Replies to post #8364 on Halozyme Therapeutics Inc (HALO)

[Fred Kadiddlehopper]

I did listen and it was the same old drivel, IMHO. She hasn't got the chops for M&A. It's a particular set of skills.
Your foresight is spot on. HALO is a slow-motion train wreck, and it's only a matter of time until the analysts see past her incessant smoke screen.

The chart is in overbought territory, so lightened up some more.
Took a small position in VKTX during today's pullback.
There will be other opportunities as well.

[Fred Kadiddlehopper]

By the way, the way I interpreted Howeeme's post was that Helen's promised small volume autoinjector deal (which was among the three new deals she promised ~14 months ago) was lost to Ypsomed. What do you think?
https://finance.yahoo.com/news/viridian-therapeutics-enters-autoinjector-pen-120000066.html

[biotechinvestor1]

You are incorrect in stating: “royalties get cut in half on about 45% of total sales.”

This step down/cut you mentioned only applies to Darzelex SC (i.e. Faspro) royalties. It is not the case for any of the other Enhanze products (Fesgo, Vyvgart, etc.)

It also does not apply to product sales. Remember that in addition to royalties, Halozyme sells Enhanze itself.

And, it also does not apply to milestone payments.

The step down in royalty rate in a single product outside US is more than offset by continued growth in all of the other royalties, sales, milestones, etc. combined.

This is why Halozyme gave a 5 year projection in Jan and reiterated in Feb of 20-30% EBITA CAGR growth. 20-30% ANNUAL growth in EBITA between now and 2028 is pretty well understood by now.

This kind of misinformation has gotten old and has lost its effectiveness. It’s probably why share price has gone up about 30% without any new deals or positive news since January when Halozyme dispelled the patent cliff misinformation. Time to find something else.