Cytodyn Inc (CYDY)

[Scooter McCabe]

You can't get an EUA off of 16% of the data used to drive a specific outcome. That's not good science.

Remedesivir may have set a low bar as the standard of care, but it's results came from using the entire population in it's study.

If CYDY's results came from using the entire population of it's study and the FDA hand waved them away then it would be criminal and something would be very wrong.

But 16% does not a solid study make.

If the new study shows significance in it's entire population it will move things in the right direction. But there are risks ahead. Other companies getting an EUA may eliminate CYDY's chances of an EUA if a need is considered met. There is no guarantee that the results can be replicated. They could take longer, as has happened multiple times in the past, to enroll patients for the study. They can set and blow timelines as well. Also dilution becomes a risk again as more studies means more money required. Finally the lawsuit ahead is also a cash drain.

A 5 dollar price target is very aggressive at this stage. I don't think CYDY will move until it generates actual revenue and shows further dilution will not happen.