Replies to post #333907 on Avid Bioservices Inc (CDMO)

[purpledawgs]

West,

They already warned they may see potentially a $6 million-$7 million hit in revenue and cash burn in the 4th Q. So what number are you using for expectations as to whether they beat for the Q?

PD

[Bluerinse]

Sadly they will surely disappoint... and you're right we will be below 4 .... this company is a complete clown show...time to bring King back I think he did a better job with the CDMO business despite the fact he was a puppet
IMO

[peregr]

I don't think Richard Hancock and Hart fully understood the new guidelines and the impact it would have on the company and shareholders. Should have at least applied for the $2 million.

Absolutely correct that the latest price drop is due to the return of grant money. Certainly not saying Avid, or any company should be fraudulent in their application but I agree with your justification and also here is an excerpt from the CJ Gaddy posting/link of 20 May:

Some Treasury guidance related to loan size suggests that about half of the PPP loans given to public companies don't need to be returned (link). It says any borrower that received less than $2 million "will be deemed to have made the required certification concerning the necessity of the loan request in good faith," and FactSquared has found that a little more than half of the roughly 400 PPP loans given to publicly traded enterprises were for less than $2 million.
Republican and Democratic members of a new watchdog panel also have clashed over whether some public companies should return their PPP money (link).
What's more, most of the publicly traded companies that received PPP loans rank as micro-cap stocks, according to FactSquared's data. So they might not fit the bill when it comes to the Treasury's targeting of borrowers with "substantial market value and access to capital markets (link)." A micro cap is often defined as a stock with a market value of $300 million or less (link).

[Wernaaa]

If they disappoint AGAIN, i guess we should dig deeper WHY they don‘t gain traction in the most needed sector at the moment! What must happen, that they perform like a plain CDMO?? Have a look at Lonza, Evotec....

Rinse and repeat!
New management with no effect on SP; still looking for a new CEO - but without success! Production-interruption, (still) bad communication with shareholders, no detailed accounting, (paid?) story-telling (PS)....and so on and so on...

Any reason, why they still act in that way?????

[swg_tdr]

hey westjitter, it is all about getting rid of retail, time is on their side. best,

[defender91]

I believe you are wrong westjtter, our share price is a result of more sellers than buyers, the loan had to be paid back , we were not entitled to the loan as the rules changed after we received the 4 million , our little Avid is in a good financial position and not in dire straights ,i'm not sure where your ideas are coming from but it couldn't be the balance sheet.The feds today announced that they will investigate all loans above 2 million to confirm that the company is in fact in a dire financial position because of the covid 19 pandemic. You are lucky to own a company that has prudent management and does error on the side of caution. You are right on one point though ,that we are in a perfect environment for producing antibodies. We should all be rewarded very soon, good luck.