Saturday, March 29, 2008

Barbara Walters Special - Ground Zero for Onset of Irrational Exuberance?

Long time readers of this blog are well aware of my belief that Sirtris Pharmacueticals has the potential to be the story stock of ALL story stocks. The main ingredients are there for the onset of irrational exuberance and here is my attempt to list them in order of importance:

  • The fountain of youth angle - live long and stay vigorous.
  • The potential (dream?) to cure many diseases of the aging with a single pill.
  • The Harvard Medical School connection combined with the incredible team of brain power put together by Sirtris.
  • The idea that the body's own defense mechanism is being activated, a seemingly natural process.
  • The evidence that sirtuin activation results in improved athletic performance without the nasty side effects of HGH and anabolic steroids.

It is the investor's dream to own a company BEFORE irrational exuberance manifests itself in a stock's share price with the hope that the investor can either:
  1. Recognize when investor psychology has turned negative and recognize some very healthy gains OR
  2. Continue to own shares and reap the ultimate of financial rewards when suspected "irrational" exuberance proves to be "rational" after all.

We've seen many examples in history of number 1 - great story stocks that never lived up to expectations. I illustrated a couple of examples in my December 17, 2007 blog entry. Smart investors capitalized and made huge sums of money on the way up...others fell victim to the hype and got burned as the story turned out to be a fantasy.

Tuesday night at 10:00 PM could mark Sirtris Pharmacueticals move into America's conscience and into Wall Street's spotlight as Barbara Walters highlights the amazing body of work at Sirtris Pharmacueticals on a special program called Live to 150...Can You Do It?. Its likely to be very compelling television and those who have been following the area of sirtuins KNOW that the actual evidence is equally compelling.

IMHO, the main hurdle to irrational exuberance in any stock at this time may be overall market pessimism. However, if there is a story that can swim up tide, IMO, we may be looking at it right here and right now.

Do your own due diligence (and remember to visit resveratrol sponsors on this page).

1 comment:

maxhealth said...

Clearly the dilemma for Sirtris is that the products they are developing already exist in effective natural, inexpensive form. Given, his synthetic analogs may be more potent or targeted against specific conditions such as diabetes however biotivia transmax, the natural form of concentrated resveratrol, is available now and has been shown in peer reviewed studies to be safe and effective. Synthetic analogs historically have been shown to be somewhat unpredictable in effect and safety. Why not simply stick with the natural form? It is here now and does not require an expensive physician's appointment. To succeed Sirtris will have to come up with sythetic versions of resveratrol that are shown to be clearly superior to resveratrol itself and just as safe.