ImmunoGen Is Over-Valued

BOSTON (TheStreet) --ImmunoGen(IMGN) , with a market value hovering around $1.2 billion, is significantly over-valued.

I'm sorry for being a Debbie Downer. I like the guys running ImmunoGen. It's a feel-good story -- a small drug delivery technology company done good with a nice run in the stock price. Unfortunately, the numbers don't lie: ImmunoGen only gets a tiny 5% royalty on sales of the breast cancer drug T-DM1 being developed by the Genentech unit of Roche(RHHBY) .

Even if T-DM1 becomes a blockbuster cancer drug, ImmunoGen's stake is tiny, meaning there is no fundamental rationale for the stock to be even close to $15..

I understand that traders are bidding up ImmunoGen on today's announcement from Genentech about the positive T-DM1 results from the second-line breast cancer trial known as "EMILIA." At some point, numbers do matter -- a point "investors" should keep in mind.