Probably not overvalued. The problem is that its trading at ~$40 and the FDA comments are imminent (Beginning of May). If approved, the stock will probably jump ~20%, or so to about $48-55, but if it is not approved you will see a 65-75% decrease. Look at Medivation for example (MDVN). MDVN went from $40 to $13 in one day, its currently at $11. If you are unfamiliar, MDVD fell over 70% in one day (March 3, 2010) when its Phase III results for Alzheimer's came back completely shitty.
I would be careful as there is little upside and a ton of downside.
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Probably not overvalued. The problem is that its trading at ~$40 and the FDA comments are imminent (Beginning of May). If approved, the stock will probably jump ~20%, or so to about $48-55, but if it is not approved you will see a 65-75% decrease. Look at Medivation for example (MDVN). MDVN went from $40 to $13 in one day, its currently at $11. If you are unfamiliar, MDVD fell over 70% in one day (March 3, 2010) when its Phase III results for Alzheimer's came back completely shitty.
I would be careful as there is little upside and a ton of downside.
Grad....are you buying?
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