sp may see some recovery

  1. ToH
    512 Posts.
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    Looks like the selling down of Acrux isn't based upon any systematic problems in the company or products.
    A recovery in the short term may be on the cards.

    Attached a piece from "The Australian's" Tim Boreham:

    Acrux (ACR) $2.80
    ACRUX chairman Ross Dobinson also had an explanation this week for the roll-on testosterone mob's share slump, citing a "relative lack of familiarity with US product introduction and growth strategies".
    Acrux shares are at a two-year low, yet its Axiron product has built a 13 per cent share of the $US1.9 billion US transdermal market.
    Aptly, Dobinson likens Axiron to Cialis, launched by Axiron partner Lilly, which captured a leading share of the erectile dysfunction market despite being launched five years after Viagra.
    Dobinson also acknowledges (misplaced) fears of a "post office box" syndrome, in that Acrux receives Axiron royalties but does little else.
    Acrux itself reported a $7.4m profit for the year to June, on revenue of $11m.
    Axiron is expected to generate milestone payments (flowing from Lilly to Acrux) of $US25m in 2013-14 and $US50m in 2014-15.
    RBS Morgans attributes the sell-off to "interrelated factors" including competition from market leader Abbott, which has accentuated patient rebating (a form of discounting).
    While Acrux's earnings growth won't be neatly linear, we concur it has been marked down for no good reason and ascribe a spec buy call.
 
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Last
1.7¢
Change
-0.001(5.56%)
Mkt cap ! $6.931M
Open High Low Value Volume
1.8¢ 1.9¢ 1.7¢ $8.809K 495.6K

Buyers (Bids)

No. Vol. Price($)
5 266679 1.7¢
 

Sellers (Offers)

Price($) Vol. No.
1.8¢ 252359 2
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Last trade - 14.49pm 24/06/2025 (20 minute delay) ?
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