$heff's $tation of $tocks & $olid DD

[pharma_trader]

OCRX - some DD here:

OCR-002 is an ammonia scavenger and has been granted orphan drug designation and Fast Track status by the U.S. Food and Drug Administration (FDA) for the treatment of hyperammonemia and resultant hepatic encephalopathy in patients with acute liver failure and acute-on-chronic liver disease

OCR-002 for Hepatic Encephalopathy (HE): ~$1.5B U.S. Market

Strong balance sheet:
Raised $25MM July 2014 @ $6 per share.
Funds enough for Ocera through upcoming milestones
No debt

"On July 10, 2014, Ocera raised gross proceeds of $25.2 million in an underwritten public offering of 4.2 million shares of common stock at $6.00 per share. Ocera intends to use these proceeds to continue Ocera's clinical development of OCR-002 and for working capital and other general corporate purposes."

OCR-002 has received Orphan Drug designation in both the U.S. and Europe and has been granted fast track status by the U.S. Food and Drug Administration.

Recent insider purchases

ANTICIPATED NEWSFLOW WITHIN 18 MONTHS --
Phase 2b interim analysis for futility and sample size
Completion of Phase 2b enrollment
Two external Phase 2a studies read out

"Acute HE remains a serious neurological disorder with few treatment options," said Linda Grais, M.D., chief executive officer of Ocera. "We believe that OCR-002 has the potential to significantly improve upon the standard of care for HE. While we are still relatively early in the trial, we continue to expect to complete enrollment in mid-2015."

Financial Guidance

Ocera continues to expect a net use of cash for 2014 to be approximately $30 million (net use of cash is the difference between the anticipated balances of cash and cash equivalents plus investments at December 31, 2014, excluding the proceeds generated from the July 2014 public offering, and the actual balances at December 31, 2013). In addition, Ocera expects that it has sufficient cash to cover its operations through 2016.

http://finance.yahoo.com/news/ocera-reports-second-quarter-2014-200200068.html