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Rayno Life Science Portfolio Biopharmaceuticals: ALXN, GILD, REGN, SGEN

|Includes:Alexion Pharmaceuticals, Inc. (ALXN), REGN

Biotechnology Sector Continues Amazing Bull Run Up 40% YTD

The Rayno Life Science Portfolio had nice gains today with 1% + moves from Biogen-Idec (NASDAQ:BIIB) and Gilead Sciences (GILD) and with our bellwether ETF (NASDAQ:IBB) eking out a 0.5% gain at its 52 week high. Since the bull market began in February 2009 several stocks on our focus list have had huge gains: Alexion 6.7X, Biogen-Idec 3.13X, Regeneron 9X and ViroPharma 2.5X.We have recently provided a list of drivers for the biotechnology sector but added that a bubble is not yet evident even though CNBC-TV is talking it up more lately.

Today two stocks offer a reminder of volatility and speculation in the life science sector:

  • Sarepta Therapeutics (NASDAQ:SRPT) is up 185% to $42.39 on news of its experimental drug Eteplirsen for treating muscular dystrophy. The Company (formerly known as AVI BioPharma) will push for early FDA approval without Phase 3 data even though the clinical study had only 12 patients. The market cap of SRPT now exceeds $900M with 2012 sales estimates of $44M and cash of $24.5M.
  • On Tuesday shares of Arqule Inc. (NASDAQ:ARQL) plunged 56% on news that its lung tumor drug failed to meet its goals for survival rates.
 

 

2012   Price Original P Price %Ret Price Price % Ret
Summary   Jy'10 Recomm   Dec'10 2010 Apr'11 10/3/12 YTD  
                     
                     
Alexion ALXN 50.45 2/2/09 35 80.6 130 100.8 117 63.7 split
Albany Mol AMRI   2/10/11 4.68 added 4.32 3.5 20  
Astex ASTX trade 12/27/11 1.63       3 58  
Amgen AMGN 51.7 2/2/09 55 54.9 0 54 86.6 16  
Biogen BIIB 49.42 2/2/09 48.5 67.1 37 73.25 152 38  
                     
Cephalon CEPH 55.95 2/2/09 76.5 61.7 -19 76.92 80.18 30 acquired
                     
Cubist CBST 20.7 2/2/09 21.5 21.4 -3 28.35 48.6 22.7  
Exelixis EXEL trade 9/2/10 3.3 8.21 148 11.12 4.77 1  
First Trust FBT 30.4 4/15/10 37.5 39.1 3 41.3 47.6 45.6  
Gilead GILD 34.9 2/2/09 51 36.2 -29 42.81 70 71.5  
iShares ETF IBB 76.6 2/2/09 70.5 93.4 32 101.1 145.9 40  
                     
Micromet MITI 6.28 2/2/09 4 8.12 103 5.46 10.91 272 acquired
                     
ImmunoGen IMGN New 12/22/11 12.4       15.2 31  
Optimer OPTR   2/18/11 11.8 added 13.8 13 6.6  
Regeneron REGN 21.6 2/2/09 17.5 32.8 82 45.43 157 183  
Seattle Gen. SGEN 11.85 2/2/09 9.5 15 57 15.72 26.9 60.9  
ViroPharma VPHM 10.88 2/2/09 12 17.3 44 20.05 30.2 0  
                     
Paired Trade closed           JY 5 CLOSED
Pharmacycl PCYC long 6/8/12 38.2       58.45 51  
Medivation MDVN short 6/8/12 86.8       95.43    
                     
XBI               95 40.6  
                     

Disclosure: I have no positions in any stocks mentioned, but may initiate a short position in SRPT over the next 72 hours.

Stocks: ALXN, REGN