<>Biogen Idec Inc. (SYMB:BIIB) is another fund holding, but Cuggino rates its outlook "murkier" largely because of the company's recalled multiple sclerosis drug Tysabri.

"We're not aggressively adding or selling off the stock at this time," Cuggino said.

Before it was pulled, Tysabri was expected to earn upwards of $2 billion a year. The drug was co-developed with Irish drugmaker Elan Corp. Plc (SYMB:ELN).

Biogen pulled the promising Tysabri from the market in the spring of 2005 over concerns that it was triggering a rare brain disorder. The FDA is expected to rule by the end of June on whether to allow the product back on the market and in what capacity. Most analysts expect a ruling in the company's favor.

Meanwhile, Cuggino noted, Biogen's flagship product, the multiple sclerosis drug Avonex, has been facing increased pricing pressure and competition, which could further burden the stock.

"But they're not sitting there," Cuggino said. The company is moving to fill its product pipeline, he added, and "trying to come up with alternatives if it turns out that Tysabri isn't a blockbuster."

Because of Tysabri, Biogen's true market value is difficult to gauge, said Cuggino. If Tysabri is ultimately successful, there could be a "surprise upside" to the stock, he added.

On Friday, shares of Biogen Idec added 1 cent to $47.

Originally published on May 29, 2006

http://www.nydailynews.com/business/marketwatch/story/421931p-356183c.html