Replies to post #8031 on Soligenix Inc (SNGX)

[Rogerthat1]

Zacks research report: http://s1.q4cdn.com/460208960/files/News/2016/October-7-2016_SNGX_Zeng.pdf?utm_content=buffer613ed&utm_medium=social&utm_source=twitter.com&utm_campaign=buffer
PT: $25 (conservative target)

We adjust our price target to $25 per share to reflect the one-for-ten reverse stock split. On Oct. 7, 2016, Soligenix announced a one-for-ten (1:10) reverse stock split which was implemented by the Company in preparation for its proposed up-listing of the Company's common stock to the NASDAQ Capital Market. The reverse split improves Soligenix's capital structure and creates a more appealing stock price, thereby, increasing the Company's likelihood of achieving its goal of qualifying for up-listing. Importantly, it also has the potential to better facilitate a multitude of strategic initiatives, including partnership, merger and acquisition, as well as equity financing. Up-listing is a key milestone for the company s growth. The NASDAQ listing is expected to facilitate greater liquidity in the stock as well as enable broader access to the investment community, many participants of which are unable to buy stock listed on the bulletin board. We remain optimistic about Soligenix s long term prospect. We believe there are multiple catalysts to drive the share price up in the next 6 to 12 months. Soligenix becomes a late development stage biotech company through the acquisition of SGX301, a Phase III candidate for CTLC. Soligenix is focused on cancer/cancer supportive care and GI disorders, two large pharmaceutical markets both in the US and around the world. Soligenix also develops vaccines/oral therapeutics for biodefense. In addition to SGX301, Soligenix has built a diversified pipeline using three proprietary platform technologies: the SGX942 platform, the oral BDP platform and the ThermoVax platform. We are optimistic about its drug candidate SGX942 for the treatment of mucositis. The preliminary positive data reported from the Phase II trial is a significant de-risking event for Soligenix. SGX942 has a new mechanism of action and will command a significant market share of the oral mucositis market if approved in our view. The Company s oral BDP has the potential to target multiple GI disorders such as Crohn s disease, radiation enteritis and GVHD as well as ARS. Soligenix s vaccines and biodefense therapeutics are being developed under specific FDA regulatory guidelines called the Animal Rule. We think the Animal Rule means a lot for Soligenix, because this can accelerate the development of the ricin and anthrax vaccines as well as OrbeShield. Once approved by the FDA, Soligenix will have the opportunity to negotiate a stock-pile contract with the US government. These stock-pile or procurement contracts have been very lucrative for other companies supplying similar drugs to the US government and will provide significant cash flow to Soligenix. Based on our analysis, we believe Soligenix shares are undervalued at current market price. Currently shares of Soligenix are trading at around $0.60 per share, which values the Company at $21 million in market cap based on 33 million outstanding shares. This deeply undervalues Soligenix shares in our view. Our price target of $25 per share values Soligenix at $85 million in market cap which we think is very conservative.