Imagine with all the carnage in biotech over the past couple of week, if Insmed had released sour data. Our stock would've been smoked lower! Instead, the price targets have been raised by 2 analysts, others have upheld their targets, and Wedbush is going to have to revisit their 7 dollar target, since his rationale was punted out the window by Insmed's Arikayce success! I truly believe Insmed is now the number 1 buy-out candidate in the world, and 45 dollars is my target price on the rumor, when it starts.
I doubt very seriously whether they would even consider $45. Looking at their last presentation they have a long list of potential indications, speed to market, lack of any competition to drive down pricing, speed to cure (eliminating over a year of use of other drugs guaranteeing a very premium price and premium profits) and, not discussed, the net present value of Iplex ($225 million market including inflation and, again, no competition for short stature). This is a $4 to $5 billion net present value company today - or somewhere between $100 and $125 per share.
So I suppose your thinking includes the fact that Iplex is fully Insm`s in 2018 and it`s part of your 45.00 target? No way Jesse,your numbers way to low,and like I`ve said before Lewis isn`t selling and won`t consider it before he does what he says and makes INSM a stand alone bug pharma.IMO that would include exploiting IPLEX for all it`s possibilities.You want to talk about a potential buyout number?Lets start with 300.00
Blueyed, I don't want to put words into pianoman's mouth, but I didn't think he meant a total buyout price of $45.00 but that when the rumor occurred the price would be there already. Maybe pianoman can clarify.