October 20, 2006

SpeculatingStocks.com Stock Pick: Genitope Corporation (GTOP)

Stock Price: $3.62 (short-term strong buy)

Genitope Corporation is a biotechnology company focused on the research and development of novel immunotherapies for the treatment of cancer. The company's lead product candidate, MyVax® personalized immunotherapy, is a patient-specific active immunotherapy based on the unique genetic makeup of a patient's tumor and is designed to activate the patient's immune system to identify and attack cancer cells.

GTOP is still a year away from their clinical phase III trial result for MyVax®, but GTOP's chart setup is looking sharp. There's a gap between $3.83 and $5.20 that should be covered as time progresses especially with the way GTOP has been trending higher since August.

GTOP could even fill the gap by gapping higher with 20.80% of the float short. These shorts could be forced to buy back and cause a short squeeze to add to the buying pressure.

Retail and institutional investors have both been moving into GTOP. In fact, CPMG, Inc. purchased $3.03 million in GTOP shares between $2.50 and $2.91 since August.

GTOP has $64.85 million in short-term investments on the balance sheet and cash of $10.45 million. GTOP is trading slightly above its book value of $3.50.

SpeculatingStocks.com Target Price: We expect GTOP to reach $5.20 within the next 1 - 2 months.