Reset button

PDL BioPharma Inc. found itself caught between the hammer and the anvil in 2006, as revenue projections slipped while projected costs went up significantly. At the same time, a small product failed in Phase III, and a more important one was delayed. And the year ended on another sour note, as partner Roche said it will end its involvement in the development of daclizumab for transplant maintenance therapy.

As a result, investors hammered the stock. After topping at a 52-week high of $32.80 and a valuation of $3.7 billion on March 31, 2006, the shares fell 50% to a 52-week low of $16.51 and a valuation of $1.9 billion on July 21 - a period in which the BioCentury 100 index was off 15%. ...