Top March 2009 Stock Picks ! ( Family Dollar Stores & Allos Therapeutics

1. ALTH 5.84 a share Target price 12.00 by 12/09

Allos Therapeutics, Inc. is a biopharmaceutical company that is focused on developing and commercializing small molecule drugs for the treatment of cancer. The Company’s lead product candidate, PDX (pralatrexate) an antifolate is in Phase 2 trial in patients with relapsed or refractory peripheral T-cell lymphoma. The Company is also investigating PDX in patients with non-small cell lung cancer and a range of other lymphoma sub-types. The Company’s other product candidate is RH1, a targeted chemotherapeutic agent, which is in a Phase 1 trial in patients with advanced solid tumors or non-Hodgkin's Lymphoma.
No doubt the market has cost investors a lot of money over the past year and a half. The image of people too afraid to open their 401(k) statements has become cliché. And the common wisdom says that years will pass before those losses are recovered.
But that’s not necessarily the case. Speculating on the right stocks could generate sizable returns, enough to fill some of the holes this recession has poked in your portfolio. That’s one of the reasons that Cramer’s a fan of calculated risk taking. The potential payoff is significant. Speculation’s also a way to keep things interesting. Instead of banking with the usual suspects – maybe Coca-Cola
[KO 40.85 -0.22 (-0.54%) ]
Johnson & Johnson
[JNJ 50.00 -2.44 (-4.65%) ]
[AAPL 89.31 0.12 (+0.13%) ]
– investors can put their money in a small up-and-comer.
So who’s the latest Mad Money Spec Friday pick? Allos Therapeutics
[ALTH 5.64 -0.42 (-6.93%) ]
, a biotech with a $5.64 share price and a market cap of under $500 million. Like all speculation plays, Allos has a catalyst – the probable Food & Drug Administration approval of its cancer drug – that should send the stock higher.
Allos makes an orphan drug called Pralatrexate, or PDX, used to treat peripheral T-cell lymphoma, a fast-spreading cancer that affects white blood cells. Remember an orphan drug is one that treats a very rare condition. So the FDA usually fast tracks approval, the company gets exclusivity rights to the drug, and the sales usually bring in big, big money.
Exclusivity or not, though, PDX is the only treatment for peripheral T-cell lymphoma, so there’s no competition here anyway. President Obama’s plan for Medicare, where the government will negotiate bulk drug prices directly with pharmaceutical companies, could hurt those with similar treatments, but not Allos. And orphan drugs in Europe, where the government already negotiates prices, usually cost the same as, if not more than, those in the U.S. Besides, PDX has been proven to extend patients’ lives. Don’t expect the White House to put a price on that.
On Feb. 4, Allos released data that showed patients who had previously not responded to treatment were responding to PDX, and for longer than expected. The stock popped as a result, and then the market’s decline took ALTH back down. Now ALTH is two points below where it was before the data release, giving investors a great entry point.
Cramer expects Allos to file for final FDA approval by the end of June, which means the drug could be on the market by year’s end. Worst-case scenario, analysts have said, PDX is available to the public by 2010. Sales for the drug could reach as high as $400 million a year, with the chance for even better numbers given PDX’s potential for off-label uses, much like Genentech’s
[DNA 85.55 -1.93 (-2.21%) ]",

Avastin. PDX is more potent than other chemotherapy drugs, so there’s a good chance it could treat other cancers.
Allos makes a great takeover target as well. The company’s a natural fit for any big-time firm with a blood cancer franchise, such as Celgene
got a bid.
Allos reports Tuesday, March 3, so Cramer cautioned against buying before then. The company has no sales yet, so management offer clues as to whether the company’s still on track and possibly even date-release dates on the horizon.
ALTH is a buy at $6, Cramer said, but no more. At $7, the deal doesn’t work. Investors who want in should remember to be patient and use limit orders.



2. FDO 27.44 A SHARE AS OF 3/1 , TARGET PRICE 41.00 by 9/09

Family Dollar Stores, Inc. operates a chain of more than 6,500 general merchandise retail discount stores in 44 states, providing consumers with a selection of merchandise in neighborhood stores. The Company’s merchandise assortment includes consumables, home products, apparel and accessories, and seasonal and electronics. The Company’s products include apparel, food, cleaning and paper products, home decor, beauty and health aids, toys, pet products, automotive products, domestics, seasonal goods and electronics. With a Dividend of .14 a share , is a great buy in this market !In the same boat as Wal-Mart, discount retailers are the some of the few companies showed success in 2008. FDO's stock price gained 36% in 2008.Recession time will prompt more people to go to the dollar stores to $ave MONEY!!!! Due to people needing to cut back, people are going to eventually go from Walmart to Family Dollar as both are in the same merchant category and serve much the same purpose, but Family Dollar seems to undercut Walmart's prices for many items... but does so at a cost: lack of the wide range of products that Walmart does, but from what I've seen, this doesn't effect business one bit.Not bad on debt, fairly good P/E. I'm seeing a lot more "recession fashion" and how-to's on living more cheaply....this company is made for these times.I do about 75% of my regular shopping there (condiments, small food, bread, milk, some clothes.) The stores should do well in hard times.family Dollar Stores . . . need I say more?

9 ( Nine ) For 09 , Risky Stock Picks ( 2009 )

1. Midas ( MDS ) 10.49 a share As of 1/1/2009
Midas, Inc. is a provider of automotive repair and maintenance services with over 2,550 shops globally. Midas retail shops, which are operated by the Company, its franchisees and licensees, offer an array of automotive repair and maintenance services. As of December 29, 2007, there were 1,711 North American Midas shops located in all 50 United States and nine Canadian provinces. Midas operates in a single business segment with retail, supply chain and real estate operations in support of automotive service shops. Retail operations consist of franchised and Company-operated shops in North America and licensed shops in 15 other countries. Supply chain activities include providing value-added merchandising services to franchisees, in which the Company establishes relationships with vendors who distribute products and equipment directly to Midas shops. Real estate activities include the development, ownership and leasing of Midas shops in North America. With nobody buying new cars people need to repair there older cars & in the USA we will find ways on paying to repair our cars ! Midas is a reliable company w/ low dept , this could be a winner for 2009 ! target price 20.00 a share.

2. Clean Energy Fuels ( CLNE ) 6.01 a share as of 1/1/2009
Clean Energy Fuels Corp. (Clean Energy) is a provider of natural gas as an alternative fuel for vehicle fleets in the United States and Canada. The Company offers a solution to enable customers to run their fleets on natural gas. It designs, builds, finances and operates fueling stations, and supplies customers with compressed natural gas (CNG) and liquefied natural gas (LNG). The Company also helps them acquire and finance natural gas vehicles, and obtain local, state and federal clean air rebates and incentives. The Company serves fleet vehicle operators in a variety of markets, including public transit, refuse hauling, airports, taxis, seaports, and regional trucking. It generates revenues primarily by selling CNG and LNG, and to an extent by building, operating and maintaining CNG and LNG fueling stations.CLNE is the largest supplier of CNG for automotive fuel in the U.S.. When the price of gasoline doubles again next year, CLNE will be poised to pick up the renewed interest in alternative fuels. Recently, it has been awarded several government contracts to keep it healthy until consumer interest picks up again.Largest supplier of natural gas stations. As the country shifts to natural gas for its autos(and it will) this company will be in the forefront to set up service stations across the country. T.Boone Pickens a large stockholder. Target price 21.00 a share .

3. Citigroup ( C ) 6.71 A Share As Of 1/1/2009
Citigroup Inc. (Citigroup) is a diversified global financial services holding company whose businesses provide a range of financial services to consumer and corporate customers. Citigroup is a bank holding company. As of March 31, 2008, Citigroup was organized into four major segments: Consumer Banking, Global Cards, Institutional Clients Group and Global Wealth Management. In March 2008, Citigroup reorganized its consumer group into two global businesses: Consumer Banking and Global Cards. In May 2008, the Company has reorganized its equity and debt business in Japan. Nikko Citigroup Ltd, the Company’s Japan investment banking unit, merged its equity and debt underwriting teams into one.CIti is one of those "can't fail" companies. When financials get their act together Citi should be a better than average performer.While it has written down nearly 30 Billion in assets, these assets are not worthless. Additionally, these write-downs are non-cash balance sheet charges, not cash outflows. The recapitalization due to the non-cash losses is a tiny fraction of the overall write downs. Citi is, was, and will be one of the largest players in international finance and banking. Once the fair value of these assets is determined, and the financial markets stabilize, I believe Citi will return to EPS in the $3.40 to $4.10 range. Remember, the $1.05 dollar first-quarter loss included a whopping 12 Billion in write-downs. Without those items, that Citi made $1.24/share. My point is, the core-business of Citi makes sense. These banks are not going anywhere. They made some mistakes, and lost some money, but no one can convince me that Citigroup is worth less than it was in 1998. Eventually the market will figure that out. If you pass on CIti at these prices, you are missing a once-in-a-lifetime opportunity to buy a great company at a great price. This stock will greatly outperform the market over the next 3-5 years. Target price 9.75 a share.

4. United States Oil Fund ETF ( USO )32.85 A share as of 1/1/2009
United States Oil Fund, LP (USOF) is a commodity pool that issues limited partnership interests or units that may be purchased and sold on the American Stock Exchange (the AMEX). The Company invests in futures contracts for light, sweet crude oil and other types of crude oil, heating oil, gasoline, natural gas and other petroleum-based fuels that are traded on the New York Mercantile Exchange (NYMEX), International Currency Exchange (ICE) Futures or other United States and foreign exchanges (collectively, Oil Futures Contracts). It holds interests in other oil-related investments such as cash-settled options on Oil Futures Contracts, forward oil contracts, and oil-based over-the-counter transactions.Oil is waaaay down, but only due to overall weakness in the markets. It will come back in a big way, and now is the time to get in to anything that is even remotely related to the oil markets.
This is just a reality. The thought that oil will forever fall is just not sound thinking. As conditions improve and people hoard the oil, prices will rise and this ETF will again ride higher. It will not be until the late summer or fall of 2009 but it will occur. The same way we are amazed at the massive oil price drop we will all sit around and discuss how that one _____ (hurricane, war, terrorist act) tripled oil in a months time. The wonderful part of old age is you slowly realize the waves that pound the beach are rather predictable. Anyway I have bought oil and plan to continue. Target price 70.75 a share.

5. Baidu.com, Inc. ( BIDU ) 129.90 a share as of 1/1/2009
Baidu.com, Inc. (Bidu) is a Chinese-language Internet search provider. The Company conducts its operations principally through Baidu Online Network Technology (Beijing) Co., Ltd. (Baidu Online), its wholly owned subsidiary in Beijing, the People’s Republic of China. In addition, it conducts part of its operations through Baidu Netcom Science Technology Co., Ltd. (Baidu Netcom), which holds the licenses and approvals necessary to operate Baidu’s Websites and provide online advertising services.Google US market share 60%
Baidu China market share 60%
US Population 300M
Chinese Population 1B+
Google market value 150B
Baidu Market value 10B
Chinese version of Google. Huge under-tapped market. Strong ownership interest. Recommended by Fools. Internet is here to stay and just getting started in China.Target price 225.00 a share.

6. Toll Brothers ( TOL ) 21.43 a share as of 1/1/2009
Toll Brothers, Inc. is engaged in designing, building, marketing and arranging finance for single-family detached and attached homes in luxury residential communities. The Company is also involved, directly and through joint ventures, in projects where it is building, or converting existing rental apartment buildings into high-, mid- and low-rise luxury homes. During the fiscal year ended October 31, 2007 (fiscal 2007), the Company delivered 7,023 homes from 385 communities. In fiscal 2007, the Company has introduced 70 new single-family detached models, 28 new single-family attached models and 32 new condominium units. The four segments operated by the Company includes the North, the Mid-Atlantic, the South and the West.
With the Fed throwing everything but the kitchen sink at the housing problem they will create and artificial bottom in housing prices. Once all the buyers that have been waiting for a bottom will have already missed the bottom and have to pay 1% to 3% more than they originally wanted. And one more thing beware of the crowded short. Also Jim Cramer thinks housing should bottom by mid year in 2009 . How can you not love such a honest CEO as Toll Brothers. I love how candid and open this man is to the little investors. Crammer has interviewed this "gentleman" and I love his straight shooting and talking style. I belive that Toll Brothers is a great place to park your money for some substantial time , long term play !target price 35.00 a share.

7. Suburban Propane Partners ( SPH ) 35.45 a share as of 1/1/2009
Suburban Propane Partners, L.P. is a marketer and distributor of an array of products, which meet the energy needs of its customers. The Company specializes in the distribution of propane, fuel oil and refined fuels, as well as the marketing of natural gas and electricity in deregulated markets. The Company conducts its business through Suburban Propane, L.P., which operates its propane business, and its direct and indirect subsidiaries. The Company’s general partner, and the general partner of Suburban Propane, L.P., is Suburban Energy Services Group LLC. The Company manages and evaluates its operations in six segments, four of which are reportable segments: propane, fuel oil and refined fuels, natural gas and electricity and Services. Jim Cramer states ,Brrrr! Many of us are enduring some downright frigid temperatures lately. So while you're sitting at home, staying out of the snow and wind, I'm sure the one question on your mind is, 'How can I make money off this arctic-like weather?' Cramer, as always, is here to help you with that dilemma. And his answer is one that many of you faithful viewers have been on to for a while: Suburban Propane Partners [SPH 35.45 1.05 (+3.05%) ]. After so many of you talked this one up, Cramer did his homework. And the result? He's feeling the warmth too.
Suburban is an energy outfit that delivers propane and other fuels to over a million customers.Another reason propane is doing so well now is its wide profit margin. The wholesale price of heating oil is down 43% but the propane companies haven't passed those savings to their customers -- the retail price is down only 33%. I know, I know... the consumer part of you is outraged, as you think about your winter heating bill. But the investor side of you -- well that side should be pretty happy with that nice, fat profit margin. And don't forget we're only at the end of December, with at least two more months of Old Man Winter ahead. That puts Suburban in a good spot for now.

Finally, look at Suburban's dividends, "the main reason to own this stock." Its expected 2009 payout is $3.34 per share -- the aforementioned 10.7% yield. The company has had 10 consecutive increases in quarterly dividend payouts. With over $4M in cash flow expected next year, it will cover that payout handily. Its balance sheet looks great too: $4 per share and a $175M credit facility. All of that means that even in a worst-case scenario with its business falling apart, "it has the balance sheet to keep supporting it."
Cramer's Bottom Line: "You asked, I answered -- Suburban Propane Partners, with that 10.7% yield, is a buy, buy, buy!" Target price 55.00 a share.

8. Genentech ( DNA ) 82.91 a share as of 1/1/2009
Genentech, Inc. (Genentech) is a biotechnology company that discovers, develops, manufactures and commercializes pharmaceutical products to treat patients with unmet medical needs. It commercializes multiple biotechnology products and also receives royalties from companies that are licensed to market products based on the Company’s technology. Genentech commercializes various products in the United States, including Avastin, Rituxan, Herceptin, Lucentis, Xolair, Tarceva, Nutropin, Activase, TNKase, Cathflo Activase, Pulmozyme and Raptiva.11B in cash and accumulating. Flat for several years waiting for earnings to catch up to valuation. Great depth in mgmt, research. Best in class products.Safe harbor and a risky stock that can make u mad money. target price 100.00 a share.

9. DENTSPLY International ( XRAY ) 28.24 a share as of 1/1/2009
DENTSPLY International Inc. (DENTSPLY) is a designer, developer, manufacturer and marketer of a range of products for the dental market. The Company’s principal dental product categories are dental consumables, dental laboratory products and dental specialty products. Sales of DENTSPLY’s dental products accounted for approximately 97% of its net sales, excluding precious metal content, during the year ended December 31, 2007. The remaining 3% of consolidated sales are related to materials sold to the investment casting industry and various medical products. As of December 31, 2007, the Company conducted its business through four operating segments, all of which were primarily engaged in the design, manufacture and distribution of dental products in three principal categories: dental consumables, dental laboratory products and dental specialty products. DENTSPLY conducts its business in over 120 foreign countries, principally through its foreign subsidiaries.
Dentsply earnings can grow 10 % in 2009 . also they have $ 240 million in cash .There's a whole swath of boomers that are going to be needing dental work soon.It helps to have worked as a dental assistant. Dentsply products include xray holders that are easy on the mouth, protective aprons that are more comfortable, a new night guard that can be created in the office rather than cast and sent to a lab, dental tools that help sense hidden caries (cavities) in back molars, and even a toothpast that will help with tooth sensitivity. Most of these are the same kind of everyday, constant use dental products that will be constantly re-ordered by every dentist. The company is a good one with good reputation. This should be a Procter and Gamble of the dental community.Looks like a good company. I'm trying to get a few medical/pharmaceutical companies in antipication of the Obama election. Target price 48.00 a share .

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I hope u all like my top 9 for 09 , risky stock picks ! What are your thoughts ??

Fortune Magazine Top stocks for 2008 ! How well are they doing ??

Last December, Fortune Magazine predicted the best stocks to hold in 2008, directing investors to ten specific stocks the magazine thinks will perform well this year.

How are these stocks holding up so far, compared to the indexes? The S&P 500 Index is down 5.46%, the Nasdaq is down 9.21%, and the Dow Jones Industrials Average is down 3.32%.

Annaly Capital Management (NLY). “It buys mortgage-backed securities issued by government-sponsored enterprises like Fannie Mae and Freddie Mac…” Down 5.5%.

Berkshire Hathaway (BRK.B). “Warren Buffett knows how to exploit panics.” Down 9.73%.

Dick’s Sporting Goods (DKS). “Dick’s emphasizes a store-within-a-store sales approach. Each department has its own look and staff, which appeals to the enthusiast who purchases a lot of sporting goods.” Down 4.43%.

Electronic Arts (ERTS). “Still, if there’s one tech niche that should be immune to a slowdown, it’s videogames… It’s now the No. 2 developer of Wii games, behind only Nintendo.” Down 10.87%.

Genentech (DNA). “Even with the FDA setback, Genentech is still expected to grow earnings 18% next year.” Up 7.22%.

General Electric (GE). “Immelt has sold off laggard operations such as insurance and plastics, putting more emphasis on manufacturing and infrastructure businesses. The timing has been excellent.” Down 12.44%.

Jacobs Engineering (JEC). “in a slowing economy, you want to own companies that can demonstrate superior earnings growth regardless of what’s happening around them.” Down 6.89%.

Merrill Lynch (MER). “Yes, Merrill’s shares deserved a punishment for the firm’s mortgage-related bungling. But the public flogging has far exceeded the transgression, which is why smart investors should buy this stock before everyone else comes to their senses.” Down 12.38%.

Petrobras (PBR). “Petrobras is cheap enough, at 16 times earnings, that it can be a winning investment…” Up 11.78%.

St. Joe (JOE). ”... [W]hen Florida real estate does rebound, investors will be kicking themselves for not recognizing today’s $28 stock price for St. Joe Co.” Up 12.56%.

In general, these picks have shown poor performance this year, but 2008 isn’t over yet. However u are still beating the S&P 500 Index

Biotech Takeover candidates

Consolidation among biotechs will become more common as Big Pharma tries to fatten its product pipeline. Five possible takeover candidates

THE OUTCOME OF Bristol-Myers Squibb's $4.5 billion bid for the portion of ImClone Systems that it doesn't already own remains uncertain. So is the conclusion of Roche Holding 's $44 billion offer for the shares of Genentech that it doesn't possess. Both targets want the bids raised.
But one thing is certain: Mergers, buyouts and takeovers involving biotech outfits will become more common as Big Pharma increasingly tries to fatten its product pipeline by acquiring proven, as well as promising, bioengineered drugs.
Table: In the Pipeline
For Bristol (ticker: BMY), the big prize is Erbitux, an ImClone (IMCL) cancer treatment. For Roche (RO.Switzerland), the lure is a raft of Genentech (DNA) products, ranging from Activase, a heart-attack treatment, to Avastin, a cancer drug, to Nutropin, a growth-hormone product.
DRIVING THE NEED FOR new products are the coming expirations of patents on several important drugs owned by Big Pharma. The end of patent protection, of course, opens the market to cheaper generic versions of the drugs.
In the not-very-distant future, the mother of all expirations will hit Lipitor, Pfizer 's (PFE) wildly successful cholesterol drug, which had more than $12 billion in annual global sales last year. Lipitor goes off-patent in 2011. Other blockbuster drugs that are losing their patent protection include Wyeth 's (WYE) Effexor (depression and anxiety), 2010; Merck 's (MRK) Singulair (allergies), 2012; and Eli Lilly 's (LLY) Zyprexa (schizophrenia), 2011.
Many of the large drug manufacturers "have three or four products accounting for the bulk of earnings," notes Christopher Schott, a pharmaceutical analyst at JPMorgan.
At the same time, these companies' costly research-and-development efforts have had mixed results. Despite Big Pharma's spending billions and billions, says Jay Markowitz, a T. Rowe Price health-care analyst, "a number of companies are facing a significant patent cliff, where billions in revenues are going to disappear."
Many large pharmaceutical outfits, however, have a lot of cash on their balance sheets to make acquisitions. Factor in the dollar's weakness, which makes U.S. companies look particularly enticing to foreigners, and the biotechnology/pharmaceuticals market looks particularly ripe for merger-and-acquisition deals.
"The natural synergy is for a company to acquire a company they already know well and have a partnership with on a key drug," says Steven Silver, an analyst at Standard & Poor's.
For example, Genentech, which last week rejected Roche's $89-a-share proposal as too low, has a long history of dealings with the Swiss pharmaceutical giant, which has about a 56% stake in the San Francisco biotech firm and markets some of its products.
"The larger pharma companies want to have total control over the drugs in the pipelines," says Frank Sustersic, a portfolio manager at Turner Investment Partners. In 2007, for example, Eli Lilly acquired Icos, with which it had a joint venture on Cialis, an erectile-dysfunction drug. It paid $2.3 billion for the acquisition.
"It looks as if pharma is going after the companies that have existing products," which by definition have obtained regulatory approval, says Vinay Thapar, a senior investment analyst at American Century Investments. (Larger companies will continue to do licensing agreements in which they pay a smaller company to help develop a drug, in exchange for a cut of future profits, says Thapar. In such cases, the larger entity doesn't typically acquire the smaller one.)
Thapar and other analysts point to Onyx Pharmaceuticals (ONXX) as a potential target of Bayer (BAY. Germany). Onyx has a joint venture with the German pharmaceutical giant for Nexavar, which is used to treat kidney and liver cancers.
"At some point, you could see Bayer wanting to control 100% of the assets," says Sustersic, who thinks that Bayer might pay as much as $65 per share. Nexavar is believed to have more upside, especially as it secures approval in other markets (it was recently given the green light by China as a liver-cancer treatment), and even more if it can be used for other cancers, including those of the breast, lungs and skin.
One argument for buying existing drugs -- rather than developing new ones -- is the grueling U.S. Food and Drug Administration testing that new products face.
"The FDA is perceived to have swung more to the safety side in the balance between safety and efficacy," says Markowitz. That means that getting drugs through the regulatory process is taking longer, although it's probably good for consumers. Adds Thapar: "The FDA is becoming increasingly difficult to handicap."
Big Pharma's hunger for new products could be good news for investors in some biotech firms, say Barron's Rich Rescigno and Lawrence Strauss. (Aug. 18)
NOT ALL OF THE FOCUS is on products already in the market, however. Vertex Pharmaceuticals (VRTX), another company that some investors view as an eventual takeover candidate, is developing Telaprevir, a substance that promises to reduce the time needed to treat hepatitis-C, a potentially fatal liver ailment. Telaprevir is currently in stage III testing, the last phase of the clinical- trial process. Vertex has worked with Johnson & Johnson (JNJ) in developing that drug.
Vertex's shares sold off recently after Schering-Plough (SGP) announced that it had good results with a possible competitor to Telaprevir. Still, some analysts think that the Vertex drug shouldn't be underestimated. "In my opinion, it will be the first direct antiviral drug for hepatitis-C to hit the market and meaningfully improve patient outcomes," says T. Rowe Price's Markowitz.
Another company that could spark an acquirer's interest is Amylin Pharmaceuticals (AMLN). It's working on a Type 2 diabetes drug that could be injected once a week instead of daily. Amylin has several development partners, including Eli Lilly, on the drug. It already markets two diabetes drugs, Symlin and Byetta. But some analysts say the product under development could boast major advantages. "A once-weekly drug that lowers glucose substantially, induces weight loss, isn't associated with hypoglycemia, and lacks a cardiovascular safety signal has multibillion-dollar potential," says Markowitz.
The Bottom Line:
With patents on some major products expiring over the next few years, large pharmaceutical companies will be on the prowl for biotech outfits with promising drugs.
Anyone scanning the biotech ranks for potential acquisition targets shouldn't overlook United Therapeutics (UTHR). It has one characteristic that lots of other small biotechs would envy: It's in the black. One of its most promising products is Remodulin, which is used to treat hypertension in the blood vessels of the lungs. Although there are other PAH drugs, Turner Investment Partners' Sustersic says that United Therapeutics is "one of the clear leaders, and they potentially could have a big blockbuster."
American Century's Thapar is similarly impressed by Alexion Pharmaceuticals (ALXN), which earned six cents a share in its most recent quarter, versus a loss of 75 cents a share a year earlier. Its drugs include Soliris, which treats a rare disorder called paroxysmal nocturnal hemoglobinuria, which destroys red blood cells.
At $389,000 a year per patient, Soliris is hugely expensive -- but it targets a clearly defined patient base.
The drug had net sales of nearly $60 million in the second quarter, up from $45.5 million in the first quarter and $9.8 million a year earlier. Regulators have approved its use in the U.S. and Europe, and it's expected to be introduced in Japan toward the end of next year. Alexion retains distribution rights in the U.S. and overseas, says Sustersic, who maintains that Soliris sales could reach at least $500 million a year.
Sounds like a decent prescription for a bigger company seeking a revenue boost.

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