Ampio has been issuing powerful press releases that would knock any stock out of the ballpark and cause shares to hit record highs one after the other but unfortunately their announcements have been falling on deaf ears and shares are underperforming leaving investors and the company puzzled.
Management is unrivaled at developing their products in record time and for record low cost but when it comes to understanding what drives valuations in the stock market, they are clueless and have a lot to learn.
Comps of dozens of companies such as AEGR and ACAD that are valued at over $2 billion and that have inferior pipelines are positive proof that Ampio's weakness is the simple fact that they do not have a big name investment banker. Simple to run comps project a price today for AMPE of at least $50 instead of $7. Look at the bankers behind these companies and you will see that they all have big names that have big followings. Nobody knows who Aegis and Fordham are and they cannot ever bring the following this company requires.
The shares are indeed a strong buy today but will perform magnitudes better once the company realizes they are being penny wise and pound foolish by not aligning with a big banker and paying the necessary dilution to enable shares to rocket into the stratosphere where they belong.
Once the company announces a big offering with a big banker, shares will rocket huge with each press release of substantial news. There will be no more lethargy and no more disappointing trading activity. The dilution will be far more than worth the dramatically higher prices.
Hopefully management and shareholders are not content with the very poor performance to date. Shares will continue to rise modestly with good news, but the day the company announces it has a major banker . . . is the day shares will explode beyond belief and keep on going.
I AGAIN strongly recommend working with only the biggest and most successful bankers.