So here we are, trading under a buck a share again. It's a buying opportunity, if you ask me (and I just bought a few more shares). Not surprising really given yesterday's flail about "insider selling" - as if any of US would want to work for free.
Next, of course, the "bash brigade" will start fussing about de-listing and how hard it is to crack the $1.00 resistance level once the price has fallen below that point. I'd advise anyone with concerns about de-listing to familiarize themselves with the actual NASDAQ rules. Briefly put, the stock is subject to de-listing if it's closing bid price stays below $1.00 for THIRTY CONSECUTIVE TRADING DAYS. Second, after crossing that threshold the company has 180 days to respond to NASDAQ to show cause why the company's stock should not be de-listed. Oh, and that response period can be extended at the company's request for another 180 days. That's about a year all told.
My point? Well I'm just trying to steal a march on the bashers here. Yes, if SVNT bids below a $1.00 close for more than 30 trading days they run the risk of being de-listed, and yes, that would be bad. But many of us have been here before (remember last Summer?) and there's no reason to panic just yet. At least I don't see one.
And before anyone accuses me of "pumping" the stock, rest assured I am not. I am waiting to see positive results in the next earnings CC and waiting to get definitive word about steps that the company can take to rectify their revenue position in a timely manner. This is (and always was) a "risk-on" play, and anyone who says differently is pulling your leg.
Patience is indeed a virtue.
Well said Mike. My humble guess is the bd has likely already agreed to wait no later than mid-year-when dialysis results are known and released-to accept the highest bid out there. If dialysis results just mirror positive P3 Trial data I think Meeker would have the greenlight to double the price of K to reflect an additional, significant patient benefit. At that point K could get a decent price for peak estimated world revs, with patent protection till 2026. My humble guess is $5.50/sh +/-
Sentiment: Strong Buy
The dialysis market size is maybe 5-10% of the TFG market size. This is only for those patients who do not respond to traditional treatment remedies for gout and who also require dialysis. A very small market indeed. You continue to make statements that would lead someone to believe this is a sizable market opportunity when it certainly isn't. I would state that every little bit helps but in no way will this have any significant impact on the PPS.
mike, Ditto, ditto and ditto!!!!!!!!! As usual you hit it right on the head. Thx for writing up the delisting rules for us. The 180 days to respond part I couldn't recall from memory exactly how long. And yes, we were here before, last summer, yet climbed out of it clear up to $2.92! I've held other stocls that have delisted and so I know how long that process takes to drag out. I think it's safe to say that even if we delisted it might take a year or more to happen and by then we'd be staring at our cash burn problem anyway. I don't think any of us here see this as a likely scenario to worry about. It seems more probable we'll be seeing positive results in the next Feb 25th earnings CC. kg
what positive results are you expecting??? re:% increase in ORGANIC SALES
what definitive word to rectify their revenue position?? didnt they already shift their strategy towards the rheums?? the, what other steps did you have in mind? (rheums aint working)
ur right about being at risk... its pure gamble from here. not so sure the risk/reward is favorable (especially since there's relentless selling in the face of all time broad market highs. It aint lifting this boat. Is the selling telegraphing ANOTHER disappointing SALES quarter? If so, i hate to sat it, but its curtains - just confirmation of K is not catching on in a marketplace so MINISCULE-its IRRELEVANT)
anf finally, yes DELISTING is back in play.