Long or Short Capital

Pfizer’s (NYSE: PFE) new anti-smoking pill, Chantix, has experienced the fastest sales ramp of any Pfizer drug. Chantix doesn’t contain nicotine; instead, it targets the brain receptors that make smokers crave nicotine. But there are some concerns that the drug causes sleep disruption and abnormal dreams. Here is one example:

The second night, I dreamed I was dating a dinosaur, about eight feet tall and very cute, as dinosaurs go. He lived in a little grotto in the woods near my father (Dad actually lives in a city), and the dream included odd details such as us planning a trip to the seaside and me trying to decide whether to pack a bikini or one-piece.

And here is another:

I dreamed I and two other women were being held hostage by Wild Bill Hickock and his gunslinger pals in a room above a saloon in the Old West. I concocted an escape plot that involved me slitting the throat of one of his henchmen, hiding the body, packing up our stuff and trying to sneak out.
Unfortunately, I also suggested we all go to the bathroom first — as if there were “bathrooms” back in the 1870s — and we got caught by Wild Bill himself, who came back unexpectedly early from a night of gambling.

Further due diligence reveals that these dreams are not “abnormal,” they are actually pretty sweet hallucinations that would normally require at least a hit or two of acid.

Recommendation: LoS proprietary research indicates that the market overlap of smokers and those desiring dinosaur-makeout dreams is quite high. Long Pfizer, assuming they create a separate marketing campaign to target this segment.