So, in this context, I think that comparing Mesoblast and McDonalds is drawing a bit of a long bow; one is a tactile business, the other is quite conceptual.
An incredibly fatuous statement to make!
It's so easy to say now, in retrospect that you'd have invested in McDonalds....now knowing that one of the biggest assets the company has is strategic real estate. The other is marketing. The other is mechanisation. All this you pretend to be the rudimentary model that was already known to the investing public when McDonalds started out?
Blimey. Talk about rear vision investing.
The fact is you confirm one thing, your value investing methodology is precisely Warren Buffet vs Bill Gates. And Buffet freely admits he not only doesn't understand technology, he wouldn't have bought Microsoft. He also freely admits he doesn't know where the new growth cycle is coming from.
What colossal admissions! Buffett at least has the good sense to not post on biotech threads, let alone for years and years.
The next growth cycle is in alternative energy technology and in medicine. This is because of colossal macro changes, in demographics and in limits to growth which now must be sustainable. Enter biotechnology and in particular, stem cell technology which is revolutionary in nature.
So this is confirming what I believe is the key fault with the misapplication of value investing to biotechs.
You keep misapplying an inappropriate model, and refuse to consider how to understand the technology and the growth opportunity involved.
It's absurd to claim that the colossal upside with MSB does not exist. Let alone demand that it be precisely quantified.
Stem cells are NOT conceptual in nature. They are very real. What you need to do is to try to come to grips with the vast upside that exists for this technology and understand why has been gradually proven scientifically and now to to exacting standards of clinical trials.
MSB presents a colossal opportunity, and is more comparable to Microsoft than McDonalds.
Obviously IBM couldn't understand Microsoft either. Their loss.
MSB Price at posting:
$1.63 Sentiment: Buy Disclosure: Held
(20min delay)