Hope Springs Eternal In Biotech @ Seeking Alpha (KERX)

Keryx Biopharmaceuticals, Inc. (NASDAQ: KERX) is focused on the acquisition, development and commercialization of medically important pharmaceutical products for the treatment of renal disease. Keryx is developing ZerenexTM (ferric citrate), an oral, ferric iron-based compound that has the capacity to bind to phosphate and form non-absorbable complexes. The Phase 3 clinical program of ZerenexTM for the treatment of hyperphosphatemia (elevated phosphate levels) in patients with end-stage renal disease is being conducted pursuant to a Special Protocol Assessment (SPA) agreement with the FDA. Keryx is headquartered in New York City. 

At Seeking Alpha, contributor Michael J. Ray writes that while it is true that hope is not the best strategy when it comes to investing, "there is one sector that does embrace hope as an investing component and that sector is speculative biotech." He argues that it is patients' hope for a cure that "highlight[s] unmet medical need, which in turn brings investors and researchers to the scene."

He points to Keryx's Perifosine as an example in which "the hope[s] of both investors and patients were dashed, and the stock price quickly declined." But he goes on to say that,

"Both KERX and BPAX are not completely out the game though. Each has other products in the pipeline, but their most touted opportunities came up empty. But this article is about hope, and hope is said to spring eternal."

He goes on to discuss 3 companies "keeping hope alive" for both patients and investors alike: Osiris Therapeutics (OSIR), Advanced Cell Technology Inc. (ACTC.OB), and Galena Biopharma, Inc. (GALE).

Read the full article at SeekingAlpha.com.