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Arena Pharmaceuticals (ARNA +6.6%) trades higher amid a bit of overwrought Internet drama. A...

Arena Pharmaceuticals (ARNA +6.6%) trades higher amid a bit of overwrought Internet drama. A group of shareholders filed a Cease-and-Desist Letter (.pdf) to TheStreet's Adam Feuerstein after he wrote that the firm's weight-loss drug Lorcaserin "isn't much more than a placebo" and causes tumors in rats.
Comments (24)
  • phemale60
    , contributor
    Comments (2880) | Send Message
     
    Oh no, I thought so. Adam knows his stuff so I'd consider it.
    11 Apr 2012, 01:32 PM Reply Like
  • LEIGHDIST
    , contributor
    Comments (7) | Send Message
     
    should i be alarmed, i do have stock of Arena
    11 Apr 2012, 01:39 PM Reply Like
  • Aloha96815
    , contributor
    Comments (20) | Send Message
     
    Quite the contrary in my view. Adam does not have intimate knowledge of Arena's drug. In fact, the article he wrote is just plain bias and he makes wide allegations in the article in a matter of fact tone. This was the article I was referring to phemale60 from yesterday. He went far and beyond writing an opinion piece-- anyone reading that article would have thought the FDA spoke straight to Adam and that he sat in ARNA's labs all day and all night.
    11 Apr 2012, 01:46 PM Reply Like
  • LEIGHDIST
    , contributor
    Comments (7) | Send Message
     
    thank you for your point of view, i feel more at ease
    11 Apr 2012, 02:20 PM Reply Like
  • phemale60
    , contributor
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    Aloha, I thought you were talking about this article: http://seekingalpha.co...
    Many commented the writer wasn't up to date with his information.

     

    The day of the VVUS Adcomm in February I watched Adam's narration of the webcast to the end, and I shared his shock and glee when the vote came 20-2. What a rush!! So, I guess I'm a bit biased. He did such a great job keeping us up on every doctor's question and answers by VVUS. Hard for me to believe Adam has any unethical or dishonest motive by writing what he did. I bought ARNA recently but not because I thought it was a great diet drug, as Qnexa has proven to be, but that I think it's piggybacking on VVUS's success, and might make me a few $$.
    11 Apr 2012, 07:41 PM Reply Like
  • Aloha96815
    , contributor
    Comments (20) | Send Message
     
    Phemale60, I understand your leanings toward Adam, especially as a fellow Adam follower. I also watched the VVUS webcast and monitored the chat on that notable day. With regard to this specific scenario, I believe Adam's article about Arna was misleading, incomplete, and devoid of solid evidence. Writers will find it must advantageous and fair to allow investors to make their own decisions by writing a balanced piece when possible. Adam opted to dismiss any data or reports that remotely depicted ARNA in a favorable light. As to Adam's intent and motive, I'm indifferent and clueless. Nothing is set in stone for any of these obesity drugs. All we can do is try to make a sound decision. Good luck to us all. $$ :-)
    11 Apr 2012, 10:50 PM Reply Like
  • phemale60
    , contributor
    Comments (2880) | Send Message
     
    Aloha, Thanks for setting me straight! Yes, that day was something else and I suppose caused fondness for Adam unrealistically. I am fairly new to investing and lost a bundle on VVUS in 2010 so last year's approval vote was a special day! Adam did write an article about VVUS the day before the Ad comm quoting the "FDA whisperer" who believed it would be shot down; however, Adam still remained impartial even while bringing forth an alarming prediction.

     

    Maybe Arena's drug will make the grade before Vivus -- guess we'll all find out soon enough!!
    12 Apr 2012, 02:43 PM Reply Like
  • andybaron
    , contributor
    Comments (146) | Send Message
     
    For a balanced look at Arena's lorcaserin, see this article, published today:
    http://seekingalpha.co...
    11 Apr 2012, 01:55 PM Reply Like
  • LEIGHDIST
    , contributor
    Comments (7) | Send Message
     
    Thanks Andy
    11 Apr 2012, 02:56 PM Reply Like
  • DocW
    , contributor
    Comments (3) | Send Message
     
    Maybe adam or someone missed the chance at low prices and in hopes to bring it down to where there is a second chance to get in, the article and bad staements have been made. Once in, at a good low price, he may change his tune.......I think it's going to do real well. Just wished I had more money to invest.
    11 Apr 2012, 03:44 PM Reply Like
  • DocW
    , contributor
    Comments (3) | Send Message
     
    I am most likely wrong but hey, it's a thought....
    11 Apr 2012, 03:46 PM Reply Like
  • MexCom
    , contributor
    Comments (3058) | Send Message
     
    VVUS was also down in tandem. I don't know who this Adam Feuerstein is but some better and more interesting information would be that he bought on the decline! Freedom of speech - he is protected but purposely manipulating the market with false information and profiting from it is a crime.
    11 Apr 2012, 04:16 PM Reply Like
  • Goeleven
    , contributor
    Comments (629) | Send Message
     
    I am only a small investermen with pension. There is nothing to tell about me.
    11 Apr 2012, 04:41 PM Reply Like
  • bioimmuno
    , contributor
    Comments (132) | Send Message
     
    Everyone except the SEC knows Adam is a bio-hedge fund short tool. He talks the book of his friends in the bio-short hedge fund industry. Much of his reporting is at best reckless and should be illegal. There often seems to be coordination in the timing of his comments with hedge funds. He probably thinks his comments move the market, but I think they are just a tool for his hedge fund buddies. The terms collusion and racketeering come to mind when I think of his operation and methods much more than rigorous, balanced, well reasoned, or scientifically accurate reporting. To be fair and balanced, he, or his friends were right about Genta, but have been wrong on many other calls.Just my opinion and observation over the past many years.
    11 Apr 2012, 04:58 PM Reply Like
  • PEhrlich
    , contributor
    Comments (1704) | Send Message
     
    Of course if he were consistently right, he would be retired in Tahiti and not writing a column for The Street.

     

    I've generally found his assessments pretty much on the money, at least as far as anyone can be expected to accurately forcast the future. What I find bizarre about the whole Arena story is how readily longs want to throw accusations of dishonesty and stock manipulation at anyone who disagrees with their point of view. Given Arena's current market cap of ca. $500M, it's pretty hard to argue that Adam's assessment is not much closer to the market consensus than Micheal Murphy's insistence of a 100% likelihood of approval and $7B per year in sales.

     

    There's some real issues about fair and balanced assessments around this stock, but they are found in SA articles much more so than in Adam's column.
    15 Apr 2012, 01:49 AM Reply Like
  • phemale60
    , contributor
    Comments (2880) | Send Message
     
    This may seem trite but when I see a real person talk about how Lorcaserin helped them lose weight as this man did on Qnexa http://abcn.ws/yx30JH I may then take it seriously. I don't see the point, if reaching such a state of obesity and ill health to need a diet drug, that one wouldn't want the most effective, especially in light of the side effects tolerated in any of these drugs.
    11 Apr 2012, 10:05 PM Reply Like
  • tahalb
    , contributor
    Comments (260) | Send Message
     
    Adam wrote an article about TALON (TLOO) few days before they went to the FDA advisory commity. The article was so against TLOn that it took the price of the stock form $1.26 to 0.96 in a matter of minuts. I lost a huge some of money. I waited for the actual date of the meeting and Adam was live on his blog, and to his supprise the advisory panel recommended the drug from Talon. The stock jumped to about $1.16 before it went down again. My point is , do not take what Adam says or writes seariously. I tend to listen to everyone, but make up my own mind. Biostocks are very risky and very un pridictable. Having said that, I am confident that Arna will be the first drug of the three to be approved, eventually the three will all be approved (arna, Vivus and Orex) , but Arna will be the first. That is just my opnion and I am investing a huge sum of money in that compnay, so , we shall see..good luck to all.
    12 Apr 2012, 12:09 AM Reply Like
  • tahalb
    , contributor
    Comments (260) | Send Message
     
    sorry for the typos, I am using a French key board and its harder to use than the american one. i will be back in FL next week, and will use my own key board .
    12 Apr 2012, 12:12 AM Reply Like
  • phemale60
    , contributor
    Comments (2880) | Send Message
     
    Tahalb, congratulations on your twins, now that's something to cheer about!

     

    And thanks for your valuable input put forth on French keyboard! Vive le France!!
    12 Apr 2012, 02:20 PM Reply Like
  • tahalb
    , contributor
    Comments (260) | Send Message
     
    Hi.
    Thanks .The twins are so gourgous but on my God, they are a handfull, God gretatest gift after ten years of trying to have babys. I want to let you know that you are smarter than me, since you took advantage of the 2009 window. I also did some trading , went in with $3500. Could have made close to $250K, had boucht AIG at 0.80 and C at 1.10 , but got rid of everything at almost a loss..what can I say, now I am in it again, heavy with ARNA, no VVUS heavy BAC and WFC . so far this year I am up, a little but if things dont turn around, I could be in trouble again, betting on ARNA...good luck to you also.
    Taher
    14 Apr 2012, 08:48 PM Reply Like
  • phemale60
    , contributor
    Comments (2880) | Send Message
     
    ARNA doing lousy today so far. Tomorrow I can sell without incurring a violation; may just do that. I have enough VVUS and do not need the aggravation.
    12 Apr 2012, 02:47 PM Reply Like
  • JGR
    , contributor
    Comments (2) | Send Message
     
    Thanks Adam. Just bought 1m shares today at what I consider a give away price!
    with Adams help, I figure I just made a cool 2m!
    18 Apr 2012, 12:48 AM Reply Like
  • JGR
    , contributor
    Comments (2) | Send Message
     
    I am a 73 years old and have a J.D. and a PhD in economics. I have been playing the market for over 50 years. My Bachelors degree is in math and psych.
    I have reviewed the various FDA submissions of both VVUS and ARNA and personally I agree with tahalb that ARNA will be the first to the market.
    As an aside, from my experience the market action of ARNA over the last few days really smacks of manipulation. With over 14m shares traded today, one really has to reach the conclusion that some hedge fund operators were intentionally banging the stock. (watching the bid/ask and pushing the lower bid by selling a tenth lower than the ask. rolling the price lower over and over).
    As an old hack, I have a feeling they know something, like another 20/2 FDA opinion for ARNA's approval!
    Unfortunately, this form of rolling is not illegal. BUT, if my suspicion is correct. Adams behavior is! In which case, he is the proximate actor in a massive fraud.
    Incidentally, a check with the U.S. Attorney's office will reveal that this form of manipulation is not new and has been going on for decades.
    Eventually, most of the bad actors are caught, prosecuted and serve time. The news letter and blog scheme is not new!
    It is patently illegal. And quite transparent!
    18 Apr 2012, 12:48 AM Reply Like
  • tahalb
    , contributor
    Comments (260) | Send Message
     
    Thank you JGR. I really needed to hear some encourgaement based on knowledge. So far my ARNA position is hurt the most followed by Bank Of America. I still feel and belive that there is a huge game going on behind the scene with the FDA,VVUS and some other major power behind the last minute delay of VVUS approval. It just makes sense to buy million of shares of ARNA at $2 than nuying the smae volume of VVUS at 10.57 (the price on Feb 21) .Once ARNA gets the PDUF positive on May 10th, there will be no logical reason as to why ARNA's share can not hit $20 or higher price. So, some one is trying to load up at $2+/- on ARNA before the May 10th date. I am sticking to my guns and will ride this wave, by God's graces I and my twin babys will win this one in sha Allah.
    20 Apr 2012, 04:57 PM Reply Like
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