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This article will examine four biotech companies to see if they have the potential to be blockbuster winners and make patient investors rich.

Mannkind Corporation (MNKD) MannKind has a market cap of $438.75 million with a negative price-to-earnings ratio. The stock has traded in a 52-week range between $2.20 and $10.05. The stock is currently trading around $3.35. The company reported zero second quarter revenue. Second quarter net income was $-44.48 million compared with net income of $-42.25 million in the second quarter of 2010.

Mannkind's future hinges largely on the success of the trial drug AFREZZA. AFREZZA is inhaled insulin that diabetics can take with a single dose cartridge before eating. The company recently received FDA approval to move ahead with Phase III trials on type 1 and type 2 diabetics. On September 23, shares of MannKind moved up 11%, after the company announced that it would offer $370M in senior secured discount notes. The money was to be used for the Phase III clinical trials of AFREZZA. The company’s bid for additional credit, along with the fact that company insiders have bought 3.48 million shares of the stock, gives investors reason to believe that executives are confident that AFREZZA will get FDA approval. Investors should remember that this stock is highly speculative but if AFREZZA reaches the market the payoff could be enormous.

Arena Pharmaceutical Inc. (ARNA) Arena has a market cap of $192.67 million with a negative price-to-earnings ratio. The stock has traded in a 52-week range between $1.21 and $2.38. The stock is currently trading around $1.30. The company reported second quarter revenue of $3.25 million compared with revenue of $2.49 million in the second quarter of 2010. Second quarter net income was $-22.9 million compared with net income of $-28.7 million in the second quarter of 2010.

One of Arena’s competitors is Orexigen Therapeutics (OREX). OREX is currently trading around $2 with a market cap of $98.57 million and a negative price-to- earnings ratio.

Arena’s new test drug Lorcaserin is a novel drug that can be used for the treatment of obesity. In September 2010, the FDA advisory committee voted negatively on Lorcaserin and raised questions about the drug's safety. Arena hopes to answer the FDA’s questions and reapply for the drug's approval by the end of 2011. Since September 8, 2010, Arena’s stock price has dropped by over 460% from $7.43 to less than $1.40. If the FDA reacts positively to Arena’s new drug application, the stock price could increase dramatically. However, there is no sure way to know what will happen, and investing in this stock is not for those who are averse to risk.

Marina Biotech Inc. (OTCPK:MRNA) Marina has a market cap of $11.40 million with a negative price-to-earnings ratio. The stock has traded in a 52-week range between $0.13 and $2.59. The stock is currently trading at $0.14. In the second quarter, the company reported revenue of $129 thousand compared with revenue of $193 thousand in the second quarter of 2010. Second quarter net income was $-3.58 million compared with net income of $-4.10 million in the second quarter of 2010.

One of Marina’s competitors is Alnylam Pharmaceuticals Inc. (ALNY). ALNY is currently trading around $6 with a market cap of $274.25 million and a negative price- to-earnings ratio.

On September 1st, Marina received a patent Ok for its Nucleic Acid-Peptide Drug Delivery Platform. Other than that there is very little news about Marina. There are no new potential blockbuster drugs in Marina’s future. The company’s stock first traded on December 7, 1993, at an adjusted price of $16.00. The stock is currently down by 93.83% over the last 52 weeks and is near its all time lows. I do not see anything good in this stock's future. I rate Marina a hold.

Cell Therapeutics Inc. (CTIC) Cell has a market cap of $212.16 million with a negative price-to-earnings ratio. The stock has traded in a 52-week range between $0.95 and $3.30. The current stock price is around $1. The company reported second quarter revenue of zero, compared with revenue of $299 thousand in the second quarter of 2010. Second quarter net income was $-16.99 million compared with net income of $-23.48 million in the second quarter of 2010.

In April 2010, the FDA denied approval for Cell’s leading new drug candidate Pixantrone. Pixantrone was developed to treat patients with non-Hodgkins Lymphoma. In 2010, the company executed a 1 for six reverse stock split, to keep the share price above the $1 minimum required by the NASDAQ stock exchange. If Pixantrone does not get the FDA’s approval, the stock price is unlikely to improve. The company plans to resubmit a new drug approval application before the end of the year. The FDA should make a ruling within six months. If the ruling is positive, shareholders will be royally rewarded. There is still hope for Cell Therapeutics but investing in this company is very risky.

Disclosure: I have no positions in any stocks mentioned, and no plans to initiate any positions within the next 72 hours.

Source: Will These 4 Biotech Stocks Make You Rich?