The latest Investing Matters Podcast episode featuring Jeremy Skillington, CEO of Poolbeg Pharma has just been released. Listen here.
There may be good reasons why Avacta want a 5th cohort - eg. to find the MTD to improve efficacy, BUT it would be disappointing to be made to wait even longer for a data readout.
To me, it would make sense to provide data that they have to date, including any biopsy info, if it is going as well as they say. If positive, it would generate huge interest, increased company value and would facilitate funding without further shareholder dilution.
So the question for me is not if we will have another cohort , but when will we see the data.
Great performance / results in a difficult period.
Loads of cash in the bank to support ongoing growth. SP 40% down from highs in spite of improving growth - So it looks very promising for the medium and long term share price when the markets start to rally.
The performance and results here demonstrate what we have: a market leading growth stock in an in-demand area that will perform in a recession and with cash in the bank.
I'll take that, especially when you look around at the difficulties facing so many other companies.
The SP growth isn't going to blow the doors off overnight, and its difficult to see how the wheels could come off, so hopefully traders and shorters will go away, and we can look forward to steady growth over the coming months and years (and ultimately a buy-out).
GLA
TDinvestor, some of the things that enticed me:
- 6%+ divi
- healthy cash position
- revenue exceeds market cap
- revenue grew whilst SP reduced 50%+ over past year
- PE ration 9:1
- EV to EBITDA 6.41
- Company track record and comms
- Analyst forecast 207p
The risk-reward looks good here in what has been and currently still is a terrible market for small caps
I've bought in today - looks too cheap not to.
The business looks in great shape to ride out the recession and inflation.
I don't know if the SP will go lower, but the fundamentals will not allow it to stay this low in the medium term.
Very good and convincing thread yesterday on it working, but I still worry a little about the timeline.
Expectations are now set on September, but the AGM text also gave wriggle room, quoting q3/4 for a readout. Which is December or later in AS’s world!
We don’t want to head into 2023 with cash starting to run down and no data.
So what are people’s thoughts on the possible impacts of more patient withdrawals? - can Avacta mitigate the risk by publishing incomplete info they already have, or is that not the done thing?
Very good interview.
It does feel like they have a good strategy for rapid growth and have the right technology/capability in the right sector at the right time.
The current SP perhaps doesn't reflect that, and its been a grim fall for some, but unless the wheels fall off, I think this will rocket at some point over the coming months or years.
Its a long term hold for me, and (hopefully) watch this grow.
I find it astonishing that anybody still attributes value to the LFT and would sell on confirmation of it being shelved.
Avacta is pretty much all about the theraputics in the short to medium term - that is where the value is.
I must admit, I was quietly concerned that dose escalation hadn't started, as that is the main early indicator (for us) that Pre cision works in humans, not just in mice.
So, after the LFT **** show, it's a big relief today as one of those who probably invested more than I should here.
I am now invested in a company that can deliver higher doses of toxic drugs into cancer patients - and thereby save lives and make money.
That feels really good :-)
For those questioning the timing or value of presenting to II's now, I think there are a number of simple reasons:
- Avacta could do with more II investment to both boost the SP and make it less volatile.
- II's will not necessarily know everything that Avacta has to offer - some may have taken little or no interest so far.
- The failure (to date) of commercialising the LFT makes it easier to highlight that Avacta is not a 'covid stock', and focus on the theraputics.
- Companies do sales pitches all the time with no 'new' information.
- If Avacta repeat the same messages given to us re AVA6000 trials, it means so much more now 6 months along.
- The SP is an absolute steal IF Pre-cision works, and still great long term value via commercialising affimers (which we know work).
To add another point that gets missed by everybody - vaccinating millions of younger healthy people uses up an immense amount of healthcare resources.
Huge numbers of people are living in pain or dying because they cannot get medical treatment, and some of this is as a direct result of healthcare resources being directed into vaccinations.
So to argue that vaccinations protect the NHS is not strictly true. For the elderly, yes, it does. But for the young, its incredibly ineffective as it takes many 1000s of jabs to stop just 1 hospitalisation. And lets not forget, the jabs don't prevent spread.
Its scary how many people go full on fascist when it comes to covid.
Average age of death from covid is 82. Thats higher than average age of death for non covid reasons. And yet paranoia reigns supreme, because of the fear spread by governments, the media, big tech and big pharma.
Well done rxdav for bringing some sense to this conversation.
There won't be many eyes on this today due to the covid panic. So today's price won't reflect just how good today's news is.
But over the coming days and weeks I am very confident the market will react very favourably.
Sit back and enjoy the ride.