RE:RE:Takeover vs. a long slow grindI agree that fundamentals look better, but this quote really hit home from the RBC analyst:
“While the company continues to execute on the commercial front, we remain Sector Perform on shares based on our out-year peak sales assumptions and until the potential for a revenue inflection becomes clearer, and look towards additional life cycle progress for Egrifta (new formulations, HIV/NASH) and the pipeline (oncology, add'l BD) as key long-term value drivers to watch”
To me he is acknowledging that that potential is there, hence the upside $18 target, but the execution has fallen well short of expectations. He keeps waiting for the inflection point that has not materialized. Now the Q3 numbers are said to be better so it’s a wait and see game until we find out how sustainable that trend really is.
So while the fundamentals are strong, TH would be much more valuable in the hands of a management team that can fully meet or exceed those expectations. If $18 is the upside with reputable management, then I would take $10 and be done with what we have now.