Enanta Pharmaceuticals Inc (ENTA)

[DewDiligence]

I thought the magnitude of today's selloff was unwarranted given my view of ENTA’s prospects for the next couple of years and beyond.

Some investors may have misread yesterday's press release and conflated ENTA’s guidance for FY2018 gross operating expenses with guidance for FY2018 cash burn, which was not given. (ENTA can’t give guidance for cash burn since they don’t yet know what the royalty income from ABBV will be; i.e., ABBV has not yet given guidance for Mavyret sales on which ENTA's royalties will be based.)

The exact price I paid for today's purchase does not have any intrinsic meaning—it's simply what I was able to get.