Shares of Discovery Labs (DSCO) have been drifting lower in recent trading and now are at the $1.55 level, which is a nice entry point for a long position for speculative biotech investors. Since meeting with the FDA in mid-June, DSCO has trended lower on investor disappointment that the Company would delay its response to the most recent approvable ruling for Surfaxin until September. However, the Company still expects a Class I review (60 days), which could result in approval for Surfaxin by late November or early December without the need for additonal clinical trials. Summer is typically a slow time for biotech trading and provides a good time to accumulate shares ahead of a Fall catalyst.

Last 5 posts by Mike Havrilla

• Albertis $12.8B Bid to Lease PA Turnpike Expires with No Deal - October 1st, 2008
• Congress Working Overtime: $634B Spending Bill and Bailout Plan - September 27th, 2008
• Pfizer is a Big Pharma Buy - September 24th, 2008
• Bristol-Myers Ups Bid to $62 for ImClone - September 23rd, 2008
• Climate Exchange Rebounds on Robust Results - September 20th, 2008