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the next immediate support would be at $0.69 based on chart with resistance at $0.80
I reiniterate, Fundamentally its not worthy of the current mkt price, fair value is abt $0.55 as this company is still not profitable though it recently gotten the CE and by virtue, its a high beta stock so it will be positively correlated to the overall market sentiment.
just some ideas to ponder over.
Where is the next support?
If I were JNJ this is the best time to buy... when the stock is beaten up so badly.. but the I am no JNJ sooooo........
How can you say J&J not stupid when they used $1.4b to buy a lousy company. My guess is they will buy Biosensors eventually
this is bad
dear all,
now you should understand why proper TA trading is so important. hope you guys when benefits from BIG lesson has given to all of us.
BIG has broken the support line, it look quite bad and i hope it can close abv 76.5c else most likely it has peak at 1.1 for the short term. the consolation is the vol is very low.
it has now dropped to my personal resistance level 0.75, but now that it's there i dare not buy. Hope there is Rate cut rally, but then everybody will be taking profits. There may be a chance that FED dun cut, since it already cut 0.75 a few days back. This is why market is down.
Cut big, people scared,
dun cut people scared.
Best is just wait for recession to come then people will be happy!
I dun think any take over will arrive soon enough even come also have to wait for the lowest price.
J&J not stupid.
logical and make sense
Although It was disappointing that Biosensors did not sustain its uptrend movement, despite having '2 CE Mark, the sharp drop is also partly contributed by the hugh mkt volatility.
Surprisingly, it seems to have a hugh gap down on Tues, and then proceed to stay at around cuurent levels of 0.80cents. In previous rallies, due to rumours of CE mark, etc, the rally has always fizzled out, with BIG dropping to its low 0.70++ level.
The next week should test how resilient, the 0.80 level is as contra players who recently bought at the high (especially on Monday, after CE news) need to come out of their positions - although I would think that a large majority would have quitted by now due to the huge selldown seen in the mkt.
Technically, it would look good, if the tuesday low of 0.765 is not broken, or preferably if the price can stay above 0.795, by end of next week - which means that BIG would have achieved a 'higher low' than the recent few mths.
Also like what Cashier Tan has mentioned - IF BIG can break out of 0.85, then it will have a chance to cover the gap, with resistance at 0.895 - 0.90.
On the fundamental angle - I would like to think that BIG should no longer be considered as just a 'concept stock', as the 'CE mark' is real, and BIG will no longer be subjected to rumours of CE mark rejection, etc, which has been the cause of its hugh volatility.
The next big event for BIG would be the announcement of its 'LEADERs' clinical trial results, which should be announced by MAY (probably during the EURO PCR), and from the TONE of the CEO's voice, during the audio conference, should be good, as they are planning to leverage on the results to promote the Bio-matrix aggressively. I do not exclude BIG announcing the Leaders trial results earlier, (maybe at the Spore convention, normally held in FEB, BUT this is just speculation on my part).
One of the analyst, Credit Suissze mentioned and I quote :
" Says company should stop preparation for U.S. FDA application for BioMatrix, seek out-licensing opportunities instead, and refocus on Asian stent markets as likely much higher future growth rate than U.S., Europe."
It actually sounds quite logical for BIG to concentrate on Europe and Asia, where the momentum is strong, with immediate profitability,(as the CE mark is obtained) while the US trials which is burning away their cash flow, be licensed off to some other medical device company, which should also provide some form of licensing lump sum pymt, and more importantly, stop the burning of their cash.
THe above is pure conjecture on my part.
Not a call to buy/sell/hold.
U.K. to Keep Reimbursement
For Coated Heart Stents
By KEITH J. WINSTEIN
January 25, 2008 5:14 p.m.
The United Kingdom's National Institute for Health and Clinical Excellence, or NICE, will keep its existing recommendations on the cost-effectiveness of drug-coated stents, according to people familiar with the matter.
Stents are tiny scaffolds that prop open clogged arteries. Last year, the agency opined in draft recommendations that the fanciest stents -- those coated with drugs to keep arteries from reclogging -- weren't worth the extra cost.
The reversal is good news for coated-stent manufacturers, including Boston Scientific Corp., Johnson & Johnson, Abbott Laboratories, and Medtronic Inc. Had the agency adopted its draft as a final recommendation, the National Health Service would likely have reduced its coverage of the coated stents.
A bare stent costs about $800, compared with roughly $2,000 for a coated stent. But arteries opened with bare stents clog up and require a repeat procedure about 8% of the time, compared with roughly 4% for coated stents.
The agency presented the decision under an embargo to British doctors Friday. News of the decision, set to be announced next week, was first reported by the Web site www.theheart.org.
Write to Keith J. Winstein at keith.winstein@wsj.com
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Looks like crossing the 90cts-$1 may be a problem...ultimately the co has to come up with rights issue to prevent capital erosion since most of its purchases are thru issuance of new shares....more dilution expected..don't forsee can cross $1.23 as est by OCBC...the last high was $1.10 in 2007 and 2008 about $1.08 recently after CE approval while previously it ever touched a high of $1.55
LET's really hope and pray.
analyst to me have been ANALyst ......their pay master is not us but the bank or brokerage house or some BB.....
KNN, that means the BBs use the media to play out retail investors and want to collect cheap. Always like that. Do not believe the TPs and media reports from analysts. They are out to fool you so that their fund house can make money manipulating retail investors mind and sentiment. Where got before CE TP $1.40, 2 weeks later got the CE TP revise downwards to $1.23. And who is the idiot analyst that said BIG is a "one trick dog"? One good trick in US$5.5B a year market can make you a blue chip index stock in SGX liao. That "one trick dog" analyst is just too dumb to understand what are top class clinical results, proprietary IP and patents, licensing and the kind of profit margin DES can give. The margins reported by the CFO is only tentative margin for FY2009 because he is targeting 1% global sales (US$50m) of Biomatrix. BIG's CEO sales target for Biomatrix is about 10% of global sales (US$500m) in 2010 (FY2011). When this 10% market share is achieved, the cost of manufacturing each biomatrix DES decreases significantly. I believe it will only cost US$300 to 350 per DES cost of manufacturing if BIG has the economies of scale when annual Biomatrix sales is US$500m at average selling price of US$2,000 per DES. We are talking about US$400m of gross margins for Biomatrix DES alone in FY2011. The more you produce, the cheaper the cost of manufacturing, the higher the margins. I believe in FY2009 Biomatrix has a very very high manufacturing cost due to initial low sales volume. But things will turnaround very quickly when Biomatrix is launched in all the approved countries and sales go full steam. Also, we have not included licensing royalties which UBS reportly said ranges from 30% to 40%. Say if in 2010 BIG's licensees also has total global sales of US$500m, BIG will receive US$150m of cash royalties pure profit at zero cost to BIG. If these market shares are achieved by BIG and licensees, we are looking at gross profit of US$400m plus US$150m royalties. You do the maths yourself Mr "One Trick Dog" analyst.
Yes, what irked me was on THAT day when they posted this outrageous remarks from an unknown LOCAL house dealer, there were numerous positive calls by OTHER ANALYSTS like CS , Citi and DB but they continued to ONLY post and HIGHLIGHT OCBC 's DOWNGRADE to $1.23 as the headlines even though OCBC continued to call a buy. That was on the 21st of Jan At least ....the next day on the 22nd they posted ( CS and citibank's call and today....DB's ....BUT......maybe too late????? !!!!!)
So let's hope ...sorry to ask again, when is results?
On 21 Jan this news come about......
DJ MARKET TALK: Biosensors Off 4.3% As Mkt Sells On CE Mark News (2008/01/21 11:04AM)
--------------------------------------------------------------------------------
0304 GMT [Dow Jones] Biosensors (B20.SG) off 4.3% at S$0.995 on strong volume after trade resumption as investors sell on news company has won coveted CE mark for its flagship Biomatrix drug-eluting stent, which allows it to commercialize product in countries that recognize award. Local house institutional dealer says shares not worth chasing given huge run-up to announcement; "Biosensors looks like a one-trick-dog with no other product visibility in the pipeline." Adds stock "outrageously expensive" based on valuations, while earnings outlook bleak as firm not making money, reported US$11 million loss in 2Q. Support at 20-day moving average of around S$0.91. (FKH)
Contact us in Singapore. 65 64154 150;
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Today 25 Jan they post another story..... on the CEO & M&A .... your guess is as good as my..... Bengster u the best....... 
Thanks this news is a relief and good timing. Do you know what is DB's target? Wish BIG would make an announcement soon as to talks if there is such a buy-out offer. When are they expected to announce their results?
DJ MARKET TALK: Biosensors New CEO Bodes Well For M&A-Analyst
(2008/01/24 16:55PM)
0855 GMT [Dow Jones] Biosensors (B20.SG) off 2.4% at S$0.80 as recent
> strong interest, after company received coveted CE mark for its flagship
> BioMatrix drug-eluting stent, wanes. But Deutsche Bank analyst Pyari
> Madhava Menon says latest appointment of medical device veteran Michael
> Klein as CEO bodes well for company, may help drive up share price given
> his "strong track record of successfully positioning companies he led as
> acquisition targets." Says Biosensors may be buyout target as larger
> companies like Johnson & Johnson (JNJ) and Boston Scientific (BSX) - which
> already have stents, channels to distribute other products - may be better
> positioned to "unlock the best value" of Biosensors'' products; "from that
> perspective, we still view Biosensors as an acquisition target and the
> appointment of the new CEO with a track record in M&A adds more conviction
> to this view." Support at this week''s low of S$0.765. (FKH)
ayway, still have to thank bengster and others who posted detailed info abt big to enable us to buy at sub 70c till today. i wont trade based on emotion or percieved value. the price is reality. time to cut, will cut, time to buy, will buy.
BIG 2008 low is 0.585, before the approval of CE mark. It will post loss 07 and 08 not untill a margin gain on mid 09. It dropped drastically of 15 cents to 8.05 cents on 24 Jan 08 depite the Asian stock market rally, this may attributed to Hang Seng Index. Now, how far it can go down further, below 70 cents? Its 07 low was 58.5 cents.
My favourite GenInt has similarity, it went high till 1.075 when the IR was hot and rally. Now, its lowest went down to 0.585 last Tue. I download 100 lots each at 0.585 and 0.59 respectively on last Tue. I had been hold these 200 lots Right Issue's shares since it offered early this yr. The moral of the story is as far as the so-called expected income don't come materialised, don't keep the stock, use the money invest others. My own encounters,though sigh but life still go on. Dear friends, my heartfelt thanks for you all, had one way or another, to mentor me in this volatile investment environment. Cheers and best regards.
