Something Brewing At Dendreon? (DNDN)
We just noticed a large options volume alert over at Volume Spike today, and it is one that biotech investors may care about quite a bit more because of the timing. We have witnessed a flurry of trading in Dendreon Corp. (NASDAQ: DNDN) November stock options activity today.
We have seen what would represent more than 2 million shares in a risk reversal trade, although it could be called a myriad of terms depending upon your sophistication in trading. Frankly, most would call it a synthetic straddle.
As far as our calendar is concerned, we didn’t have any major event risk scheduled on the calendar until 2009.
After looking around there is actually some data coming out as soon as October, but the biggest data is still out into next year. This is probably simple to explain. Either someone put on a massive belief trade or they are hedging a large position of stock.
Jon C. Ogg
July 31, 2008
Speculative Prostate Cancer Stocks On Ropes (DNDN, CEGE)
Investors have been warmed up to biotech stocks in recent weeks, but a trend is starting to emerge where investors want companies that are either very close to commercialization of a key product or one where there is a diversified portfolio of molecules and drug candidates with various indications. Cell Genesys, Inc. (NASDAQ: CEGE) and Dendreon Corp. (NASDAQ: DNDN) are two companies who had promising prostate cancer hopes in 2007, but they have gone to the wayside and today is not looking any better for the companies.
Cell Genesys Inc. (NASDAQ: CEGE) is seeing a very poor showing today. Its shares are down 12% to $2.63 and it hasn’t even traded its average daily volume of a normal trading day right after 2:30 PM EST. This is a low not seen since the end of March.
Last week we saw a shelf filing from Dendreon Corp. (NYSE: DNDN) allowing the company to raise up to $300 million for marketing and development of PROVENGE for prostate cancer (if and when it is approved). The stock has been holding up right under the $5.00 mark, but today the stock is now at a 5-day low at $4.85 and a low not seen since the end of March. There is likely a fear that a deal is coming much sooner rather than later as we have seen four-times normal volume.
The culprit here could be a published story in Proceedings of the National Academy of Sciences about lifestyle change studies of 30 men with “low risk prostate cancer” and the study found that many disease-promoting genes (including those associated with cancer, heart disease, and inflammation) were “downregulated” or “turned off” and the protective and disease-preventing genes were “upregulated” or “turned on.” For whatever it is worth, the study/article concludes “we’ve raised more questions than we’ve answered, and we need larger, longer-term studies.”
It is hard to imagine that a small university study would unseat these companies further, but we are talking about small cap questionable stocks.
Jon Ogg
June 18, 2008
BlogFile: Dendreon Corporation (DNDN)
BioHealth Investor.com
COMPANY BlogFILE
updated: May 15, 2007
DENDREON CORPORATION
3005 First Avenue
Seattle, WA 98121
Phone: (206) 256-4545
Fax: (206) 256-0571
www.dendreon.com
Investor/Public Relations
(206) 829-1500
ir@dendreon.com
COMPANY DESCRIPTION
Dendreon Corporation is a Seattle-based biotechnology company focused on the discovery, development and commercialization of novel therapeutics that harness the immune system to fight cancer.
Through innovative science and technology, is striving to develop and commercialize products that address unmet medical needs, improve survival and have a favorable safety profile.
BUSINESS INFORMATION
Public company
Ticker: DNDN
Market: NASDAQ
Industry: Biotechnology
LATEST BLOG COMMENTARY
Dendreon, the Day That Could Have Been and What to Expect Now
24/7 Wall St.
May 15, 2007
Why Did the FDA Decide to Flunk Dendreon’s Provenge?
SeekingAlpha
May 14, 2007
Dendreon - Is Provenge Snake Oil or Cure?
The Disciplined Investor
May 12, 2007
DNDN… is it Over?
Echo To All
May 12, 2007
Rantasorous Rx
Health Business Blog
May 11, 2007
Comments From Dendreon’s Conference Call (May 10, 2007)
24/7 Wall St.
May 10, 2007
Dendreon Gets Complete Response Letter
Eye On FDA
May 09, 2007
Dendreon Nailed by FDA
24/7 Wall St.
May 09, 2007
Dendreon: The Short Story
SeekingAlpha
May 09, 2007
Dendreon: The Next Genentech/Amgen?
SeekingAlpha
May 04, 2007
Source: BioHealth Investor.com
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