Replies to post #420894 on Anavex Life Sciences Corp (AVXL)

[crescentmotor]

Dr. Missling ought to give back his MBA if he can't generate a higher post tax profit margin than 20%

Totally agree--I didn't check the numbers, but I think something in the 55% to 65% range might be the industry average.

[WilliamMunny]

Just to follow up on the rough earnings model for AVXL on Rett alone discussed yesterday, should blarcamesine receive approval from the FDA, as many of us here (including myself) expect, I looked up the Federal operating tax loss carryforward for Anavex. As of the last 10-K for fiscal year ending September 2022, the company had a carryforward of $123.4 million. By now I suspect the number is closer to $140 million, or about $1.75 per share. That should cover a very decent chunk of Rett earnings in the first year or two. Cash and cash equivalents totaled about $154 million, or just shy of $2.00 per share. For an $8 stock I would say that puts AVXL in a pretty good position as it transitions into a commercialization phase, as Missling expects.