orphan

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Related to orphan products: Orphan Drug Act

Orphan Stock

A stock that is not often tracked by analysts. This may be because it is not very well known or because it belongs to an industry that is generally performing poorly. As a result these stocks have low demand and often a low price. Some value investors recommend buying orphan stocks because they could be undervalued. However, because demand is low, orphan stocks have low trading volume and a small change in demand may result in volatility in price. An orphan stock is also called a wallflower.

orphan

Of or relating to a security that is not regularly covered by security analysts. An orphan security is likely to attract little investor interest and to sell at a relatively low price compared with other securities of the same type. For example, an orphan stock is likely to sell at a low price-earnings ratio and an orphan bond will offer a relatively high yield.
Case Study Many individuals in the financial community believe investment banking firms have an obligation to provide continuing research coverage of companies they take public. Research coverage increases a firm's exposure to the investment community, an important benefit for the firm and its shareholders, especially investors who acquired stock during the initial public offering. Dropping coverage of a small company and causing the stock to become an orphan can have a devastating effect on the stock's liquidity and market price. In some instances coverage is discontinued because of a loss of investor interest, in which case any remaining investor interest can virtually disappear. Orphan stocks became more common in the tech stock meltdown of 2000-01. In October 2001 Credit Suisse First Boston dropped coverage of Evolve Software, a software and fiber optics company that CSFB took public for $9 a share in August 2000. Although the stock quickly tripled in price following the initial public offering, it soon got caught in the downdraft of the bear market for technology stocks and had declined to approximately 25¢ per share by the time CSFB dropped its coverage of the firm. The analyst at Credit Suisse First Boston remained bullish on the stock until coverage was suddenly dropped a little more than a year after his firm managed the initial public offering.
References in periodicals archive ?
Likewise, after FDA approval, 13% of orphan products provoked more side effects than anticipated.
director of the FDA s Office of Orphan Product Development.
We are extremely grateful for this grant from the FDA Office of Orphan Products Development and the important support of the Foundation for Prader-Willi Research in making it happen," said Keith Gottesdiener, MD, CEO of Rhythm.
20, 2015 /PRNewswire/ -- The National Organization for Rare Disorders (NORD) has announced the full agenda for its 2015 Rare Diseases & Orphan Products Breakthrough Summit, the largest multi-stakeholder event dedicated to rare diseases and the only rare disease conference co-sponsored by the Food and Drug Administration (FDA), to be held October 21-22 at the Crystal Gateway Marriott in Arlington, Virginia.
The FDA Office of Orphan Products Development grants orphan drug designation to novel drugs or biologics that treat a disease or condition affecting fewer than 200,000 patients in the U.
About BioAlliance Pharma Dedicated to cancer and supportive care treatment with a focus on resistance targeting and orphan products, BioAlliance conceives and develops innovative products, for specialty markets especially in the hospital setting and for orphan or rare diseases.
21, 2015 /PRNewswire-iReach/ -- OncoSynergy announced today that the FDA Office of Orphan Products Development (OOPD) has granted Orphan Drug Designation for OS2966 in the treatment of ovarian cancer.
Gamida Cell, a leader in cell therapy technologies and products for transplantation and adaptive immune therapy, announced today that orphan drug designation has been granted by The US Department of Health and Human Services, The FDA Office of Orphan Products Development (OOPD) for the investigational medicinal product NiCord[sup.
Vivaldi led the successful approval and reimbursement of more than 15 orphan products across more than 20 countries throughout the world.
Agility and PSR specialize in assisting companies in developing efficiencies and economies of scale to bring innovative orphan products to market, and to help patients and families affected by rare diseases.
This annual event is the innovative hub for all stakeholders in the rare disease and orphan products community - providing an educational platform for pharmaceutical, biotech, researchers, patient groups, regulators, healthcare executives and more.