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How do stem cells do their magic? No one really knows. A recent issue of Science News covered the work of Evan Snyder, a researcher at Burnham Institute for Medical Research in La Jolla, Calif., who commented that stem cells implanted into damaged mice brains seemed to know exactly how to do their repair work. "Even the dumbest stem cell is smarter than the smartest neurobiologist," he told the publication.
Next on the agenda for stem-cell researchers is the curious role that stem cells play inside tumors. Williams notes the research that suggests "rogue" stem cells in cancer are the brains of the tumor's operations, and just one out of several hundred thousand cells can be responsible for the entire metastasizing impulse that makes the disease so dangerous. Researchers are working on blocking just those stem cells, which would allow patients to avoid crippling chemotherapy and radiation treatments.
On the cutting edge
There are just a few public companies that are leveraged to stem cells, and none is profitable -- or even on the verge. The Food and Drug Administration has taken its cues from the head of the executive branch and made drug trials tough for these companies.One is StemCells (STEM, news, msgs), which has 40 patents covering its methods of identifying, purifying, banking and utilizing stem cells in an effort to create therapies for ailments of the central nervous system, liver and pancreas. It traded in the midteens in the mid-1990s but now hangs out around $2 as its scientists perfect their craft.
Another is Aastrom Biosciences (ASTM, news, msgs), which has created prospective therapies and lab procedures aimed at the repair and regeneration of human tissue via a patient's own bone-marrow stem cells. It is in clinical trials for bone and blood vessel regeneration, and it is developing similar programs for cardiac and nerve regeneration. Now trading around $1.35, it has at least enough cash to last two years and has potential to reach the $3.50 area if it hits some milestones.
Geron (GERN, news, msgs), which shot as high as the $35-$70 range in the late 1990s, is getting ready for clinical trials of a spinal-cord-injury treatment tied to stem-cell-based therapeutics. Now trading around $8.75, it has potential to get back to the $12.50 area it inhabited in 2005, when prospects looked brighter for all biotech drug makers.
The bottom line is that despite the administration's foot-dragging and Congress' inability to override a Bush veto, private industry and hospital researchers funded by corporate grants are pushing on to create therapies that leverage this remarkable natural healing agent.
Williams concludes that stem-cell technology will ultimately change medical treatment in permanent and dramatic fashion, so keep an eye on these deeply depressed stocks for potential profits in the years ahead.
Fine Print
To learn all about stem cells, visit the National Institutes of Health or this Wikipedia page. The journal Stem Cells will keep you up to date with the latest news. The University of Utah has some great educational pages about stem cells. And click here for a page of news about stem cells at Science Daily.Learn all about Jim Williams' method of discovering important anomalies, change and trends at his Williams Inference Web site. To learn more about Geron, visit its Web site. To learn more about Aastrom, visit its Web site. And click here to visit the Web site of StemCells.
Meet Jon Markman at the Money Shows
MSN Money's Jon Markman will be among the dozens of renowned money experts, advisers and analysts sharing their wisdom in free workshops at two upcoming Money Shows -- in San Francisco, July 26-28, and in Washington, D.C., Sept. 6-8.You'll also have a chance to network with fellow market enthusiasts, exchange investment ideas, share your experiences and enjoy the fellowship of like-minded investors. Admission is free for MSN Money readers. For complete details or to register for free admission, visit the San Francisco Money Web site or the Washington, D.C., Money Show Web site. Or phone 1-800-970-4355 (mention priority code No. 007419) and tell them which show you're interested in.
At the time of publication, Jon Markman did not own or control shares of companies mentioned in this column.
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