Obalon Therapeutics, Inc. (OBLN)

[DS CPA]

Maybe someone can help me out here. Do we know what the O/S is?

As of 7/19/19 (Per 10Q) there were 35,582,614 shares, so after the reverse split there is 3,558,261. An additional 2,427,500 were issued at $4.00 in the most recent public offering. That is 5,985,761 total. I would even maybe include the prefunded warrants of 1,735,000 since the cash was already received and they are immediately convertible. That gives 7,720,761 total, with a remaining 1,723,125 in common warrants ($4.40 strike) and about 286k in existing options / RSU’s / etc. based on the 10Q after the RS.

Does anyone have anything different? If not, we are talking a current market cap of about $17m (if you include the prefunded warrants).

The company likely has more than that in CASH on hand and has very little debt. Not to mention the IP and other assets.

How is this possibly so undervalued? Am I missing something? I don’t necessarily agree with the company’s direction in terms of opening retail weight loss centers, but this still seems like a phenomenal value buy. I mean the recent offering was at $4 a share and we are nearly at half that.