Staying Skeptical on a Biotech Buzz

Vical (VICL) is all set to present data for its phase III study of Allovectin as a treatment for stage III/IV melanoma. The $270 million company has lost almost 20% of its value in the last three months, ahead of the data. While retail investors are overly zealous about Allovectin's likelihood of success, you should consider a few things.

The bull case surrounding Allovectin is quite simple: The vaccine works by injecting a melanoma lesion, enabling the immune system to identify the lesion as foreign. Then the immune system naturally targets melanoma-specific antigens, rather than targeting just one antigen like other approved immunotherapies (such as Dendreon's (DNDN) Provenge)....684 more words left in this article. To read them, just click below and try Real Money FREE for 14 days.

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