OrthoLogic Stands Out in Biotech

We recently added a biotech stock to our portfolio based on the expectation of positive news developments related to an Alzheimer's treatment. Another biotech name that piques our interest is OrthoLogic (OLGC Quote), which, at $6.17, is an inexpensive name with a lot of potential.

OrthoLogic's sole drug candidate, Chrysalin, is designed to quicken the healing time of bone fractures, tissue injuries and spinal fusion as well as repairing cartilage and treating cardiovascular disease. The company is far enough under the radar of Wall Street to be classified as a stealth stock -- a hidden name with a potential for soaring -- given its low-trading volumes and lack of analyst and media coverage.

We see several bright spots in OrthoLogic's future and believe the 15% decline in its stock price during the past two months was unwarranted. The pullback in OrthoLogic's stock price creates a great buying opportunity for those investors willing to ride the ups and downs inherent in biotech investing. ...