Medipharm Labs Corp T.LABS

Risk/Reward analysis, fact based not emotionally driven

[subaru1i]

So a logic centric investor should be able to evaluate, retail or institutional, am I willing to buy LABS stock at the existing price and take a small risk relative to a very large reward on the Epidiolex deal (based on facts on FDA CBD extract submission, FDA onsite visit, ANDA submitted, having global pharmaceutical partner, condition of their balance sheet...NOW including the approximately $.20 per share value LABS stock price carries based purely with cash on the books).   We have additional data to add to the Risk/Reward analaysis as well.  That is the long term stock price trend of being contained within a tight trading range, let's use $.07 per share with very, very, little downward risk based on financial health and growth of the company as proven again from disclosure within the most recent conference call.   

When you logically incorporate all the facts and data, the Risk/Reward is very favorable for an investor to buy LABS stock with little risk on the downside of the stock price but a very large upside reward based on current activities as well as the other products they have in their development pipeline.  

When a retail investor such as myself can apply as much logic as possible and eliminate all sources of emotional based decisions, then keep in mind, more sophisticated investors, including larger institutions can apply the same methodoloy with even greater accuracy when they incorporate ALL the data in the Pf model.  

So if someone were to ask me what recommendation would I give this company I would give it a strong accumulation rating with a limit price of up to $.30 so as to keep my risk/reward model within a conservative range. 

I hope my last 2 posts helps younger investors to better understand things.   My MBA was a lot of hard work and so I am merely sharing the rewards of my hard work with younger investors.

[subaru1i]

In summary, I really don't care what the stock price is currently doing relative to the facts because with or without a business degree or MBA, everybody should know that "money talks and bullsh*t walks." There is one exception to that rule:  A halt trade pending that news and the bullsh*t can't run fast enough for the exit door ;-)

[Starkicker]

If I had an MBA I would tell young imvestors to buy blue chip stocks with dividends and sit back and relax instead of screwing around with these drama-filled venture exchange head cases.

[subaru1i]

That is a very conservative strategy especially when applied to a young investor that has a longer lifespan and therefore is capable of assuming a little more risk in their portfolio so a good portfolio should include Blue Chip stocks but also include slightly riskier Investments that are also accompanied by the opportunity of how your growth rates or return on investment compared to a blue chip