Hi Jov88,
Merry Xmas to you in Vienna. And thx for that great post. As you say doing pre-income valuations is extremely difficult. If any readers would like to delve into some absolutely brilliant posts on this I suggest you read the series of posts by
@fyffee.
This is where investors can make fortunes in biotech.
@fyffee must have spent weeks preparing his posts and the results are truly unbelievable. These posts highlight how complex valuing biotechs really is.
Yesterday I posted a very good video from a US CEO explaining the MACROS of the biotech market . This video gives a completely alternate explanation for the run-up of IMU to .63 and horrendous decline back to .039. A different explanation from WMHB’s many posts on the subject. A different explanation than the thousands of posts about SHORTERS. I believe the shorters theory was a myth. Sure, Regal or some other hedge fund may have been there early in thur decline, but they were not there for the last 12-18 months. Macro market conditions did most of the damage. The US FED pumped the world full of cheap cash and then sucked it all back in.
However the money flow flipped from defensive and tentatively started moving back into risk on back in August.
So now it’s time to revisit valuations. As we’ve all seen exuberance back at .63 and despair at .039. If the video is correct and we see a 3 year bull run, valuations will overshoot by a big margin. Same as internet boom, the mining boom etc.
IMU’s timing couldn’t be better. As the US CEO said “ buy companies with late stage assets and lots of data”. Sounds like LC has been paying attention. All of our trials readout in 2024. Truckloads of data.
For those who read
@fyffee posts you will see just how big valuations can go. IMU has 3 or 4 amazing platforms in the biggest area of medical need. Remember first in class, best in class! That’s across all of our platforms. LC has been hammering home the message “data,data,data” and “follow the science”
My prediction for 2024! IMU. sees a massive rally in SP as the biotech boom kicks off. Some of the recent deals suggest it’s started. IMU shows us just how good Vacinia really is an obliterating solid tumors.
The world wakes up to CF33 and we move to the NASDAQ. That’s where we make our money. The trick is not to get too excited and jump ship too early. Biotech has been quietly waiting for its turn to have a market boom in the sector since the late 80’s. It’s finally coming. US Biotech has been profitable for at least a decade as a sector but profits are set to soar.
We really won’t know how high our valuation will go but there will be signposts along the way. Deals and buyouts will see us updating our valuation as each mind boggling deal gets inked. The only place that can value IMU is the Nasdaq.
Have a great Xmas break, rest up, we are in for a big 2024 at IMU.
(20min delay)