Observations about Generex (GNBT), Keryx (KERX), Sunesis (SNSS) and Cel-Sci (CVM)

Written by Vinny Cassano and Peter Depalma

Wednesday, 06 January 2010 07:45

A comment regarding Generex (NASDAQ:GNBT) and some observations about Keryx Biopharmaceuticals (NASDAQ:KERX), Sunesis (NASDAQ:SNSS) and CEL-SCI Corporation (AMEX:CVM):

What do you feel are the challenges to third party reimbursement for both MannKind and Generex? ...Although if I understand correctly, Generex product is supposed to meet or exceed absorbtion vis a vis needles. Is your understanding of the second part of the question the same? Thanks

Vinny's Take: I'm not sure what specifically to comment on regarding your third party reimbursement question, but my business would tell me that Generex and MannKind should both have solid and clear contracts with specific language that outlines exactly what is expected by each company - who gets what and when and who pays for what and when. Should be a no-brainer, but of course if Oral-Lyn is being sold in countries that are - shall we say a little shady - then there is always the black market factor and the third parties will make out a lot better than Generex will I'm sure.

As for the second part of the question, from my understanding Oral-Lyn is just as effective a method of insulin absorption as needles; the real benefit is that the diabetic would no longer have to stick his or herself with a needle - a HUGE quality-of-life improvement, in my opinion.

Peter's Take: I'm looking for GNBT to make some news here shortly. Lots of pending items that investors are waiting to hear about. Don't be surprised to see that stock move.

Disclosure: Vinny is long GNBT.

KERX: Shares of KERX finished the trading day on Tuesday twelve cents higher after a press release announced that a Phase III trial design for Zerenex has been agreed upon with the FDA.

In the PR, Keryx stated that two Phase III Zerenex trials will be launched later this year.

I think we'll see some ups and downs with KERX leading into the launch of the trials- a perfect scenario for buying the dips.

There is quite a bit of hype with KERX, and rightfully so, but remember to keep grounded and understand that nothing is a sure thing in the stock market. Play the dips and spikes accordingly over the next few months in an attempt to bank a profit before the trials are too far along - that's my opinion.

That statement sounds easier said than done, but it's easier to watch a stock continue to rise after you've pulled half your money out to take advantage of a spike than it is to watch it collapse on bad news when your full investment is still in there - in my opinion. If you're already at least even on the investment and the stock drops, it's not as big a killer as it would have been had you not sold into any spikes along the way, at least that's what my experiences have told me.

Disclosure: long KERX.

SNSS: As shares of Sunesis Pharma traded back down to just over the one dollar mark early on in the new year, it offered another buying opportunity to those investors that may have sold into the recent spike to over two dollars after the company announced positive results for two mid-stage Voreloxin trials.

With a partnership always a possibility and Phase III trials probable for later this year, the one dollar price will prove to be a nice (re)entry point, in my opinion.

Disclosure: No positions

Peter's Take: Finally, check out the large insider buys at CVM. They may be an indication they are on the verge of making their long-awaited and highly anticipated announcements:

(see screen shots below courtesy of Vickers Stock Research)

Disclosure: long CVM

BiomedReports is not paid or compensated to report news and developments about publicly traded companies. Full disclosure can be read at the bottom of / About Us / Section

Add this page to your favorite Social Bookmarking websites

Set as favorite

Bookmark

Email this

Trackback(0)

TrackBack URI for this entry

Comments (6) add comment

Subscribe to this comment's feed

Barry Feigen said:

...
The December 3, 2009 Generex news release states:
"WORCESTER, Mass., Dec. 3, 2009 (GLOBE NEWSWIRE) -- Published in the journal Diabetes, Obesity and Metabolism, an independent review of clinical trials of Generex Oral-lyn(TM) shows that the oral insulin spray has a faster onset of action and shorter duration of action than insulin delivered subcutaneously." This answers the second part of the GNBT question above. Hope this helps.

Regards

January 06, 2010
Votes: +0

Roy Malis said:

	... I am a big fan of Cel-Sci but it is incorrect to imply that the listed insiders are exercising warrants because of any announcement that may or may not be forthcoming. Warrants (these included) are exercisable at a stated price independent of the share price for the term of the warrants.
	report abuse vote down vote up

January 06, 2010
Votes: +0

TooNiceStocks.com said:

	... CVM alerted at .70 and it ran to $2pps before Adam F. totally bashed CVM. We will be back very soon as well :)
	report abuse vote down vote up

January 06, 2010
Votes: -2

pheet said:

	... I think OCLS is a good buy right now...good 2010 milestones (lots of them too).
	report abuse vote down vote up

January 07, 2010
Votes: +1

joseph said:

	... huge amount of shareS!!!!!! next to nothing bought nominal at best would not use word large!!!!
	report abuse vote down vote up

January 07, 2010
Votes: +0

SYED AHMED1 said:

	... I am long CVM but failed to understand Peter's take on CVM. Is 15K consider a large buy for Penny stock..Doesn't make sense. but I do agree that announcements are coming sooner then we think.
	report abuse vote down vote up

January 08, 2010
Votes: +0

Write comment

Last Updated on Wednesday, 06 January 2010 09:47

* Your email address:
* Preferred Format:
* Enter the security code shown: