DRRX) works to develop drug-delivery systems. The small Cupertino, Cal.-based company isn't profitable, so its stock is risky. But the shares look promising to mutual fund managers Matt Patsky and Jack Robinson, who head up Winslow Green Growth fund (WGGFX).

"> DRRX) works to develop drug-delivery systems. The small Cupertino, Cal.-based company isn't profitable, so its stock is risky. But the shares look promising to mutual fund managers Matt Patsky and Jack Robinson, who head up Winslow Green Growth fund (WGGFX).

"> Durect Corp.: In the Pipeline-Kiplinger

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Durect Corp.: In the Pipeline

This small medical-supply company isn't profitable yet but has a lineup of potential products.



Durect Corp. (DRRX) works to develop drug-delivery systems. The small Cupertino, Cal.-based company isn't profitable, so its stock is risky. But the shares look promising to mutual fund managers Matt Patsky and Jack Robinson, who head up Winslow Green Growth fund (WGGFX).

The systems the company is working on are "cheaper, better, faster drug technologies to control pain," says Robinson. Durect has five products in clinical trials, including a patch that releases pain-relief medication to surgical wounds for several days. The company often partners with pharmaceutical companies to develop products.

Company officials are scheduled to discuss Durect's business at a brokerage conference next Monday.

Expenses for research and development at this stage far exceed Durect's minuscule revenues, so Durect won't make money until its products win government approval. Analysts expect the company to post a loss of 32 cents per share for 2005, and to lose 35 cents a share in 2006, according to Thomson First Call.

The stock, at $3 a year ago, now trades at $5.

--Katy Marquardt




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