"Long-term, Gilead Sciences (NASDAQ: GILD) is the best life sciences company on the planet," says biotechnology specialist Michael Shulman in The ChangeWave Biotech Investor.

"Auto sales may plunge, home sales may stay in the tank and retail sales may fall, but disease, old age and human frailty are undeniably 'forever.'

"While the economy in 2009 is almost certainly going to contract, analysts expect the sale of biologic drugs and other life sciences products to increase 12%-15% -- with some winners growing much faster.

"The winners will be rewarded, even in a bear market. In the past year, Gilead has outperformed the Nasdaq by more than 30 percentage points -- and it's doing it as a mature biotech.

Continue reading Gilead (GILD): 'Best life sciences firm on the planet'

Gilead (GILD): 'Best life sciences firm on the planet' originally appeared on BloggingStocks on Mon, 20 Oct 2008 15:40:00 EST. Please see our terms for use of feeds.

"If you want to buy a great company dirt cheap, think Biogen Idec (NASDAQ: BIIB)," says biotech expert Michael Shulman. Here's an update from ChangeWave Biotech Investor.

"Biogen recently got hammered on 'bad' news that wasn't actually so bad. BIIB and partner Elan (NYSE: ELN) reported that two MS patients, out of 31,800 currently receiving Tysabri, developed a rare brain malady called PML.

"It's important to note, here, that the two companies had predicted that one in 1000 cases could develop PML and the FDA let the drug come to market with this understanding with a strong set of patient warnings and physician follow up.

"Tysabri has succeeded in the marketplace because it is a superior treatment for MS -- and the patients who use it agree, despite its high cost of $30,000 per year. I expect only a very small drop off in market acceptance for Tysabri and when it becomes apparent the drug is still desired by patients and doctors, the stock should rebound significantly.

"BIIB is still targeting 100,000 patients by 2010 and that would translate into $1 billion per quarter in sales.The two cases of PML cut the stock by almost 30% -- and that's ridiculous. It's simply too big a move for a cash-rich, risk-free company with several major drugs -- especially Rituxan which is taking more market share every quarter.

"Biogen Idec also has the ability to add new products through licensing or direct acquisition, and I expect it to do so in the coming quarters. This temporary downturn is a godsend for investors! BIIB is now selling well below the valuations of other large-cap, double-digit biotech growers. Take advantage of this mistake before the Street wakes up."

Steven Halpern's TheStockAdvisors.com offers a daily look at the latest market commentary and favorite stock picks and investment ideas from the nation's leading financial newsletter advisors.

Biogen (BIIB): A 'dirt cheap' biotech bet originally appeared on BloggingStocks on Mon, 25 Aug 2008 11:16:00 EST. Please see our terms for use of feeds.

"I still love Cepheid (NASDAQ: CPHD)," says biotechnology sector expert Michael Shulman in his ChangeWave Biotech Investor.

The advisor explains, "Cepheid does genetic testing of the things that can make us sick or kill us. The company is at the forefront of the next generation of diagnostics testing, and has real products already on the market." Here is his review.

"Cepheid has had outrageous sales success in the past few quarters and, therefore, has excellent profits looming. However, the true value for the company is its long-term potential.

"CPHD broke out about a year ago with a new test for the killer staph infection, MRSA, and the test is an order-of-magnitude better than any the competition has.

"A combination of tremendous public pressure and a CDC report that said MRSA kills at least 17,000 people per annum (and consumes billions of dollars, already), have hospitals everywhere putting in MRSA screening and prevention programs. And nine out of 10 of those hospitals are buying CPHD's equipment and tests.

Continue reading Cepheid (CPHD): The next generation of diagnostics

Cepheid (CPHD): The next generation of diagnostics originally appeared on BloggingStocks on Tue, 08 Jul 2008 14:14:00 EST. Please see our terms for use of feeds.

"Analysts estimate the worldwide market for generics will increase from $75 billion to $125 billion by 2012," says Michael Shulman.

In his ChangeWave Biotech Investor he states, "The key question for us is: Who is going to make the most money from these expirations? And the 800-pound gorilla in this market is our long-time holding, Teva Pharmaceuticals (NASDAQ: TEVA).

"Teva is the largest and best generics company in the world with $9.4 billion in sales in 2007 and the gap between it and its competitors is growing. Teva has 331 products on the market, 65% more than its closest competitor.

"More importantly, based on its business model of a mix of proprietary and generic drugs, the company's operating margins are 10 points higher than competitors and that gap is widening. In fact, in the United States, the number of prescriptions filled with Teva generics is 50% more than its closest competitor.

"Be clear on this point: When it comes to generics, size does matter. The more a company sells, the more profit and cash it has available to do research and acquire more generics to add to its product list -- and the beat goes on.

Continue reading Teva: The 800-pound gorilla of generics

Teva: The 800-pound gorilla of generics originally appeared on BloggingStocks on Fri, 13 Jun 2008 14:00:00 EST. Please see our terms for use of feeds.