Joseph P. Porter's  Instablog

Joseph P. Porter
Send Message
I am a retired college faculty in Philosophy, with specializations in Ethics, Socio-political Theory and Rational Choice/Decision Theory. My teaching focus was on Business Ethics, Medical Ethics and Logic. After retirement I freelanced as a Grant Writer/Fund Raising Consultant. I have taught at... More
My company:
My blog:
Joseph P. Porter's Instablog
  • A Little Bad News Goes A Long Way 0 comments
    Dec 19, 2012 1:37 PM | about stocks: CASC, PFE

    Oncothyreon (ONTY) released information showing that its experimental drug Stimuvax (L-BLP25) did not achieve a notable improvement in patients with non-small cell lung cancer. The drug is (was?) in Phase III trials, the most crucial phase in drug development. In plain terms, it means Stimuvax is at best no better than current treatments.

    Pretty much the kiss of death for that drug.

    ONTY's stock price is down >$2.50 in early trading. Ouch.

    Bad-news drops are a common event. When I first bought Pfizer (NYSE:PFE), it was on the day that Pfizer voluntarily pulled infant formula sold to China that had been mislabeled. Shortly after I bought it, stocks were down by more than $1.00/share. To me, it was clear that there was nothing fundamentally wrong with PFE - just a bad-news drop. I doubled my holdings. Of course, PFE is a major drug company with a wealthy pipeline of drugs in development.

    ONTY is no PFE, but it does have more in its pipeline. Its PX-866 drug is moving from phase I to phase II testing, and shows promise; a second drug, ONT-701, is in pre-trial preparation; it also has ONT-10, a vaccine, that is in phase I trials. This strikes me as a promising pipeline for a small bio-firm.

    It will likely take a while for ONTY to redeem itself, but I shall remain long ONTY until it seems that there is nothing the company can do to recover.

    Time to suck it up and deal with it.

    Disclosure: I am long ONTY, PFE.

    Additional disclosure: This is not an endorsement for either Oncothyreon or Pfizer. Please use your own judgment about purchasing a stock after doing research and using due diligence.

    Stocks: CASC, PFE
Back To Joseph P. Porter's Instablog HomePage »

Instablogs are blogs which are instantly set up and networked within the Seeking Alpha community. Instablog posts are not selected, edited or screened by Seeking Alpha editors, in contrast to contributors' articles.

Comments (0)
Track new comments
Be the first to comment
Full index of posts »
Latest Followers


  • $CUR up $0.27 @1:20 - can't find any news for big jump (15%!) - anyone know what's going on?? Very smiley face about this.
    Sep 24, 2015
  • $CUR earnings didn't help their case much - @ ~ $2.38. Will take great news somewhere to bring stock back up.
    Mar 16, 2015
  • Ignore ETF Expense Ratios? Maybe
    Dec 18, 2014
More »

Latest Comments

Instablogs are Seeking Alpha's free blogging platform customized for finance, with instant set up and exposure to millions of readers interested in the financial markets. Publish your own instablog in minutes.