only $9.95
14-Days Free
Dividend Stock Advisor

David Peltier identifies the best of breed dividend stocks that will pay a reliable AND significant income stream.

Product Features:
  • Diversified model portfolio of dividend stocks
  • Updates with exact steps to take - BUY, HOLD, SELL
Trifecta Stocks

Every recommendation goes through 3 layers of intense scrutiny—quantitative, fundamental and technical analysis—to maximize profit potential and minimize risk.

Product Features:
  • Model Portfolio
  • Intra Day Trade alerts
  • Access to Quant Ratings
Real Money

More than 30 investing pros with skin in the game give you actionable insight and investment ideas.

Product Features:
  • Access to Jim Cramer's daily blog
  • Intraday commentary and news
  • Real-time trading forums
Only $49.95
14-Days Free
14-Days Free
AMRN $1.27 0.00%
ARNA $1.52 3.40%
SPPI $4.52 3.91%
AAPL $93.99 0.31%
FB $102.01 0.10%


Chart of I:DJI
DOW 15,973.84 +313.66 2.00%
S&P 500 1,864.78 +35.70 1.95%
NASDAQ 4,337.5120 +70.6750 1.66%

Free Reports

Top Rated Stocks Top Rated Funds Top Rated ETFs