Ebb & Flow On the flip side

Investors are often advised to buy and hold stocks they like. But a review of stock price behavior around FDA advisory panel meetings shows that such strategies aren't always rewarded. Judging from the trading histories of 19 companies that have had FDA panel meetings going back to September 1995, investors are selling immediately after the actual event, even if the news is good.

Of the 15 companies whose products were recommended for approval, nine lost value in the next trading day, while three were flat