Theratechnologies Inc T.TH

New Analyst Coverage: Thera "Speculative Buy"

[archeo753]

From Today's Globe and Mail:

Calling it an “innovative HIV drug developer,” Leede Jones Gable analyst Douglas Loe initiated coverage of Theratechnologies Inc. (

TH-T +5.95%increase

) with a “speculative buy” rating.

“Theratechnologies is a diversified pharma firm, with two specialty drugs Egrifta and Trogarzo already approved and targeting niche HIV indications (HIV lipodystrophy and multidrug-resistant HIV1 infection, respectively) with substantial quarterly revenue already being generated, if a bit below our original expectations for both drugs,” he said. “Egrifta is a stabilized, fatty-acid-derivatized analog of growth hormone-releasing factor that has documented impact on reducing visceral adipose tissue deposition in HIV1-infected individuals. Trogarzo is a partnered (with Taiwan-based TaiMed Biologics (4147-TW)) anti-CD4 mAb that targets CD4-positive/HIV1-infected T-cells and mitigates HIV1 infection in patients that are no longer responsive to two or more of the small-molecule anti-retroviral drugs that are conventionally used to treat disease. Pivotal Phase III data were positive and FDA approval-enabling, and both drugs are projected to contribute positively to revenue/EBITDA throughout our forecast period.”

 

He set a $4 target for shares of the Montreal-based company. The average on the Street is $5.90.

=====

[Wino115]

Well, well...a bag of Cheetos is on the way to good old Mr. Loe!  Honestly, glad he found a job given the environment and I do have to tip my hat to him in that he was the only analyst who thought Egrifta could have an effect on a fatty liver. His numbers used to be crazy and it looks like he's had someone address his poor financial modeling and now he has a target price within the realm

[Wino115]

Today's action actually shows the issue with the share price, and the issue that someday we'll be happy about.  And that is that a (excuse me Mr. Loe) a fairly unknown, unfollowed analyst at a firm no one's heard about can write a positive report and move the share price up 5%. Highlights how important it is for the company to achieve those value-enhancing events so they can

[Jasonthehumble]

Your theory might be true due to the high volume compared to the average volume.

[Wino115]

As SPCEO has pointed out, the market is unfortunately very highly swayed in the very short term by the trading around set algorithms, some, for example, based around things like the silliness of counting the number of positive vs. negative words in a PR announcement, any "new buy" announced (like we saw today), anything having to do with certain types of announcements (like the AACR

[scarlet1967]

CYDY last October had SP 35 cents, they believed their drug could be a candidate for both HIV MDR and NASH so they went out and heavily promote their prospects, the SP in the matter of a couple of months increased some %300 to %400, they also acted fast and started the regulatory process, then they believed their drug can be used for covid19 so they did the same exercise and start the process fast

[SPCEO1]

What has happened to CYDY's share price over the last 14 months happens to many dubious stocks in every bubble. It defies logic but bubbles defy logic and people get intoxicated with the constant moves higher on the basis of any excuse and cannot help but join the party. It is human nature but reality always trumps that before too long. And then another ugly side of human nature reveals itself

[Wino115]

We, and management, know the performance of THTX stock has been atrocious especially in relation to some promising possibilities out there. I'm as pis$ed as you and everyone else up here as we lost a ton of money in a raging bull market.  I blame myself mostly.   No doubt about that and I think THTX management has gotten the message that shareholders are a disappointed lot who feel

[scarlet1967]

I believe in decency and honesty and I don't suggest THTX to engage in any dubious activities, my point is their strategy to support the valuation hasn't changed despite the arrival of the new CEO. Let's face it the execution has been slow , the communication is confusing thus far. If you really want to get the SP to appreciate you have to start at right end which is the retail, get

[scarlet1967]

By the way I believe they have already submitted the applications, reason is back in October/November any post on this board which was related to NASH and oncology was read some 700/800 times and then it stopped so I think the company was monitoring any news out there before filing the protocols. To those who are selling for tax loss reasons and short sellers you might want to rethink your nex

[SPCEO1]

The strategy may have even gotten worse since the arrival of the new CEO and the IR person. Both came from big phara companies and how they view themselves is naturally from that perspective. They certainly did not join TH to start chasing retail investors. They see themselves as a legit company that should be repsected by institutional investors (as well as the FDA) and they act accordingly

[jfm1330]

Come on SPCEO1! One of the two "unimpressive" drugs is the one they plan to go in phase III in NASH with and that you are very high on. It's not the drugs that are unimpressive, it's the markets for their approved indications. Add to that the very high prices of both drugs as part of the market penetration problem. Same old story.

[SPCEO1]

I agree with you and that is why I specifically said Egrifta for lipo. I really do not think the high price has played a big role in either drugs sales shortcomings. In the US, as long as the drug is reimbursed, doctors should only be concerned about its efficacy for their patient. Undoubtedly some doctors are influenced by the price, but technically, they should not be.

[canadapiet]

Dear mister SPCEO, with all due respect, look at what you said 5.....10.....15....???? years ago !! For investors in the company, it really is a disaster! It was/is a failure as an investment.  Maybe now that they will follow another route, it can become a new promising company, but very early and practicaly blocked because no money! Any investor who put money in this company can't be

[scarlet1967]

Both Paul and Leah have to realize they can’t apply the same strategies working for well established companies compared to a relatively unknown small cap like THTX. Also why can’t they approach both institutional and retail investors, for instance while the CEO attends high profile conferences the CMO can use well recognized third party social media platforms like drbeen to reach out to hundred

[SPCEO1]

As investors we also need to react appropriately to what the company does or doesn't do. My take is your reaction below is an extreme one that has a low probability of being accurate. The company sounds pretty optimistic about their opportunities in 2021 and really is not sending out signals that they are a bit scared of the future and need to therefore hide it from us. But they still want to

[scarlet1967]

I fully agree the odds are favourable my point was what is the best way to convince the market so the company get the credit for their accomplishments followed by decent valuation.

[SPCEO1]

Wino and I both believe they just need to execute on the strategy they have already laid out. On the NASH front, we will know pretty soon unless the FDA asks the a ton of questions on the phase III trial protocol. Shortly thereafter the market will see them starting both the cnacer pahse I and the NASH pahse III and likely presenting the data they hinted at on cancer earlier this month at the AACR