Vertex shares are once again challenging our price target and with the stock up 250% over the past year, investors may be asking what to do with the stock. We would stick with Vertex.

The interim results are positive but may fall short of investor expectations.

We look for in-line fourth-quarter financial results and more upbeat guidance for 2006 than Amgen provided at this time last year for 2005.

These results, like the 14-day study before it, are unprecedented, and offer strong support for a three-month course of therapy as optimal duration.

Vertex shares may not be for the faint-hearted at these price levels. However, the hepatitis C derby is just that: a race. Should Vertex not stumble or encounter unforeseen obstacles prior to approval, $35 will wind up looking like an early exit point.

We believe that the Street does not fully appreciate the risks associated with the company's two lead programs.