Just to make further use of that back of envelope, let's assume the profit margin is around 10% which gives around US$50bn (round up a bit for easy calculation). Let's now assume that only 10% of market is treated. That gives US$5bn profit. At PE of 10, we get a market cap of US50bn.
Above is based on rather conservative calculation. For example, most high growth stock would attract PE as high as 30+. Also, only 10% of market is accounted for. If a treatment is truly successful in treating solid tumours, its market share would be far, far higher than that.
So now let's assume that Vaxinia is indeed successful in treating all those multiples of solid cancer. What should the share price be? Or how much should a takeover offer be? Or maybe even how much upfront fee and revenue sharing ratio should a licencing deal be?
Therefore, is a price rise from 10 cents to around $10 really that difficult? I don't think so. In fact, if the Vaxinia trial data can definitively scream 'CURE' for any of the solid cancers trialled on, $10 would just be a piece of cake.
In any case, for those who still can't see the truly big potential here, then I ask, 'Is a price rise from 10 cents to $2 good enough? I certainly think so. Is it in the realm of possibility? Again, I believe so and certainly a no brainer IF CF33 truly works.
I now ask, 'What are you waiting for?!! 10 cents is cheap, cheap! That would be at least 20 bags for the taking. Risk/Reward ratio truly high
Above is just my very conservative opinion. Take it with a large pinch of salt or simply leave it
IMU Price at posting:
10.5¢ Sentiment: Buy Disclosure: Held
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