Impact of 2014 FDA "Breakthrough Status" on Market Capitalization, 30 and 60 days out

 FDA "Breakthrough Status" appears to have no consistent impact on market cap in the short term (30-60 days). 

Yah, and where did you come up with that?  

FDA web site lists drugs receiving breakthrough status, so check the list yourself, wise guy. FDA Breakthrough Status Approvals in 2014.  Now, if you have the time and energy, look at each of the firms, and track the share price/market cap the day before the status was granted, and then at 30 and 60 days out.  (And, for heaven's sake, yes, I get that it has not been  60 days yet for Glaxo and Merck, and the graph below should be interpreted accordingly).  Anyway, do the math yourself, but what I get (below) does not indicate any clear trend/pattern.  Yes, one little bio (Pharmacycics) and one BP (Gilead) got a near 20% bump, but the other five...not so much. So no consistent pattern. 

So What?

1. 30/60 days is  too early to see any change.  The real impact of "Breakthrough Status" is in the long run, and this because: a) you're likely to go to market earlier, and therefore generate revenues earlier and for a longer period (more years on patent); and b) you might skip a trial or two (which could save you $100-250m, depending on the indication and a thousand other things).

2. Stop your damn whining. The people complaining that Ariad "only" got an 11% bump after the FDA breakthrough blessing are a bunch of damn whiners that haven't done their homework.  There's no reason to think that this FDA designation should be a game changer in the short run.