Celgene Corporation (CELG), Onyx Pharmaceuticals, Inc. (ONXX): Revelations From This Blazing Biotech

He commented that Celgene Corporation (NASDAQ:CELG) will be “valuation-sensitive,” and that right now, biotech “valuations are getting a little frothy.” Those aren’t what you would expect from someone itching to go shopping for a smaller company to scoop up.

On the other hand, Karsen said that the company is actively looking for solid tumor drugs to add to its oncology portfolio with Abraxane. He noted that Celgene Corporation (NASDAQ:CELG) would prefer drugs already on the market, but would consider late-stage candidates.

Saving the best for last
The Stifel analyst introducing Karsen on Wednesday night said that they had “saved the best for last” with Celgene Corporation (NASDAQ:CELG). There were plenty of presentations the following day, so the comment referred only to Wednesday.

If “best” was intended to refer to best stock performance this year, the speaker was off the mark. For example, ACADIA Pharmaceuticals Inc. (NASDAQ:ACAD) and ISIS Pharmaceuticals, Inc. (NASDAQ:ISIS) both presented earlier in the day, and are up more than 380% and 190%, respectively, year to date. Celgene Corporation (NASDAQ:CELG) has had a great year, but it’s up “only” 90% so far this year.

Browsing the list of companies represented at the conference, though, I tend to agree with the accolades. Sure, ACADIA Pharmaceuticals Inc. (NASDAQ:ACAD) has soared this year, but it doesn’t yet have a product on the market. Isis has Kynamro, but its peak sales projections are for around $400 million. That’s nearly pocket change compared to Celgene Corporation (NASDAQ:CELG)’s blockbuster Revlimid.

That’s not to disparage either ACADIA Pharmaceuticals Inc. (NASDAQ:ACAD) or Isis, though. They’re great up-and-coming biotechs. Celgene, though, is way past the up-and-coming stage. It’s one of the biggest biotechs on the planet — and still getting bigger. Big and blazing makes for a great combination.

The article 3 Revelations From This Blazing Biotech originally appeared on Fool.com.

Fool contributor Keith Speights has no position in any stocks mentioned. The Motley Fool recommends Celgene. 

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