Perspective Therapeutics Inc (CATX)

[Lenard]

Even if it takes time to get the full bang, there will be many nice pops to take advantage of just as there were 3 or 4 in the last 6 months



When it comes to emerging companies like IsoRay one major obstacle though is funding. But here again, IsoRay is in a solid position. Babcock told us that the company has around $20 million in cash on its balance sheet, which at the current burn rate is sufficient to last for eight years. When asked whether the company will look to capitalize on the surge in share price this year by coming out with a secondary offering, Babcock said that there is no immediate need for such an offering. However, he added that the company would always like to be in a strong cash position, especially if it considers a synergistic acquisition in the future.
One concern for IsoRay has been the continued market weakness for all prostate treatment modalities. While Cesium-131 has shown positive results in all forms of cancer, IsoRay still generates more than 80% of its revenue from prostate treatment. While the ongoing weakness is a concern, Babcock told us that the market is starting to show signs of turnaround.
The rally in IsoRay shares this year has caught the attention of investors in the healthcare sector. The big question for them is whether such a rally is justified and if there is any further upside in the stock. Based on Cesium-131's potential in cancer treatment, the rally is justified. More importantly, as Cesium-131 continues to gain acceptance among medical community, there is further upside in IsoRay shares. The company is on the right track with its strategy of getting as many peer reviews as it can. It has a strong cash position and with no immediate need for cash, there is not likely to be any dilution. Even if the company goes for a secondary offering to take advantage of the surge in stock price, it will be for a synergistic acquisition. This means that move will be eventually accretive