Biotech Researcher,
I would think that the bulk of the pricing event was expected so I don't think this will have any long term effect.
What this does present with ELOS's approval is to be able to make some comparison's between ELOS and RVNC.
From the latest data, ELOS is carrying an enterprise value of $340 mil and a market cap at $500 mil. Revance has an enterprise value of $440 mil and market cap of $770 mil.
So what we have to do is determine the pro's and cons of these two companies. Elos is only looking at the cosmetic arena of Botox while Revance is looking at not only cosmetic but therapeutic also. This is a big bonus for Revances sales but comes at a extreme cost.
Elos has a cash burn in the area of maybe $50 mil and Revance in the area of $120 mil.
Elos has a one year advantage to market. Revance has a better product.
Wow, lots of things to look at. But the most important financial item we need to know, yet have no clue of is if Revance will go it alone. As of today my best guess is that they will, and in that case the only people to profit will be the insiders. Case in point, Dan Browne has been a net seller of stock from day one.
