# Biotechs and Healthcare - The Next Boom



## billhill (10 November 2006)

Hi Guys,
Being involved in this sector myself obviously i take quite an interest. In the last 10 years we've seen an IT boom and a mining boom, so which is the next sector to boom. Well according to the report below its the biotechs and healthcare.

http://www.citynews.com.au/news/Article.asp?id=5318

Indeed state governments seem to be pouring money into the industry and of course there is always demand for healthcare products. So is it the perfect time to position oneself to ride a boom all the way or is this just unwarranted hype. Be interested to here others thoughts.


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## The Mint Man (10 November 2006)

*Re: Biotechs and Healthcare - The Next Boom.*

Havnt read the report you posted yet but one would think that the healthcare industry, aged housing etc. will do well in the years to come with  all the baby boomers ageing, 70 million on the verge of retirement in the US alone!


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## Out Too Soon (10 November 2006)

Picked Pharmaxis, PXS in the November stock tipping comp. Have added to my initial purchase twice, it's going very well.   I have been watching a few other biotechs as well. Resources wont run forever, much as we'd like them to.


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## pods (10 November 2006)

I've assumed that it will be the next boom, however i've been burnt somewhat with CCE (bought round 40c, sold at 35c) and NLS (bought 21c, still holding). I figure the only happiness NLS will bring me within the next year is some help offsetting potential capital gains in june next year.


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## Ken (10 November 2006)

The trouble with biotech is the boom actually happens for companies at different times.

 a boom is hard to call.

biota going from 60 cents to $2.80 is that a boom. its now 1.40....  but could go over 2.80 in the future once clinical trials are complete.

I find booms in this area hard to pick because its more company based than sector based....

ITs not like gold, where demand is high...  People are always going to get sick, its a matter of whethe the marketing is right to cash in.

As for aged care. I think its a bit over the top....  Whoever thinks all the baby boomers are going to pack up their bags and move into a village is kidding themselves.....


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## billhill (10 November 2006)

Ken said:
			
		

> a boom is hard to call.




Yes to a point. The thing about the biotech sector is that its largely been neglected. The question is does that make it look cheap. Plus its a real growth industry with huge potential. I think if we see a few biotechs run up in price it could lift sentiment in the sector. I don't think the industry is well understood here in australia like it is in the US or europe. Thus any lift in profile might spark a interest by the mainstream fund managers.


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## stickman (10 November 2006)

HI

put mbp on your watchlist this one could turn the sector around ?

chart wise mbp looks to breakout this week 


Metabolic, Heartware,chemgenix, and pharmaxis among the top picks for 06/07
Radar investor relations survey of 16 leading biotech analysts

metabolic was a screaming buy at .45 see page 16


http://www.metabolic.com.au/files/L92S02U8KU/ASX_2006AGM_ChairmanandCEOspresentation_27Oct2006.pdf

cheers

holding mbp


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## billhill (14 November 2006)

Big interest from international investors and big pharma in the Australian biotech industry. This is the jist of the article below.

http://home.businesswire.com/portal...d=news_view&newsId=20061113006416&newsLang=en

Good to see some more interest in the sector here.


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## Sean K (14 November 2006)

CIR - Circadian Technologies is a goodie. Held it for a while between $1.10 and $1.40. Looks to have come back into buy territory to me. Invests in other biotechs and they seem to have a good stable of things. 

I've been looking at Nano and it's application to medicine for the next boom. Haven't found anything I really like yet.


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## CanOz (14 November 2006)

kennas said:
			
		

> CIR - Circadian Technologies is a goodie. Held it for a while between $1.10 and $1.40. Looks to have come back into buy territory to me. Invests in other biotechs and they seem to have a good stable of things.
> 
> I've been looking at Nano and it's application to medicine for the next boom. Haven't found anything I really like yet.




Kennas, i took a position in SPL (Star pharma) yesterday as i liked what i heard on the ABC about them, and i thought the chart looked good. Then an ann comes out saying they will have a delay in approvals and they hit my stop! SPL is a nano form though, but i think i'll stand aside on them for the time being.


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## Kauri (14 November 2006)

One to watch may be RHC... is moving out or triangle/consolidation with increased vol, but note that old high of $11 may stall it.


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## stickman (14 November 2006)

Hi Kauri

rhc showing a large cup &handle

cheers


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## Kauri (14 November 2006)

stickman said:
			
		

> Hi Kauri
> 
> rhc showing a large cup &handle
> 
> cheers




        So it is..


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## billhill (14 November 2006)

There is obviously alot of potential in this sector. The biggest problem (for the fundies anyway) is picking the right technology as there seems to be numerous angles to treat every disease. 3 companies that i like in particular are IBA health (IBA), Phophagenics (POH) and Labtec systems (LBT). But there seems to be from the other post many opportunities in the sector. 

Big question is will we see a flood of money into the sector over the next couple of years leading to a boom. Like the current mining boom i have read numerous reports suggesting there is going to be a shortage of skilled worker for the biotech industry. Is this because they expect massive growth or is it just a lack of training? I don't know but if it takes off like the mining boom be asured i'm going to be there to ride it all the way.


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## Fab (15 November 2006)

I personally like RBY in this sector


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## krisbarry (15 November 2006)

LVL has a foot in both doors...following the mining boom with affordable housing, and building retirement/aged care houses too.


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## Kauri (15 November 2006)

Kauri said:
			
		

> One to watch may be RHC... is moving out or triangle/consolidation with increased vol, but note that old high of $11 may stall it.




  RHC   Well, has powered through the old highs at $11, be interesting if she can hold the quick gains or if late in the day sellers bring her back down to test the $11 mark..


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## Out Too Soon (22 November 2006)

Out Too Soon said:
			
		

> Picked Pharmaxis, PXS in the November stock tipping comp. Have added to my initial purchase twice, it's going very well.   I have been watching a few other biotechs as well. Resources wont run forever, much as we'd like them to.




Was stop-lossed out last week, (PXS), my November stock tip was starting to look a bit _sick_ : 
Back in today, PXS is rocketing again on another great ann'. Bronchitol has fast track approval for Cystic Fybrosis treatment in the USA. On top of their Aridol (Asthma) approval in Europe there'll be no looking back now.


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## Out Too Soon (23 November 2006)

SOrry all!   PXS did shoot up to $3.42 today then dived again until I was stop lossed out @ $3.26.    very frustrating 
If it's going to swing wildly like this in a day should be day trading it instead. All I've been doing is making Pestpac rich.


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## rub92me (24 November 2006)

One that I like is Genetic Technologies Limited (GTG). They hold extensive patents on non-coding DNA, which gives them a solid (and increasing) licence revenue. In addition they have a nice marketshare in DNA testing and some interesting research projects. Bought in a couple of months ago as a long term hold to see how this pans out and recently seems to have found some support above my purchase price.


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## CanOz (24 November 2006)

Out Too Soon said:
			
		

> SOrry all!   PXS did shoot up to $3.42 today then dived again until I was stop lossed out @ $3.26.    very frustrating
> If it's going to swing wildly like this in a day should be day trading it instead. All I've been doing is making Pestpac rich.




Curious on what criteria you use to set your stops? I just glanced at the chart for this and thought 2.99 looked like a great spot for a stop.

Cheers,


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## Gurgler (29 January 2007)

Saw this article today on FN Arena.

Tissue Therapies Announces ‘Very Positive’ Deal
FN Arena News - January 29 2007 

By Rudi Filapek-Vandyck

Aussie biotech Tissue Therapies (TIS) has reported a supply contract with Nasdaq-listed Invitrogen Corp for the promotion and sale of its VitroGro protein platform. The agreement will result in the world-wide distribution of Tissue Therapies' VitroGro for use by biomedical scientists in research institutions and pharmaceutical and biotech companies.

Even though few terms of the agreement have been released, analysts Tanya Solomon and Scott Power at ABN Amro Morgans view it as a "very positive" step for the company.

Under the agreement Tissue Therapies' VitroGro will be manufactured under contract with an agreed supply price to Invitrogen. Additional revenue will be generated by half yearly royalty payments as well as additional one time payments on the achievement of agreed milestones. Sales are expected to start early in the second half of calendar 2007.

ABN Amro Morgans intends to follow up with a research report shortly. At the moment the recommendation for the stock is Buy with a price target of $0.71. The shares closed at $0.48 on Thursday.


Anyone holding?


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