The Speculative Biosante Pharmaceuticals Inc.(NASDAQ:BPAX)

Biosante Pharmaceuticals Inc.(NASDAQ:BPAX) has recently shined as one happy company having everything they do come out successfully.

The company said their GVAX chronic myeloid leukemia vaccine works, as it was supposed to, per their announcement that exited the market on March 11. Earlier in the month they had also collected $18 million by selling stock to two institutional investors.

Of all the products in Biosante’s pipeline the top one is a marketed menopausal symptom reducing gel under phase 3 trials. It is the product that most of this recent funding will be directed toward. According to the company’s CEO, Stephen M. Simes, LibiGel have the chances of becoming the first FDA approved product for treating menopause caused sexual disorder.

They have the funds and the nearly finished trials expectations are high as well. The new drug application, though, won’t be submitted till mid 2011 and it still has chances of failing no matter how much is invested in the research.[BANNER]

For research phase pharmaceutical companies, stock price valuation is hardly comparable to their financials. Biosante’s marketed Elestrin is bringing in around $100 thousand in quarterly revenues. And the company is losing around $4 million to research and administrative expenses every three months.

The stock price movement related to promotions and capital raise is often short lived if there is no improvement in fundamentals. This is the case where improvement isn’t even expected – all they want to achieve is to see LibiGel on the market.

Other products, like the leukemia vaccine, look promising as well, but with all the potentially upcoming fame, it’s still unclear where the stock should be standing right now.

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