GERN - Geron Corp. - Updated

May 5, 2009 by Hot Stocks To Buy

5/05/2009 Very Unusual price and volume increase on shares of GERN. Very bullish signal that there is a news leak not yet known to the general public. Strong buy signal.

[GERN] Geron Corp. - Hot Stocks to Buy entry price $5.10

Risk level: 7
Profit potential: 9
Price Target = $11
Geron is a medium risk stock with maximum profitability
- Geron is the known leader in stem cell research and is the biggest
- Geron and other stemcell companies did not participate in the recent runup by financials and every other market industry
- Geron was oversold
- Secondary offering was at 6.6 - 6.85 meaning the large investors putting money into the secondary must have a strong belief that the technology works and are willing to gamble at such a premium price

Today we examine a stock that we feel is worthy to be added to our Hot Stocks to Buy list. The first hot stock is GERN (Geron):

We are recommending GERN for a few reasons. The first reason is that we feel it’s been oversold from it’s high of above $8 a share in early January. The main factor for a selloff was due to a secondary offering that was made on Feb. 12th, 2009. The secondary was for 7.25 million shares at a price range of $6.60 - $6.85. This secondary offering plus an article from TheStreet.com’s columnist Adam Feuerstein encouraging share holders to sell the stock, pushed the stock from above $8 to under $4.5 in just a few days. These two reasons may be valid for a 10 to 15% point decrease but definitely not a 50% hair cut.

Reasons GERN is added to Hot Stocks to Buy

The entry price that we have started on this stock is $5.10. We are looking for at least a 125% gain on this stock in the near term (within 6 months). Any entry below $6 is recommended in the near term.

We wish you luck on your investments and as always do your own research prior to purchasing or selling a stock. We make recommendations based on our own research and this site is solely for the purpose of entertainment reading. Thank you for visiting Hot Stocks to Buy.

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