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.

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