DoctoRx
Special situations, growth at reasonable price, value, micro-cap

Why I'm Long Supernus, A Small Specialty Pharma Company

Background: One of the important success stories in pharmaceuticals has been the British company Shire plc (NASDAQ:SHPG). Here is the long term chart:

(click to enlarge)

Shire is a large cap worth $33 billion. In 2005, it spun off a U.S. subsidiary which had a focus on controlled release (CR) technologies and on central nervous treatments. The company, Supernus Pharmaceuticals, Inc. (NASDAQ:SUPN), has made substantial progress lately, and is in my opinion a stock many growth investors may want to follow or own. SUPN's market cap is right around 1% that of its parent, at $346 MM.

Having a background both in controlled release products and in specialty pharma, I have a high degree of...

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