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Re: None

Thursday, 04/02/2020 8:32:41 AM

Thursday, April 02, 2020 8:32:41 AM

Post# of 54913
A lot of guessing on this board and a lot of wrong conclusions.
Let's take this in steps.
Step 1 would be to sell in large quantities to government agencies, large hospital organizations and maybe even other countries. The selling price per unit is likely to be less when sold in large quantities to large organizations then when sold to individuals. Also consider how they are going to execute this business. One way or another there will be a cost to pick up the kits from China, dealing with customs, getting into this country and then handling of orders and distribution in this country (or other countries.) Likely other companies will be involved in this whole process and will take a piece of the profits. In fact, it was reported on this board that someone at the company indicated that they were waiting for a logistics partner. So who knows what the net profit will be in these large bulk orders if they have partners. I am confident that it will still be more than $5 per unit but also confident that it will be a lot less then $50 in NET profit for PRED - for large bulk orders.
However, there is also no reason why this business will not continue for quite a while whether that is 1, 2 or 3 years.
Step 2. get FDA approval for in home use. Develop expertise in selling to large retailers who sell to individual consumers. These large retailers will take out a big chunk of the profit (again think of the large retailers as partners who share in the profits.) My guess is that PRED could net $10-$20 per unit before tax in the retail side of the business. THIS BUSINESS COULD GO ON INDEFINITELY (though it might slow after the first year.)
Step 3. With the money made in the first 6 months of roll out of the bulk shipments (which easily could be hundreds of millions of dollars in profit), cash will be readily available to develop the Atrin cancer deal (multi-billion dollar potential), commercialize Artguide, develop their stem cell biz, diagnostics, Thermo, etc.
Step 4. PRED stock price is going to go up A LOT over the next 3-6 months. A LOT. And this conclusion is not a guess!