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ViroPharma, Inc. - Living in the present and moving on

This week, with the Dow reaching an all time high and breaking the 12,000 mark, my main goal is to find a stock that is still selling at a discount. Taking a break from the Tech sector I stumbled across a Biopharmaceutical company out of Exton, PA named ViroPharma Incorporated (NASDAQ:VPHM).

ViroPharma's mission is - 'Your dream is our vision: Life saving medicines for life threatening diseases.' They are a medium cap growth stock with impressive revenue, almost $44 million as of June this year. This isn't just another pharmaceutical stock that is struggling to get more funding and promising a new drug that won't be released for years to come. VPHM operates at a profit, last year they had $113 million in profit after all expenses were paid.

Currently, their main source of revenue is from the sales of Vanconin, an oral antibiotic capsule used to fight bacterial infections of the lower digestive tract. ViroPharma has three drugs in the pipeline - Maribivar is in Phase III of FDA approval, and treats the infection of Bone Marrow Transplants. They recently announced positive results of preliminary data from the Phase 1b Study of HCV-796, an orally administered Hepatitis C inhibitor that they are co-developing with Wyeth (WYE). I wonder if they would consider using Pamela Anderson as the spokesperson for HCV-796 (not very classy of us, but it was too hard to resist)? Their third product in the pipeline is a Phase 2 product candidate for common cold and asthma exacerbations called NTX.

Besides the development pipeline, the more attractive aspect of VPHM is the clean balance sheet. As of Q2, they are producing massive profit margins of 78.04% Quarterly revenue growth (yoy) is pegged at 51.80% and quarterly revenue is an outstanding 245.4%. If you're looking for growth at a discount, you've come to the right place.


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