STEM & political climate

[madcowdisease]

I heard a radio ad for Obama on Monday on my way in to work. It was the pro-stem cell advocates stating Obama is in favor of expanding stem cell research and dropping the Bush ban on destroying human embryos.

This got me to thinking about the issue. Obama is up huge and unless something comes out that he is a radical muslim tied to the taliban he is the next President of The United States. So despite my favoring Ron Paul I had better prepare for the dems to have control of both the legislative and executive branch with my portfolio.

STEM has been one that I always considered very speculative and have not yet taken a position. However, I have had it on my radar since mid-2007 and it appears it is bouncing off its 52-week low. Does anyone think we could see a pop in this penny-stock due to Obama winning the White House? Or, is the credit environment too much to warrant gambling on an unprofitable micro-cap biotech company?

Thanks in advance.


Similar thread on the stock:

http://www.onlinetradersforum.com/showthread.php?t=10122&highlight=STEM

[aiki14]

I heard a radio ad for Obama on Monday on my way in to work. It was the pro-stem cell advocates stating Obama is in favor of expanding stem cell research and dropping the Bush ban on destroying human embryos.

This got me to thinking about the issue. Obama is up huge and unless something comes out that he is a radical muslim tied to the taliban he is the next President of The United States. So despite my favoring Ron Paul I had better prepare for the dems to have control of both the legislative and executive branch with my portfolio.

STEM has been one that I always considered very speculative and have not yet taken a position. However, I have had it on my radar since mid-2007 and it appears it is bouncing off its 52-week low. Does anyone think we could see a pop in this penny-stock due to Obama winning the White House? Or, is the credit environment too much to warrant gambling on an unprofitable micro-cap biotech company?

Thanks in advance.


Similar thread on the stock:

http://www.onlinetradersforum.com/showthread.php?t=10122&highlight=STEM

My wife and I heard that on the way to the golf course this morning and I was thinking of how to play it. The problem is the big biotechs are likely to do one of two things, push the little guys out, or buy them out. Each of these obviously has opposite ramifications, and the key is to figure out which ones are set up for which treatment.
As to STEM specifically it remains to be determined if they have a methodology the big players need, and how are the methodologies protected by patents.

On a more general note I mentioned elsewhere on the forum I would in the current environment be looking at two things, energy and biotech. Biotech is a sector likely to benefit from the democrats regaining the whitehouse and adding seats in congress.

[Albert0373]

Man, those were some good ol' times with chinaman..

Not sure how the mentioned stuff will affect it, but biopharms are always losing money and STEM is no exception. Thanks for the heads up though, I'll keep it on my watchlist.

[madcowdisease]

I'm aware STEM is not one of the large (e.g. profitable) biotechs like Cephalon or Genentech. I'm not necessarily looking at STEM as a long term "investment". I just figured with a majority democratic government we're sure to encounter the stem cell debate once again. This should certainly stimulate a short term "pop" in small biotechs like STEM with ties to this sector. Consider me early as I took an initial position at $1.01/share on Friday. But, I think it is fairly certain this hypothesis will come to fruition within the next 12-months and maybe sooner as this theory catches on. And with only ~300K shares traded daily in STEM it won't take much to make it move 15-20%.

[madcowdisease]

I don't see any news on STEM but it was hammered today - down 15%.

Look at the chasm on the 5-day chart.

http://finance.yahoo.com/echarts?s=STEM#symbol=STEM;range=5d


Anyone aware of something I am not?