RE: All over Bloomberg25 Sep 2020 15:42
If we work on 3 years for NHS uptake to get nearly 280 UK hospitals using it, in year one 20,000 patients with COPD out of 600,000 in all of UK having serious winter exacerbations, requiring hospital or paramedic intervention may present for Synairgen interferon to be used. This cohort say is spared a long hospital stay. 20,000 x £1400= £28M revenue and lets say £14M profit. Lets assume USA wanted some of the product as well for 20,000 patients in their market for year 1 and overall the company made £28M profit a year. So the share profit is 18.6p for the sake of argument. At 10PE rate this would be 186p in year 1 for COPD alone. In year 2 and year 3 there is 100% growth so the share after two years could reach the brokers 360p target. Now Covid 19 has paused it would mean a total of 40,000 patients globally would be treated by it. With 5,000 deaths a day on average at present but lets assume they halve during early 2021, that gives a market of 900,000 people and so if 4.5% were treated equals the COPD numbers I gave earlier and 9% on Covid-19 serious patients would be the year 2 figure.
Hope the above helps.