lots of things fret me about PPHM...
I'm long-time shareholder...but sometimes, my level of irritation just gets so high, I gotta vent a little.
For example, I think it's a reasonably safe assumption that the odds greatly favor bavi approval in phase III trial. The aims and goals set for the trial appear to be easily within reach, and wherever you set the time-line for completion, it appears to be in order.
So why such a low pps? The "greed factor" that would apparently lead to increasing share price just doesn't seem to apply here.
With a biotech company, one hears a lot about the importance of "depth of pipeline". When you consider imaging, beta-bodies, broad spectrum of application, and other things I consider germane to "pipeline", we're apparently in good shape here, too.
So why such a low pps? Seems to me we're in a lot better shape with pipeline than many others with higher valuation.
Manufacturing capability is something we have that many, many others do not. Avid has shown leadership in developing more efficient production, has good operating margin, and has shown some good, steady growth in past years. If Avid were a free-standing entity, what would it be worth on the stock market? Seems to me it would be worth more than the value it currently has as a portion of our stock price.
Intellectual property value is another facet of valuation in the biotech world...and here, too...I fail to see why ours is considered so unworthy of higher pps. It appears to me that with the growing recognition of immunotherapy in cancer, and allegedly being in the forefront of this field, we should be accorded a higher pps than where we currently stagnate.
Marketability of bavi, in my mind, is exceptional. Everybody recognizes that approval in a growth field means increasing revenues. But our pps, IMO, does not reflect what approval would mean to our bottom line.
Much has been said about our BOD and about lack of credibility. And about the level of industry experience of BOD members. Well, I think being a co-inventor on bavi with Thorpe gives SK enough gravitas to make up for some of that. After all, who makes a better advocate for a product than the guys who came up with it? Furthermore, a better mousetrap is still a better mousetrap, no matter how bumbling the hands that hold it.
Guys, I'm sorry to bitch about my investment. But sometimes, ya just gotta let of some steam.
