If you're not a short, then what is your thesis against MEIP? Do you claim to know the science behind Pracinostat and HDAC inhibitors, in general? Are you an expert on mitochondrial inhibition and do you have knowledge of what a mitochondrial inhibitor might do in combo with topotecan? Do you have any expertise in myelofibrosis and the use of Jakafi in conjunction with Pracinostat? The management team is first-class and the cash position is very solid. So on what do you base your analysis?
The bear case on Pracinostat is two-fold: First, these are uncontrolled trials. Comparisons to historical controls is always dangerous in biotech development. Biotech drug development has a graveyard full of drugs that showed great results in Phase II in controlled trials, only to fail miserably in controlled Phase III trials. Secondly, HDAC inhibitors have not been a great success in the clinic...so far.
The bull case has been stated here many times and you can hear it on the CC's and investment forums that the company holds. One thing that hasn't been mentioned here is that HDAC inhibitors may work extremely well with checkpoint inhibitors, but that needs to be proven in the clinic. Other companies with HDAC inhibitors are already pursuing this avenue. A successful trial in AML and, I suspect, a company with a checkpoint inhibitor (MRK, AZN, CELG, BMY) will want to seriously consider Pracinostat in combo with one of their own checkpoint inhibitors.
All in all, micro-cap biotech is always about risk/reward. Nothing is ever guaranteed. But I like the valuation here and I'm long and strong to the tune of over 100,000 shares.