Geron Corporation (NASDAQ:GERN) Has Yet To Make The Breakthrough

[[tagnumber 0]][[tagnumber 1]]It has been twenty five years since Geron Corporation (NASDAQ:GERN) filed its Articles of Incorporation in the state of Delaware and slightly less since the biopharmaceutical company set out to develop novel drugs for rare diseases. So far, GERN has one product candidate which has a long way to go before getting an FDA clearance. The company has loads of cash, yet continues to generate losses on a quarter–by–quarter basis. Last year, GERN teamed up with an outside enterprise, Janssen Biotech, Inc., to pursue new prospects for the further development and commercialization of its sole drug candidate worldwide. How has the company‘s stock been doing this year, though?[[tagnumber 2]] [[tagnumber 0]][[tagnumber 4]]A quick scan of GERN‘s YTD chart performance shows a slightly positive trend which ended in early–August, i.e at the height of the Q2 earnings season. Just like thousands of other publicly traded companies, GERN announced financials in the first week of August. Apparently, the results did not differ much from those incurred in Q2 of 2014. Net losses slightly increased and so did the general and administrative expenses due to higher non–cash stock–based compensations.[[tagnumber 2]] [[tagnumber 0]]With regard to the collaboration agreement with Janssen, GERN managers expect a complete transition of all imetelstat–related activities to the latter during the third quarter of 2015. Maybe the support of one of Johnson & Johnson‘s businesses in the face of Janssen Biotech, Inc. is exactly what Gerom needs in order to make a breakthrough both in fundamental and technical aspect. In the light of GERN‘s less–than–stellar chart performance ever since it went public back in 1996, the company has quite a few reasons to redeem itself to all the investors it has diluted over the years due to numerous stock offerings which continue to this day.[[tagnumber 2]] [[tagnumber 0]]Provided that imetelstat eventually makes it to the market, GERN shares will hardly be worth what they are worth right now. Considering that the product candidate in question has yet to reach the end of any of its ongoing clinical trial, it will probably take years before a resounding success occurs. In this respect, the high short interest in the stock at the moment is indicative of a bearish rather than a bullish sentiment to GERN shares. At $2.93 per share, which is what the company‘s shares are traded at today, they are fairly close to moving into oversold territory.[[tagnumber 2]] [[tagnumber 0]]It took GERN more than two decades to come up with a product ready to hit the market. Now that a major biotech has joined in, investors expect a much shorter time frame. How short it will be remains to be seen.[[tagnumber 2]]