Your comment shows a short-sightedness and lack of understanding of this sector. risk goes hand in glove with reward in biopharma: Only 3 in 10 drugs that enter clinical trials actually gain market approval. Not to mention, while some larger biopharma companies have several treatments (and thus several revenue streams), some smaller firms’ fates might rest on a solitary drug, making them a much bigger gamble.
Thus, this sector is largely a bet on future success, not current performance.
I think maybe you are missing the concept inherent in this sector.
If I had a nickel for every time I read a post like this I'd be rich. It's the kind of comment that is totally meaningless since most of these companies must pay more than they can reasonably afford in order to get anywhere. It's like any small businesses. In most cases all thgey have is great potential and a hope for future success.
" but investors are tired of paying for potential." - this comment is also totally meaningless and devoid of any serious intelligent thought process and completely without merit.