AQXP - $18M EV and big pharma backing
There will be a couple of you on this board that have seen me touting AQXP on Twitter under my name "jstbiotech" all the way down from the $9s (oops, I got it really wrong. Live and learn). However, I felt the valuation ($18M EV as of today's close) has finally come to a point where I would share the company with this board.
It's my firm belief that like in recent IPOs TRVN, QURE, GLYC, etc. a HF that bought the AQXP IPO has slowly been unwinding its position since July. Like the other IPOs mentioned above, this has created a massive continued downward pressure on the stock, almost to cash value. TRVN, QURE, GLYC, once the selling stopped, all bounced 50%+ off their lows. I don't know where the bottom to AQXP will be, maybe it was $6.35 today. All I know is this is one of the cheapest recent IPOs out there with 2 data catalysts in the not too distant future in COPD and BPS/IC. Furthermore, the company has backing by Pfizer, J&J, and Pharmstandard (Russian) who own a combined ~33% of the company. Baker Brothers holds 12% and has been one of their rare private investments.
Regarding the science. It's novel, but has passed 2 POC trials to date. Not to say the SHIP concept will succeed in their current 2 trials but upside at this valuation vs. downside is absolutely skewed in favor of buying and I have seen no "red flags" in the data to date.
Just thought I would share this stock that I'm passionate on. Regardless of what you may think about the prospects of + data, you still can't get much cheaper than this level (which to me is solely due to a fund seller(s) in a low liquidity environment) for a ph2 biotech IMO.
