SPCEO1 wrote: I have been wondering where you have been in light of the rising short position.
So, you have provided one example of where a share buyback did not succeed but I know you are smart enough to know that the data reveals that those companies buying back shares have greatly outperformed the indices. So your first point is bogus.
While there are no drugs in its pipeline at the moment, we all know that will change. Meanwhile, the two drugs it has will deliver very high earnings growth for the next 2-3 years, so it is not a huge issue. As the cash flows from Trogarzo, they will have plenty fo money to acquire rights to new drugs, start some minimal, targetted drug development of its own and buy back shares. When all of Trogarzo's gross profit falls to the bottom line, there should be plenty of cash for all sorts of endeavours. Again, you are smart enough to know that.
As far as a takeover, I can confidently say that I know enough shareholders of the comany that together I believe we could ward off a bad deal. So, no worries there,
CandideV007 wrote: Hi guys,
Just want to let you know that although this idea makes sense theorically, it doesn't always translate into increasing the shareholders value. NRI.TO stock for instance has just gone down since they announced that such program.
Theratech performed a PP recently, and I wouldn't understand why it would waste its money only to allow its shareholders to get more money by selling their shares. The company is currently in a no man's land when it comes to long term perspectives. It has nothing really in the pipeline... only 2 drugs to sell.
The money will therefore need to be used to acquire molecules or to improve the sells. That's how they can truly add value to the company IMO. By this time, Thereatech is a perfect target for a takeover. And as you guys probably noticed on other stocks... the buying offers never come when the stock is at its top.