Live, from New York, its ..... Monday night after a grueling day at the UBS Global Life Sciences Conference. No stand up here. Rather some very serious presenters whose sense of humor left them at an early age. But UBS does a very fine job and it has been wonderfully productive with still three days left.
What I've been learning here:
Transition Therapeutics (TTH:CA): Great presenting CEO, great potential with Alzheimer's and diabetes drug designed to cure, not treat. Partnered with heavyweights Elan and Novo Nordisk. Some major near-term, deal-oriented catalysts -- take a look if you want more information at my newsletter Change Wave Biotech Investor.
Pharmasset (VRUS): Spectacularly boring presentation, almost made me go home. Super-knowledgeable CEO -- ex financial community. Worst presenter of otherwise solid news from this anti-viral company I have seen in several years. His specialty was his ability to rapidly pronounce multi-syllabic jargon -- with authority.
I hope his investor relations people sweep the Web, find this post and call me. I can help. And when I make my pitch, I'll make my value clear, my daily rate will be easy to understand and my presentation will only take a few minutes. Oh, by the way,I think the company has some anti-viral products, including Hep B and Hep C -- but I have no sense of why they are better, whether they will get approval or anything remotely related to critical business issues. That's the failing of the presentation.
Golden Meditech (listed in Hong Kong): Their presenter was not a native English speaker but did a little better than the guy from Pharmasset.
This is a Chinese company with three businesses based on Chinese paranoia, Chinese culture and Chinese tradition:
-- They make a system that recycles your blood when you are in surgery - would you trust a Chinese blood bank?
-- They manage a stem cell and umbilical cord bank so future Chinese have their own stash of stem cells to cure themselves.
-- And they have an herbal medicine -- a good deal of it bought by and provided by the government -- to boost immune function in HIV and AIDs patients. The Chinese, apparently, have finally admitted they have this disease in their midst. Actually, a cash rich, very well connected (if you know what I mean) business -- just, well, this company is not advancing medicine just portfolios.
Novo Nordisk (NVO): For the women, and some men, in the audience, this was the best presentation. The man at the podium put his jacket aside, was ripped and wearing a tight fitting transparent white shirt, had low slung Italian suit pants and punk hair. He was the vice president of North American investor relations, a diabetic and a great presenter for the leading insulin company in the world. It's a solid outfit that will grow 10%-15% if they don't screw something up - just because the world eats too much, Outside of insulin, a weak-to-poor company.
Given Imaging (GIVN): This was the fourth of the first five presenters from outside the U.S. -- the U.S. guy being the viral load presenter from Pharmasset -- and this was an Israeli guy I have heard speak often. He and his company are great -- expensive stock -- and I have watched them grow from pre-revenue to maturity. Next year they may get approval for a virtual colonoscopy -- the swallow a camera and we take pictures of your innards company.
Orthovita (VITA): Fascinating company that makes synthetic stuff for bone grafts and bone reinforcement, and seems to be on the verge of breaking out as a business. They had the best presentation I heard from a little guy -- I even got past some of the jargon -- and their market is growing as elders break bones and we push our children and our peers too hard and they fall down, get hit with lacrosse balls and otherwise require bone work.
Biogen (BIIB): Simply put, best presentation at the conference by far! If you are looking for a mega-cap biotech, they are in strong shape. CFO actually answered my question and confirmed what ChangeWave surveys told me two years ago: Ritxuan sales in arthritis markets are exploding. That is not a plug, it's the truth.
Dentsply (XRAY): World's leading supplier of all the stuff used across all facets of dentistry -- an interesting play on international growth in incomes, especially in Asia. Too much jargon but a stock chart to die for. For the conservative investor who thinks cavities increase with income.
Crucell (CRXL): This is the world's only pure play on vaccines and the leader (the Intel inside) of the next generation of vaccine manufacturing. Strong, obvious presentation --- another non-USA guy -- with no news for those who follow the company, either good or bad.
Draxis Health (DRAX): This Canadian company had a strong presentation and surprised the few in the audience. They make radio isotopes and are also a contract manufacturer with hard to come by sterile capacity. I have followed them on and off for years but will spend a lot of time looking at them the next few days. They have a major generic radio-isotope coming off patent next year and a new deal with Johnson & Johnson worth $120 million.
My conclusions:
-- only attend sessions at these conferences if the presenter is not from the U.S.
-- lots of great product things happening in all aspects of the life sciences industry -- the best place for the aggressive growth investor, by far, right now
-- European tourists are making NYC too expensive -- unless you walk ten blocks into a real neighborhood where you get linguine with fresh clams for $12. The single malt -- a Macallan 12, nothing more distinguished available -- cost $20 for a double.
-- you need to come back tomorrow because I will do this again after more, hopefully, non-U.S. presenters and some sushi. Some serious sushi.
See ya