Hi psdriches, IMO people are just simply putting their money into resources instead of biotechs generally, making a lack of buyers for biotechs like psd. However, with BHP & RIO approaching PEs of 18 and many economies applying the brakes to avoid inflation, I dont think this boom can last much longer. When it ends people will look elsewhere to put their money. As you are aware, BrachySil alone is expected to make PSD 500m pa see here: http://www.psivida.com/news/download/articles/VBM_EX100_PSD.pdf
which means if the sp stays where it is, by 2007 psd would have a PE of only 0.2. Currently, the psd PR machine is mouthing-off about their BrachySil positive results and the expected earnings from this product. Personally, I believe psd is still in an uptrend and this will continue for some time. Particularly, now that the expected earning from BrachySil are perceived to be a sure thing for psd. (To see this uptrend just look the weekly chart.) R/Kacy
PSD
psivida limited
