NeuroInvestment Announces Investment Opinion; NeuroInvestment

 Releases Review of 1Q:2000 
Business Editors 
NOTE TO EDITORS: The following is an investment opinion issued by
RYE, N.H.--(BW HealthWire)--April 10, 2000--NeuroInvestment today
released its review of the first quarter of 2000, regarding
biotech/pharmaceutical companies targeting neurological and
psychiatric disorders.  The first quarter was stunningly volatile,
late March's rollback left the NI Index up 33.8% for the quarter.
As has been the case for the past two years, NeuroInvestment's A
List Recommendations again dramatically outperformed the sector,
with an average gain of 65.5%. The A List was led by Pharmos
(NASDAQ:PARS), which rose 363% in ten weeks to reach its price
Significant 1Q:2000 developments included 1) Cephalon's
(NASDAQ:CEPH) successful completion of Phase II studies showing the
effectiveness of Provigil in the treatment of sleep apnea and fatigue
associated with MS and with shiftwork; 2) Neurobiological Technologies
(OTC:NTII) memantine had success in Phase II studies in neuropathic
pain and pivotal studies in Alzheimer's; 3) The influx of capital into
the neuro sector provided many of these companies with a financial
cushion that will finance R&D projects and gives them leverage in
partnership talks; NPS (NASDAQ:NPSP), Titan Pharmaceuticals
(AMEX:TTP), Cephalon, Pharmos, NeoTherapeutics (NASDAQ:NEOT), Diacrin
(NASDAQ:DCRN), and Neurocrine Bioscience (NASDAQ:NBIX) all
significantly enhanced their fiscal positions. 4) The quest for
Alzheimer's therapies took a step forward as Elan (NYSE:ELN) initiated
human trials for its amyloid vaccine and NeoTherapeutics (NASDAQ:NEOT)
announced positive interim data for its Phase II trial of Neotrofin.
5) The cutting-edge area of neural stem cell research saw research
advances by CytoTherapeutics (NASDAQ:CTII), as well as patent and
licensing progress for privately-held NeuralStem and Layton
Biosciences. But media attention tended to be distracted by the
high-profile race to sequence the human genome, Celera (NYSE:CRA) and
Human Genome Sciences (NASDAQ:HGSI) vying for position in a pack
perhaps a decade away from clinical relevance. 
"It was queasily bemusing to watch the blind pursuit of genomics
companies spill over into such undiscriminating Biomania until late 
March," commented Dr. Harry Tracy, publisher of NeuroInvestment. "And
the abrupt exit of those same mindless momentum players illustrates
the pitfalls of dartboard investing in biotech. We anticipate that
dramatic valuation increases will be more selective in the next two
quarters, oriented to companies that either have products marketed, or
have late stage drugs in development that could reach the market in
the next two to three years. The rush to stake claims in the Terra
Incognita of the human genome is not going to generate usable drugs
for CNS disorders for another five to ten years, if then. Large
pharmaceutical firms suffering from pipeline fatigue and patent
expirations need products to sell sooner, rather than later, and
cannot wait for human genomics to become something more substantive
than a contest of academic egos." Dr. Tracy Added; "With the
vulnerability of and e-commerce companies now showing itself,
maturing biotech companies display growth potential unavailable
elsewhere. During the quarter, we are looking for a strong expansion
of revenues for Sephalon (NASDAQ:CEPH), and Gliatech (NASDAQ:GLIA), 
while Cortex (OTC:CORX) and NeoTherapeutics (NASDAQ:NEOT) should reach
important collaborative and clinical milestones." 
NeuroInvestment is the leading publisher of independent research
regarding companies specializing in the development of therapeutics
for neurological/psychiatric disorders.  NeuroInvestment is published
monthly.  Subscription Rates: Individual: 1 year $420, 2 year $720.
3-month trial $120.  Institutional: 1 year $590, 2 year $1020.
3-month trial $150.  Outside the US/Canada add $30.  Email and fax
delivery available.  Contact:NeuroInvestment, P.O.  Box 458, Rye,
N.H.  03870; 603-964-9640; fax: 603-964-7561; e-mail: Web Site:
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