InvestorsHub Logo

Northstar42

03/26/18 9:30 AM

#21120 RE: Bulldog88 #21119

Annual Revenue.

misiu143

03/26/18 9:45 AM

#21122 RE: Bulldog88 #21119

If you read post 3311 there is a good explanation for biotech.

buckysherm

03/26/18 10:10 AM

#21123 RE: Bulldog88 #21119

That is market potential. Pro140 will only get a fraction of that $1.2 Bill or $3.8 Bill per year. That assumes 100% of Hart failures for combo and 17.5% of Hart patients for mono. Isn’t that too optimistic ? Still dividing by 2 means $2.5 Bill per year.

BlackDoggie

03/26/18 10:48 AM

#21126 RE: Bulldog88 #21119

The short answer is that a rule of thumb is 3x peak annual revenue, then discounted for risk, cost to bring to market, etc. Some would say a range of 2x-5x is reasonable. A quick look at any recent biotech acquisitions shows this rule of thumb to be just that, and not a particularly accurate one. However, it probably puts you squarely in the middle of a big ballpark of potential figures.

As was already mentioned, even cutting these projections in half results in a starting point market valuation of a big, big number. Even for combo alone.