just read the pr:
"Regado Biosciences, Inc. (RGDO), a biopharmaceutical company focused on the Phase 3 clinical development of Revolixys™ Kit (previously known as REG1), its first-in-class, actively controllable antithrombotic drug system, today announced that the Data Safety Monitoring Board (DSMB) has initiated an unplanned review of data from the REGULATE-PCI trial. Patient enrollment has been paused until the DSMB has completed its analysis and communicated its recommendations, which are anticipated within the next eight weeks."
they can't - if they would sell this much shares via an ATM offering the share price would end up being much lower than $2.40
sure. They can deny the request. But this would prompt PwC to resign and there's no reason for denying the request other than fraud. Actually the audit chair resigned as I guess she didn't want to be further involved in management's fraudulent actions.
Either way the company will be delisted by the NYSE pretty soon. Not complying with PwC's request would mean an immediate resignation of the auditor and complying with the request will finally discover management's fraudulent actions in the past. So there's no way out anymore for NQ.
Clearly there were not too many buyers for this offering out there. As expected the company continues to dilute its shareholders to cover ongoing cash burn. This won't stop going forward. Sell. And don't look back.
even better "The Company's Board and Audit Committee are considering PwC's request" - does this mean they might chose to deny the request ?
you must be crazy - the late session news was a gift for shortsellers as uneducated bottom fishers like you thought a 40% haircut might be too high. You are down by $1 already with the market not even open.
I guess we are in the final innings. Delisting will take place soon.
Actually this is serious. Obviously the number of serious adverse allergic events has become so high that the DSMB had to stop the study. I do not think it is very likely that they can alter the study or the treatment with so many patients already rolled out. I guess the DSMB will ultimately halt the study and the drug to be abandoned.
I guess he didn't foresee this mess and perhaps doesn't even care about it. Investing in Biotech stocks is always a gamble and just one out of five succeeds in the end. Given his wealth situation I don't think he even cares about this minor investment. His expertise in Biotech might be close to zero by the way given his corporate background. Mr. Kierlin will see the value of his stake cut in half today and to lose even more ground going forward. This is clearly the worst case scenario for the company.
this is not at question I guess. Actually the CAT revenue expectations were the only slight positive on the call. But given the recent execution history I highly doubt that the CAT contract will turn out to be the great success longs do expect here.
from your post:
"Burdiek didn't say these numbers were based on the full year, pal."
I just pointed out that the numbers are INDEED for the full year as there was no material CAT revenue in the first half. Next year there might be more CAT revenues but given the poor execution as of late I doubt they will be up as much as longs expect.
I am trashing management for poor execution and inability to accurately forecast the business for a second time in a row.
You don't get it - the street is HIGHLY supportive of CAMP (just read today's FBR note) but when momentum stocks don't live up to self-created expectations they get trashed by investors for good reason.
And again - they DID NOT meet any kind of expectations as they themselves had to lower them already three months ago. Even worse the highly touted datacom segment is showing real weakness (again).
If the company delivers another round of poor earnings and weaker guidance next quarter the stock will see a move like BLOX as of late.
FBR is always bullish on the company but actually the company doesn't deliver. There were no meaningful CAT revenues in the first half of the fiscal year so $10 million is the best number they will be able to achieve. Signing new subscribers should be expected by the way from a business...
CAT revenues will be around $10 mln for the full year which most of this revenue to recognized in the very last quarter of the fiscal year. Revenue estimates for FY15 will indeed have to be lowered to below $250 mln for almost zero growth as spanspur correctly stated. FY16 revenue estimates will also have to come down given the disappointing business developments as of late.
They didn't meet expectations - remember they already guided DOWN expectations last quarter (which stood at $64.4 mln at that time) and only made their reduced revenue guidance because of some unexpected legacy satellite product revenues. Core datacom revenues in fact were a far cry from original expectations.
And they guided down not only for the next quarter but also for the full year as satellite revenues will come in much weaker than originally expected by management.
This is the second disappointment in a row and as an investor I would start to question management's ability to accurately forecast the business.
And no - they haven't been well run for thirty years - in fact they were pretty close to bankruptcy just a few years ago as the company failed to adopt to new product and business trends.
Actually it is you who has no clue here. FY15 eps estimates are currently just shy of $1 but will have to come down below $0.90 given the warning. FY16 revenues might come down to $1.10 from $$1.23 currently.
so at a FY16 P/E of 30 the price target would be $33, at a P/E of 20 it would calculate to $22 and at a P/E of 15 you arrive at $16.50
nobody would use GAAP numbers for anything as they don't mirror the real state of the business. Analysts always use non-GAAP numbers and therefore the P/E based on current FY156estimates is already below 20 given the after hours decline.
but given the conference call comments at least FY15 estimates will have to come down considerably.
this was the second poor quarterly performance followed by a guide down in a row so sizeable multiple compression seems warranted here. A P/E of 15 looks pretty generously here given the ongoing execution issues at the company level.
the stock should be sold until the company starts to deliver again
In fact the company delivered the second disappointing quarterly results and outlook in a row. The quarter in fact was pretty poor as it was saved only by some unexpected satellite division legacy product revenues which won't repeat going forward. Company took down full year margin and revenue expectations on the call also. Sell.