Biotech Sector Outlook Improves
Friday June 6 2003 5.30PM
"The dismal times faced by Aussie biotechs
may be set to end" said Mr Mark Pachacz co-editor of Bioshares,
Australia's independent biotech stock report.
"The Nasdaq Biotech Index has increased
19 per cent in the last two weeks and a turnaround in sentiment
in US markets has the potential to stimulate interest in Australian
biotech and pharmaceutical stocks" he said.
The basis for this boost in performance can
be attributed to several good clinical trial results presented
at the recent American Society of Clinical Oncologists conference
and several new drugs approved by the FDA.
Although many biotech, pharmaceutical and healthcare
stocks remain out of favour with Australian investors, more than
a dozen have posted strong growth over the last three months.
Stocks from the broader ASX Biotech and Healthcare Sector that
have been heavily supported include Clover Corporation (+75%),
Epitan (+72%), Peptech (+72%), Novogen (+60%), Psvida (+59%),
Benitec (+57%), Chemeq (+52%), Arrow Pharmaceuticals (+42%), Biota
(+42%), Imugene (+30%), Ventracor (+28%), Compumedics (+23%),
Resmed (+23%) and Agenix (+17%).
The latest edition of Bioshares identifies
six stocks that are likely early beneficiaries of a positive shift
in sentiment towards the biotech sector. Peplin Biotech, Progen
Industries, Antisense Therapeutics, Prana Biotechnology, Prima
Biomed and Metabolic Pharmaceuticals are six speculative grade
drug development companies that stand to gain ground if US trends
are reflected more strongly in the Australian stockmarket.
"Traditionally the Australian biotech
sector has lagged North American markets by several months, but
the lag may be shorter this time because of the significant increase
in interest by Australian investors in global biotech investment
trends over the last three years" he said.
To obtain a copy of Bioshares edition 25 email David Blake
and it will be sent by return email.
Bioshares is published by Blake Industry
and Market Analysis Pty Ltd, a Melbourne-based research company
that specialises in analysing companies in the healthcare and
For enquiries: David Blake, Bioshares Media
Contact, +61 3 9326 5382
Web Site: http://www.bioshares.com.au