Biotechs are evaluated on the future potential. I
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Posted On: 01/05/2020 1:42:54 PM
Biotechs are evaluated on the future potential. I is not easy to make these price projections but a company does not have to have revenues to be worth Billions.
As an interesting number: "Almost 80% of the constituent companies of the Nasdaq Biotech Index (NBI) companies have no earnings; over 150 companies representing over $250 billion in market capitalization."
So, in average a Biotech company is worth $1.66 Billion with no earnings.
We have a great drug, earnings are coming soon and we have multiple indications in an area where the prices are high, Oncology.
The pipeline of a company is what normally defines the valuations.
I submit that we are under-under-valuated at this point. However, data from mTNBC and/or NASH can change he course on a dime once it is generally understood that the potential is there. Imo not enough people (and institutions at large) are aware of it
As an interesting number: "Almost 80% of the constituent companies of the Nasdaq Biotech Index (NBI) companies have no earnings; over 150 companies representing over $250 billion in market capitalization."
So, in average a Biotech company is worth $1.66 Billion with no earnings.
We have a great drug, earnings are coming soon and we have multiple indications in an area where the prices are high, Oncology.
The pipeline of a company is what normally defines the valuations.
I submit that we are under-under-valuated at this point. However, data from mTNBC and/or NASH can change he course on a dime once it is generally understood that the potential is there. Imo not enough people (and institutions at large) are aware of it
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