July 19, 2004

SpeculatingStocks.com Stock Pick: Nanogen, Inc. (NGEN)

Stock Price: $5.10 (long-term strong buy)

Nanogen, Inc. develops and commercializes products for the molecular and point-of-care diagnostic markets for a variety of illnesses including Alzheimer’s, cystic fibrosis, and cardiovascular disease. The company has been in research and development for over ten years involving nanotechnology with future applications in medical diagnostics, biowarfare, and other industries.

NGEN is a well-known stock in the hot sector known as nanotechnology. They have a number of patents continuing with their mission to build a strong intellectual property portfolio to preserve the potential, future applications of their technology. It has been said that nanotechnology will have broad applications in the medical, material, and computer fields.

The company’s revenue has increased each of the last four quarters with net loss declining for three quarters. NGEN has over $29 million in cash and short-term investments on the balance sheet.

This is the lowest NGEN has been since the nanotech run up last December.

SpeculatingStocks.com Target Price: We expect NGEN to rise above $7.50 by the end of this year. There is little downside at this level.