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Genentech (DNA)


mskern77 said: "What do you guys think? Cramer has built this stock to be the "God" of all biotech pharmacy stocks of the future. I admit I like watching cramer I don't believe everything he says, but it is fun to watch a guy get so ADHD (attention deficent hyperactive disorder) about stocks. I know this is a bit off the topic of DNA, but I thought it was funny that Cramer, at the start of last week built up Caterpillar (CAT) to have and I quote, "huge blow out numbers", and "you could make a lot of money on this stock by Friday(7/22)" I believe CAT had good numbers, I think CAT is a great company. But when Cramer goes off on this stock for 20 mintues, people go nuts and throw money at CAT because he said so. Anyways, I find it quite funny, that he hasn't said one thing about CAT since last week, since the stock is now trading back down to where it was last week. I know you can't be right on all your picks, but just come out and say that you made a mistake by telling everyone to go out and buy the stock to make money by Friday. Even, today a defense stock that Cramer mentioned on Thurday, GEPT, is up 80% from Thursday until mid-day today. I think people should really enjoy Cramer for who he is, but not throw your money at a company before you research a company and make your own call to pull the buy trigger. Anyways, what are your guys thoughts on DNA, could be a blockbuster, but with a P/E of 108 it seems pretty expensive. But, Cramer has told everyone to get out of their other biotechs and into Genentech, I imagine that people will be buying tomorrow like crazy just because Cramer pumped it so much. But, after the crazy crowds have left, do you guys feel that this is a potentially hugh healthcare biotech company? I think I will do some of my own research and see if I can understand what kind of blockbuster drugs they have in the works. Thanks for all the input!"

Darren said: "genentech has a ton of potential. its definitely worth more research"

StockFreak said: ":eek: DNA is up 30 points this year. Take a look at IDIX, and ENCY and if you like them wait for a pull back. The whole biotech index ($BTK) may be overextended tho."

Avernus said: "I might just be biased...but I see no reason to get out of biotechs... Even though, genetech's look very promising..."

mskern77 said: "Hi guys, Well, I am not going to post groundbreaking stuff, but this is a little more about Genentech and their research component. From their website it looks like DNA focuses on three main areas: Oncology (cancer), Immunology (immune system), and Vascular Biology. In 2004, DNA invested $948 million or 21% of their operating revenue on research and development. It looks like they have a good dozen drugs in different stages of clinical trials. It is my understanding to financially back a drug just thru clinical trials phase I-III takes millions of dollars and years to complete. So, the drugs that they currently have in their pipeline probably were synthesied a few years ago, prior to there entering the FDA clinical trials. I wonder what DNA is currently working on? One drug that has made it thru trials and is awaiting FDA approval is TarcevaŽ, a pancreatic cancer drug. As I read on further it says the drug has recieved FDA approval in November '04, but it says in Nov '05 it is to recieve priority review designation by the FDA. Not completely sure what that means, but everything looks pretty good at the company, at least from what little research I did this morning."

StockFreak said: "They are a mega cap company for a reason. Definately a solid company mskern and a solid long term investment."

mskern77 said: "Stockfreak, As I have looked around the forum, I have noticed that you have a lot of good imput, as well as many others on this site. I was wondering if you would be willing to indulge us with some of the sectors that you like, as well as some companies that you believe in, or you feel have strong future growth. As I have looked around this site, since I am new, I have been impressed that most people don't have a big head about their precieved stock knowledge. I am so sick of the message boards that are on yahoo, where people brag about how many shares they have, or they just talk smack at each other about pointless topics. It is a relief to come to this board, and be able to post a thread that you feel will be answered by honest hardworking investors, such as myself. My hope is that this board can start a "sort of long distance" investors club. Where we can not just kick around ideas, but if we believe in potential companies, then we can dive into analyzing them and break down the company fundamentally having three or four people (or whoever is willing to participate) work as a group to analyse and come to a conclusion about where this company is headed. Anyways, I know that is a pretty lofty goal, but I think that it has potential on this site. Thoughts?"

StockFreak said: "Absolutely Kern, thats why im here. Putting a few things together tonight. Will let you know what im working on before the bell tommorow.Im sure we all have something to teach the other, and we will all end up better investers if we can articulate are startegies. Exposes the flaws."

StockFreak said: "I like GME this morning after a significant pullback the last 5 trading days. Before that it seemed like the stock could not be stopped. A good retail play in anticipation of the new game consoles. Closed just above $34.00"

StockFreak said: "Electronic Arts posted some not so great news this morning, may have a trickle down effect on GME"

mskern77 said: "StockFreak: I think game spot has great potential, I think I would wait for a pull back in price to get in, but it is hard to time, especially when they get downgraded and they keep going up. I am holding positions in PEP, BBY, JWN, COP and have a speculative bet in siri. Besides Sirius I believe that these companies are solid, and have good growth potential. Sirius is my speculative play, hoping to make it big, by holding for the next 3 to 5 years hoping for a good transition with Howard Stern, and hopefully positive earnings in 2007, will bring the stock up. I am looking for more core positions that are solid. I have been looking at MO, UNH, LMT as solid plays. I am also kicking the decision to get into DNA, I would like to but want to wait for a pull back, but the way Cramer, keeps pumping this stock I am not sure if it will pull back much. I have also looked at a company called Quest Diagnostics (DGX). I think this stock has potential also. What do you think? I think that I might buy into MO, their dividend is apealing to me. Talk to you later"

StockFreak said: "I locked in some profits on a couple of my energy plays (still heavy in energy tho) and SIRI today. I rotated some of my free cash in to some quality U.S. industrial, namely PPG (took a hit from DD). They have $200 million dollar stock buy back in the second half of the year.The pros seem to agree thats the sector to be in with consideration to GDP growth and interest rates. Going to take a look at some of the long term plays you mentioned and throw in my 2 cents as soon as i get them together."

mskern77 said: "Hey, Let me throw a couple more stocks your way for a thumbs up or thumbs down. Chubs the large insurance company (CB) stock up $2 their earnings far exceeded estimates. Also a very speculative play, but potentially very profitable. Identix (IDNX) a key player in the biometrics (thumb and irius technology) as well as other saftey protection products. Well, I will talk to you tomorrow."

StockFreak said: "MO- 15% international tobacco growth, probably will raise dividend later in the year, litigation issues looking better.-solid UNH-I own it, so you can guess how i feel about it. Good healthcare play. IDNX-Trying to do some anectodal research on this one. A good friend of mines father works in the field, have yet to get a minute of his time tho, but will let you know. As far as DNA and Cramer (smart dude), id bet his answer to you would be, "dont buy all at once"."

Secret said: "Well, a family friend of mine works for Genentech and needless to say she has her own private jet through them(high up in the company). I asked her about how the company was doing because I was looking into buying the stock. I am only 21 and have yet to buy any stock. This was about 3 months ago, and she had told me to buy as much as I could afford. Well I wish I had listened to her and gone right out and done just that. It is just a little to expensive for me to really see any gains on a small increase in the stock.... I can't buy enough to really make it worth it but I think now that even the little I can afford over the next year with their new cancer cure coming out that it will go through the roof. Do you think... me being so young, that I should invest into this or keep my money in the bank."

HappyHarry said: "Being young should not prevent you from investing. Just make sure its money you can afford and put it to work for you."

mskern77 said: "Secret, Welcome to investing. I think that you should look for sound plays, companies that pay dividends and have large growth potential. I would also put some money in (DNA) it looks like a sound company. I am hoping for a pull back in price, who knows if we will get one. I thought google at 180 was over bought shows what I know. I think the best advice is from Stockfreak buy a little over time, and keep on building your position. No one makes an money having their money sit in a bank acount it has to be out in investment opportunities to make your money grow. Have you talked to your friend that works at Genentech lately? It seems to me with the pipeline of drugs coming out, that Genentech could be even larger in the Future. I don't own the stock yet, but hopefully in the coming months."

mskern77 said: "I don't know if you have seen the explosiveness of this stock ISRG, I looked at their webpage and they create surgical equipment (Da Vinci) for cardiac and other highly sensitive surgeries. Their stock has been explosive up $12 yesterday and up $7 today. I would be afraid to get in at this point afraid the tnt might backfire on me. I wanted to ask if you have been in touch with the friend that works or is associated with the biometrics field IDX? I just saw the Island today, like it. I would give it an 8 out of 10 It reminded me of IDX, there is a lot of futuristic stuff in this movie and all the security scanning reminded me of this company, lol."

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