Register for free to join our community of investors and share your ideas. You will also get access to streaming quotes, interactive charts, trades, portfolio, live options flow and more tools.
Register for free to join our community of investors and share your ideas. You will also get access to streaming quotes, interactive charts, trades, portfolio, live options flow and more tools.
I also thought Dr. Perry did a fine job. While we may pick apart his comment about the healing times being more or less similar, for the investors watching his show that hadn't heard of Avita, this isn't something they would be able to criticize. To the many investors that haven't heard of Avita, I think the CEO's presentation would come across as intriguing at the very least and peak their curiosity enough to do their own research, which is really the #1 goal of publicity like this.
That's what I had anticipated last night as well, however seeing the huge volume this morning (already surpassing AVH's volume last night) and the price trading at a notable premium to AVH I could see RCEL starting to pull AVH up...
Wow crazy Cramer volume still coming in!
StLXer is off his meds again. Look at his post history, he's been posting the same crap on this board since FDA approval. I never used to believe paid bashers were a real thing, but now I'm reconsidering that belief.
Big buy this morning, 250k shares at $8.30... that's more than $2 million! Will be interesting to see if we see higher volume today from the Cramer appearance or if that's already run its course.
Today AH would've been the time to sell if you are trading RCEL. AH the price came back down to $8.20, below the close. The Cramer pump is already done and price has returned to pre-Cramer level.
Incredible, this equates to almost $0.70 AVH but it's hard to see if AVH is keeping up in ASX trading. I see AVH at $0.61 but my quotes are 20min delayed.
RCEL $9.40 now
What'd Cramer say?
RCEL $9.20 now!
RCEL price just shot up to $8.90 after hours on decent volume... must have said something good? Interesting though as Australia trading is lagging.
Have they started talking about Avita yet? Did they say anything noteworthy? I don't have CNBC so have to wait for the recording to be out.
However short-lived the Cramer pop turns out to be, I just hope it sends the recent shorts in AVH scrambling to cover tonight :)
That would explain the surge in buying this morning!
Jugs - is that you that just hit the ask for 80k shares? :)
My personal opinion on Skin TE is that it is largely not given serious consideration by burn centers because, among other reasons, it doesn't have FDA approval or enough scientific publications to support its use. This would also explain why the revenues have remained very low.
I hope they don't run ads or do any sort of "media campaign". Being a guest on Cramer's show would be fine as it is a respected enough show that it wouldn't give the impression that Avita is "paying for publicity". But ads wouldn't make sense since that's not an effective way to reach their niche Recell consumers (burn centers). And paying for ads to sell a stock is what pump and dumps do. Avita doesn't need any of that, and as an investor I wouldn't want my capital being used in that manner.
While it's great that Avita is forward-thinking and identifying all the many applications Recell could add value to, I wouldn't expect today's announcement to have any bearing on the stock price. They are in the exploratory stage, meaning any potential products or treatments resulting from their research are still years away from entering the FDA trials stage, let alone commercial use.
The answer to your question would be better put to the ERIN LIBERTO the CCO via email.
KS - I don't know how robust their Q&A session is, but if you have the opportunity to ask, I'd be curious to know what Recell usage rates they are seeing among the different US burn centers. I get the feeling that there are some surgeons that are using it on a good percentage of their patients while others are just using it for a minority (the ones with the largest burns). And as a follow-up, how much is usage increasing each quarter?
This info would be very valuable for forecasting sales and unfortunately Avita hasn't offered these important details yet in the quarterly reviews. We see strong revenue growth but have no idea how the usage rate varies from center to center and how it increases from a center's first month as a customer to say a more "seasoned" customer with 6 months of Recell use under their belt.
Thank you in advance if you do find the opportunity to ask as I unfortunately won't be in attendance.
Agreed, we can only speculate as to their intent/reasons. Although I wouldn't expect they would be shorting shares at this price given the sharp drop and knowing that $120mil in institutional money bought in at $0.59.
I think it's important to note that the Mitsubishi and MS substantial holdings notices are due to these two banks borrowing the shares from other investors as opposed to owning them. What they choose to do with these borrowed shares remains to be seen. Last time MS borrowed shares they returned most of them to the lender the next day.
It is NOT insider trading. Perry announced that he would be selling the ~29mil shares in a PR at the same time the capital raise was finalized. Once trading resumed on Wednesday, he sold the shares. At this time, all investors would have had the same knowledge of his intent to sell and could have also sold at the same time if they so chose.
So long as the institutional holders are not participating in this selloff (and so far based on current filings they are not) it will be short-lived.
It will be interesting to see the price action today. AVH's close last night puts RCEL at $7.07. That said, both of the last two days RCEL has dropped and then rallied back up into the close on decent volume, showing relative strength compared to Australia.
I got about five people in on the stock in 2013 who held until now and they’re all about to sell
Anyone participating in the secondary would have gotten the proxy in advance
So long as revenue growth continues as we've been seeing I have no problem riding this back to $5 tomorrow (although it won't get that low without institutions participating in the selling).
I think you're attributing too much of this selloff to the CEO's transaction. AVH's short interest continues to rise since the CR. Now 50mil shares are short, and I believe this is more to blame for the price drop than long investors throwing in the towel.
Insiders are not expected to try and time their transactions. If the CEO had sold at $9.70 prior to the offering announcement people (including myself) would say that was suspicious timing. They would also criticize him if he waited and sold right now at the bottom of a 25% drop. He didn't have any advantage in selling when he did and all investors had the same opportunity to sell when he did seeing that he sold after the offering announcement. While you may not like that he sold some of his shares, it's perfectly legal and common for insiders to do. This is not something that a CEO would be fired for.
Why do you see the CEO being booted out? Selling shares, while generally not popular among investors, is not something to be ousted over.
Anything can happen of course, but that rush of volume coming in with the sharp rally in the last 30min was very telling.
Dear I jinx it, but it appears we have turned the corner today - "Turnaround Tuesday".
Yes it must be UMC. That's one of the larger burn centers, I think I read they treat 3,000+ patients a year (outpatient and inpatient). If your client or his brother chat it up with the nurses/surgeon there I'd be curious to know what % of their patients are getting recell...
Thank you for sharing sdtke. It is firsthand accounts like these that remind me how truly amazing this product is. If you don't mind me asking which burn center was your client at?
Does anyone know if 1) ADR shareholders are able to vote in the general meeting next week? and 2) if yes, how?
I haven't received any information in the mail or through my broker online so am guessing given how soon the general meeting is that ADR holders aren't able to vote.
Wow, looks like someone picked up 64k shares at $8.22 premarket. That's a half a million $!
RCEL is already trading at the AVH equivalent of $0.68, well above the Australia close last night. At this rate we may even close flat for the day. The stock has reacted well to the CR, which I think is a testament to the conviction of its investors.
Anybody still watching this one? Seems someone is not so quietly accumulating shares down in the $0.60s...
It must be because AVMXF is an unsponsored ADR which Avita has no legal connection to or control over. RCEL is the sponsored ADR, meaning its issuance was funded and backed by the company, which retains legal control over it.
We also should not overlook the significance of this capital raise and what it means. The fact that Avita is able to raise $100mil from institutions at a price of $8.08 RCEL speaks volumes to the progress Avita has made this year and the confidence of institutional investors. From the SEC filings I've seen, this will mark the highest known price that institutions have bought at. Previously, we know Blackcrane was buying some shares as high as the low $7s. To now have $100mil in long-term funds invest at $8 makes this previous level of support even stronger. Institutions are not buying in at $8 to make a quick buck...