Biotech Values

[DewDiligence]

Re: GTCB analyst reports / EV

From the same R&R report:

>>With EU launch expected in the next 9-12 months and an EV of <$25 M, we believe GTC is positioned to outperform its peers should ATryn's launch be successful<<

Just to be clear: EV is the Enterprise Value, which is the market-cap of the stock plus debt minus cash on hand; i.e., EV is a measure of how much investors are valuing the business itself irrespective of the balance sheet.

On a fully-diluted bases, GTCB’s EV at the current stock price is closer to $50M than the $25M figure cited by Rodman & Renshaw, but it is nevertheless a very, very cheap EV for a company close to a having an approved drug in a major jurisdiction.