Savient Pharmaceuticals Inc (NASDAQ:SVNT)

Sure looks to me like Savient is going bankrupt. Quarterly revenues from Krystexxa are flatlined at 4M, burn continues to be more than 20M/quarter, cash has declined to 69M and debt has grown to 227M. There's no parachute in sight for this free fall. Of course, Savient looked to me like it was going bankrupt last August but instead it spiked 500% in a move I still cannot even remotely comprehend. Basically, I categorize these types of moves as a large scale transfer of funds from the portfolios of retail investors into the pockets of hedge funds. An artificial catalyst is used to generate a rapid and high amplitude change in share price that suckers careless and lazy retail traders in as the insiders and early adopters are selling on the way up. Then virtually the entire weight of the crash is borne by retail traders and wanna be hedgies like the author of the first three Seeking Alpha pieces I link to ahead.

It looks like the Savient story is almost over (unless it ain't) and I'll have to red thumb this until the gavel bangs. In parting, I'll provide some links to amusing commentary from everyone's favorite source of misleading stock info, Seeking Alpha (today's share price is 0.56).

9/11/12 (share price 1.55): http://seekingalpha.com/article/861131-savient-pharma-the-pharma-rising-from-the-dead The author sees the sky as the limit after a restructuring and positive catalysts on the horizon. In fact, the stock did nearly double from here in the next couple of weeks but the author sadly (for him) did not sell as can be seen in the next two articles.

11/20/12 (share price 1.13): http://seekingalpha.com/article/1022051-savient-pharma-still-struggling-to-grow-krystexxa-sales In which raised Krystexxa pricing and an anticipated partnership are projected to lead to a rebound in share price.

1/13/13 (share price 1.15): http://seekingalpha.com/article/1109181-savient-pharma-the-ultimate-biotech-option In which EU approval of Krystexxa and appointment of a new board member are touted as huge positive catalysts.

3/25/13 (share price 0.77): seekingalpha.com/article/1299261-savient-pharmaceuticals-is-anything-left? In which a high school analyst misses the fact that Savient has 223M in debt and fails to include that in his calculation of enterprise value. Now I'll have to rely on the analysts in middle school to get tradable information.

Did anyone on Seeking Alpha get the Savient story right? Just this guy: http://seekingalpha.com/article/911561-savient-the-tang-rally-is-over-what-s-next . He's also the guy who got the Talon story exactly right. Follow him on Twitter if you trade biopharma.

Here's hoping you didn't buy Savient at 3.

No earnings.

IHS on finviz

Loaded up in RL yesterday, I'll take a chance on the destruction.

Chart looks to have bottomed out.

looks to have bottomed out.

Krystexxa big in EU

This company has a unique gout drug and orphan designation in treatment resistant gout. Patent life of well beyond 2025 this is a good time to get in a multibagger. The stock has been oversold with no reference to future opportunity. Get in early and stay there. This is a fortune maker.

Oversold at this level

Very speculative but rated and at very attractive price from historical perspective

Advanced Quantitative Momentum Arbitrage (AQMA)
(black box)

krystexxa launch.

double down on SVNT based on future sales predictions of the one gout drug.

Market Maker Selling phase soon?

jcode

The market has oversold biotech shares and this company was also affected. I beat it will growth >100%

4 Fallen Bevo picks that are based in US that have very high short interest and are currently above $1/share.

FRZ, SVNT, JRCC, PCBC

New FDA approved drug sales starting this year.

Euro247 haiku

Did not sell oh well

Plenty money of their own

Drug demand will grow!