Dutton Associates Announces Investment Opinion: Medivation Strong Speculative Buy Rating In Update Coverage By Dutton Associates

  
    
  
  
    
      Dutton Associates continues its coverage of Medivation Inc. (AMEX:MDV) 
      reiterating a Strong Speculative Buy rating and a $27.00 price target. 
      The 12-page report by Dutton senior analyst Wayne T. Lottinville, CFA is 
      available at www.jmdutton.com as 
      well as from First Call, Bloomberg, Zacks, Reuters, Knobias, and other 
      leading financial portals.
    
    
      Medivation Inc. recently said that preclinical data suggest that the 
      Company’s lead development candidate for 
      hormone-refractory prostate cancer treatment is effective in a mouse 
      model of the disease. Results of the research showed treatment was 
      associated with a significant dose-dependent reduction in tumor volume 
      in human hormone-refractory prostate tumors grown in mice. In October, 
      Medivation announced compelling Phase 2 clinical results for the 
      treatment of Alzheimer’s disease. Not only did 
      treated patients show an improvement over placebo, but also they 
      demonstrated a significant improvement over baseline for all five 
      endpoints of the study. In Huntington’s 
      disease, the Company initiated a two-part Phase 1-2a clinical trial in 
      October 2006. The second phase of the study is expected to begin in the 
      first half of 2007 with efficacy data reported in the second half of 
      this year. Based on the dramatic and promising results from Medivation’s 
      Phase 2 Alzheimer’s study, on the recently 
      announced preclinical results in the Company’s 
      prostate cancer investigation, and on our perceptions of management’s 
      capabilities, we believe that the Company has a better than average 
      opportunity to clear regulatory hurdles and ultimately win FDA approval 
      for one or more of its development programs. We assume that Medivation 
      wins approval of its drug candidate for treatment of Alzheimer’s 
      by 2011 and that by 2013 sales reach $1.3 billion. Discounting a 
      price-to-sales multiple of 5x, we calculate a 2008 price target of 
      nearly $27.00 per share. Based on this price target and timeline, we 
      rate Medivation’s shares a Strong Speculative 
      Buy.
    
    
      About Dutton Associates
    
    
      Dutton Associates is one of the largest independent investment research 
      firms in the U.S. Its 31 senior analysts are primarily CFAs and have 
      expertise in many industries. Dutton & Associates provides continuing 
      analyst coverage of over 140 enrolled companies, and its research, 
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      The cost of enrollment in our one-year continuing research program is US 
      $35,000 prepaid for 4 Research Reports, typically published quarterly, 
      and requisite Research Notes. Dutton Associates received $35,000 from 
      the Company for 4 Research Reports with coverage commencing on 
      5/04/2005. We do not accept payment of our fees in company stock. Our 
      principals and analysts are prohibited from owning or trading in 
      securities of covered companies. The views expressed in this research 
      report accurately reflect the analyst's personal views about the subject 
      securities or issuer. Neither the analyst's compensation nor the 
      compensation received by us is in any way related to the specific 
      ratings or views contained in this research report or note. Please read 
      full disclosures and analyst background at www.jmdutton.com 
      before investing.