Avid Bioservices Inc (CDMO)

[keep_trying]

Good morning Carboat. If Avid revenues are up while PPHM burn rate to support operations exceeds the net revenue change, sure, we won't see the particulars of how any Avid net profit translates to PPHM value. However, PPHM has reported that their profit margin for Avid revenues runs a little over 25% based on past quarterly reports. Thus, from a "ball park" perspective, we can guestimate what an Avid revenue increase translates to for figuring the PPHM bottom line. More Avid revenue means less need to "hit the ATM machine", as you worded. Every bit helps, IMO.

Regarding today's trading, it is nice to see the pps sustaining itself well above that invisible $1.40 pps ceiling observed these last couple weeks, but I observe that the $1.50 threshold being broken would carry more significance. It is $1.50 at which there is a call options break point for being "in the money" for a significant quantity of options being held. Breaking out of that "Max Payne (Pain?) $1.50 pps zone going into an options settlement period would reaffirm that the trading pattern is shifting higher with more likelihood that the pps will have staying power, establishing a higher trading base.

FWIW, I am finding call options looking attractive from the standpoint that I have lots of common shares already and my estimated February 2014 PPHM management performance timing bogey can fit an options profile. We shall see if putting some money behind my timing guestimate pays off. PPHM has the tendency to disappoint for reasons that are truly unexpected (like clear evidence of miscoding at the CRO, LOL!).

Best wishes and IMO.
KT