Scotia target 4.75
Latest Research (3 April 2017)
OUR TAKE: PLI reported Q4 results in which expenses and cash burn were the main focus as the company continues to invest heavily in manufacturing capabilities, pipeline development, and commercial preparations. On a pro forma basis, PLI has ~$108M of cash available to fund operations and management forecasts a burn of ~$120M. Despite this shortfall, we continue to believe PLI has multiple opportunities to raise non-dilutive funding that should allow the company to reach profitability. As a result, we remain focused on the value of the pipeline and believe material upside could be unlocked in the shares over the next 12 months as clinical, regulatory, commercial, and business development catalysts play out. We maintain our Sector Outperform.