Galena Biopharma fka GALE

[Euripides90]

Positive outlook/options buried beneath scary title might account for today's pop, also shorts covering, BUY rec, hope this is the start of a steady up-trend, not more annoying flipping:

http://www.nasdaq.com/article/could-galena-biopharma-inc-be-running-out-of-money-cm403786


One of the primary ways Galena has been looking to hedge its cash burn is through the acquisition of essentially pharmacy-shelf ready therapies. The acquisition of sublingual cancer pain medication Abstral from Orexo last year and the licensing of Zuplenz give Galena an opportunity to generate revenue now to help offset its administrative and clinical costs. Even though Abstral is looking as if it'll miss Galena's bullish projection of $11 million to $15 million in full-year revenue, combined Abstral and Zuplenz could deliver in the neighborhood of $20 million in total sales in 2015 and perhaps $30 million in 2016. From an EPS loss standpoint this could shrink Galena's net loss in half compared to Galena's full-year results prior to Abstral and Zuplenz.

Source: Galena Biopharma.

It's certainly possible that Galena could also license or partner NeuVax with a larger pharmaceutical company in order to raise cash. However, the prospect of this happening prior to Galena revealing its phase 3 PRESENT results are probably minimal at best. Adjuvant therapies and small-cap cancer drug developers haven't been the most successful combinations over the years, and will likely keep any potential licensing partners on the sidelines for at least two more years.


Its true valuation, however, depends on NeuVax. The PRESENT study truly holds make or break potential for this stock, with Abstral, Zuplenz, and even additional share offerings playing only a minor role. While I remain cautiously optimistic on Galena, I also am sticking squarely on the sidelines.

NeuVax could be a big seller for Galena,

Read more: http://www.fool.com/investing/general/2014/10/20/could-galena-biopharma-inc-be-running-out-of-money.aspx#ixzz3GoNHrr7A