Halozyme Therapeutics Inc (HALO)

[maumar]

I don't know whether today's pps is fair or not. I'm hoping we get some more clarity on Nov 12th.

Halo needs to have some more enhanze targets in phase 3 so that analysts and investors can have more visibility in the medium term. SC Darzalex should be approved in July 2020, not sure about Perjeta/Herceptin but probably 2021, and then what? We need at least another two or three drugs to be approved in 2022/2023 or Halo will have no chance of getting to $1B in royalties by 2027.

Still, if JNJ and Roche (the most likely suitors imo) believe Helen's projections are somewhat realistic, I would think they might be willing to pay $3B now and if the company manages to turn a profit by Q2 2020, revenue growth accelerates, etc., up to 5 or 6 billion in a year or two. If Helen is confident Halo will get to at least $800M by 2027, I would think she will try and talk the board into waiting.