Vervolg: (Crucell)
Also high on the list of the government's worries are hemorrhagic fever viruses such as Ebola. An Ebola vaccine, being developed by Dutch biotech company Crucell (CRXL - commentary - Cramer's Take - Rating), recently entered phase I trials with 48 healthy volunteers. Currently, no cure or vaccine for Ebola is on the market.
Nuclear Threat
As if biological agents weren't menacing enough, the government also has to contend with the horrific possibility that terrorists could one day use a radioactive device against the U.S. or its interests.
"Everyone is talking about nuclear," says Dr. Jean Patterson, chairwoman of the Department of Virology and Immunology at the Southwest Foundation for Biomedical Research. Patterson, an expert on bioterrorism, says that the threat of a nuclear attack is now at the forefront of law enforcement officials' concerns.
While a so-called dirty bomb would be deadly to those in the immediate vicinity and likely cause widespread panic, the threat of radiation poisoning is low, according to most experts. In fact, most deaths would be attributed to the explosion of the device rather than the radiation.
Still, with North Korea saying it's making bombs and worries in the West that Iran wants to do the same, protecting American lives from atomic weapons has become a very high priority.
One of the defensive-minded companies is Hollis-Eden Pharmaceuticals (HEPH - commentary - Cramer's Take - Rating), which hopes to receive a contract from the HHS early next year for a drug to treat acute radiation syndrome. No dollar figures have been provided. The drug, Neumune, is also set to begin phase I/II trials for health-care-associated infections.
Separately, Akorn (AKN - commentary - Cramer's Take - Rating) has received a $21.9 million contract for 450,000 units of Ca-DTPA and Zn-DTPA, which treats internal contamination from radioactive elements.
To call many of these names speculative is an understatement, to say the least. In a number of cases, the government might be a company's only customer. Nevertheless, if the unthinkable happens or is even threatened, you'll know which stocks might see a rush of activity. Tread carefully, and let's hope that these companies' products are never needed.