Wall Street analysts come from all sorts of backgrounds . The guys who manage biotechpharma investment funds know a thing or two about biology and usually have a few PhDs and MDs on speed dial . You don ' t even have to know much to know that there are no really successful Alzheimer ' s drugs out there , and that the scientists working on these drugs are looking for something to drastically slow or even reverse the disease . Something that works is better than nothing , and nothing is out there , so yes , even a small step would be a drastic improvement and would also make a LOT of money . Like unbelievable amounts of money . Why so much money ? Three reasons make it the perfect storm . First of all , old people ALL have health insurance in the United States . Medicare covers everyone over 65 . Second , Medicare can ' t negotiate the prices it pays for drugs , so it pays sticker price . Thanks , Bush administration Republicans circa 2002 ! Y ' all rock ! Third , as we push down the death rates from cancerheart diseasestroke , a lot more people are getting Alzheimer ' s . And if we can extend the lifespan of Alzheimer ' s patients , they ' ll be on this new Alzheimer ' s drug for longer too . I wouldn ' t be surprised if the Alzheimer ' s drug when released would be $ 30 k per year .