OVERVIEW

The Biotech industry as a whole continues to underperform the market so far this year. As of May 26, 2009, Both the AMEX Biotech Index and the broader NASDAQ Biotech Index declined 6.8% (AMEX Biotech has 20 biotech companies while NASDAQ Biotech Index includes over 130 component companies), while the Dow Jones Biotech Index declined 3% (which includes 33 companies).

At the same time, both the NASDAQ Composite and S&P 500 have achieved positive returns. NASDAQ has made a gain of 11% as of 5/26/09 and the S&P 500 has gained 0.8%, while the Dow Jones Industrials reached a negative 3.5% return.

This constitutes a sharp contrast with last year when the Biotech industry as a whole achieved much better performance than the market. In 2008, all three biotech indices outperformed all three major market indices by a large margin. The three major indices declined as much as over 40% (34%, 41%

...

OVERVIEWThe Biotech industry as a whole continues to underperform the market so far this year. As of May 26, 2009, Both the AMEX Biotech Index and the broader NASDAQ Biotech Index declined 6.8% (AMEX Biotech has 20 biotech companies while NASDAQ Biotech Index includes over 130 component companies), while the Dow Jones Biotech Index declined 3% (which includes 33 companies).At the same time, both the NASDAQ Composite and S&P 500 have achieved positive returns. NASDAQ has made a gain of 11% as of 5/26/09 and the S&P 500 has gained 0.8%, while the Dow Jones Industrials reached a negative 3.5% return.This constitutes a sharp contrast with last year when the Biotech industry as a whole achieved much better performance than the market. In 2008, all three biotech indices outperformed all three major market indices by a large margin. The three major indices declined ...

Last year, the Biotech industry as a whole achieved much better performance than the market. Both the NASDAQ Biotech Index and AMEX Biotech Index outperformed all three major market indices (Dow Jones Industrial Average, NASDAQ Composite and S&P 500) in a large margin. The major indices declined as much as 40%. While NASDAQ Biotech Index declined only 12.6%, and AMEX Biotech Index was down 17.7%.

However, when the recession enters into its third year, the Biotech industry is not doing better than the market, which has been evident by the indices' performances. As of April 9, 2009, AMEX Biotech Index declined 3%, and the broader NASDAQ Biotech Index was down 6.8% (AMEX Biotech has 20 biotech companies while NASDAQ Biotech Index includes over 130 component companies). Although the Dow and S&P 500 also declined a similar percentage, technology-laden NASDAQ actually has a gain of 4.8%, which is more comparable to the

...

Last year, the Biotech industry as a whole achieved much better performance than the market. Both the NASDAQ Biotech Index and AMEX Biotech Index outperformed all three major market indices (Dow Jones Industrial Average, NASDAQ Composite and S&P 500) in a large margin. The major indices declined as much as 40%. While NASDAQ Biotech Index declined only 12.6%, and AMEX Biotech Index was down 17.7%.

However, when the recession enters into its third year, the Biotech industry is not doing better than the market, which has been evident by the indices' performances. As of April 9, 2009, AMEX Biotech Index declined 3%, and the broader NASDAQ Biotech Index was down 6.8% (AMEX Biotech has 20 biotech companies while NASDAQ Biotech Index includes over 130 component companies). Although the Dow and S&P 500 also declined a similar percentage, technology-laden NASDAQ actually has a gain of 4.8%, which is more comparable to the

...

OVERVIEWThe financial market and the economic landscape in the U.S. have not changed much since the beginning of the year. And we believe the status quo will last for a while at least in 2009.Large biotech companies are doing OK since they have strong balance sheets to weather the current market turmoil and can generate revenue from product sales. Investors in large biotechnology companies worth more than $1 billion have preserved much of their wealth. Smaller biotech companies, particularly those still in development stage, meanwhile, are under severe strain as the global economic slump cuts into sales and their ability to raise fresh cash to fund research.As we expected, the M&A spree has continued in the first three months of this year. Following the acquisition of Wyeth (WYE) by Pfizer (PFE) announced in January, Merck & Co. (MRK) announced the ...

a onblur=”try {parent.deselectBloggerImageGracefully();} catch(e) {}” href=”http://2.bp.blogspot.com/_T9VXVyuEITg/SYksOvCIT5I/AAAAAAAAAoM/DrrO_JiQPJ8/s1600-h/stem_cells.jpg”img style=”float:right; margin:0 0 10px 10px;cursor:pointer; cursor:hand;width: 200px; height: 169px;” src=”http://2.bp.blogspot.com/_T9VXVyuEITg/SYksOvCIT5I/AAAAAAAAAoM/DrrO_JiQPJ8/s200/stem_cells.jpg” border=”0″ alt=”"id=”BLOGGER_PHOTO_ID_5298815068233289618″ //abr /Since President Obama has decided to repeal the limitations imposed on embryonic stem cell research, and since the first federally approved human study utilizing embryonic stem cell therapy is now taking place, investors are now looking at opportunities in stem cell stocks. Extensive research is being done to utilize stem cells for a href=”http://stockerblog.blogspot.com/2008/05/gene-therapy-stocks.html” target-”_blank”gene therapy/a and the treatment of multiple sclerosis, Parkinson’s disease, heart disease, diabetes, arthritis, and many other medical conditions. br /br /A source of stem cells is a href=”http://cordbloodstocks.com/” target-”_blank”cord blood/a, the blood from an umbilical cord. The saving and storing of cord blood has become a fast growing business. For example, Richard Branson, founder and head of Virgin Records and Virgin Atlantic Airways, set up a cord blood bank. Even a href=”http://stockerblog.blogspot.com/2007/10/stem-cell-bonds-issued-by-california.html” target-”_blank”Stem Cell …