With the just announced $30 million inflow to THLD's coffers, they now have approximately $ 100 million in cash and cash equivalents. With a market cap of approximately $300 million at the current price, this represents a third of the stock price. This is exceptionally high given that their partner is paying 70% of the costs they incur. The current stock price does not reflect this. Hang in there.
Even as Threshold keeps advancing their clinical trials, they keep earning huge milestone payments. Even after the current payment the company can earn about another $200,000,000 in milestones. With the 70% cost share picked up by Merck KGaA, THLD doesn't have to a drug on the market to make money each year.
All along all but the real investment analyst have undervalued the deal with Merck KGaA. The cost share part of the agreement is huge and probably worth about half the cash portion of the deal.
In cash milestones alone THLD is worth about $7.00 a share if my analysis is right.
Kudos to Dr. Selick and his team for their making this happen.