*** sell recommendation *** I agree, PTD isn't cheap even at these levels. Their last hope i.e. Humeria is now also under doubt. There is nothing left without these royalty streams, would be a 10c stock.
Check out this analyst comment:
"Investment Opinion
Historically, Peptech has focused on two broad areas of research and development: Animal Health and Human Therapeutics. Much of PTD's short-term earnings upside resided with its licensing arrangements which provided exposure to the emerging blockbuster drugs, Remicade® and Humira®. With the sub-licensing of the anti-TNF patent to now in doubt, PTD will need to defend its patent position or develop new drugs to re-establish its earnings profile.
With Centocor and now Abbott contesting the relevance of PTD's patents, we believe the risks in the stock remain considerable. With a valuation of $1.05, including a 50% probability to regaining the Centocor and Abbott royalty streams we rate PTD a SELL."
PTD
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