I am happy with today's share repurchase announcement as it does indicate that a plan is in place. I further believe that there will be several additional "steps" that we will see in the coming months. Doing a share repurchase in a sloppy market makes it easier to execute than when stocks are flying and making new highs.
Hopefully, a year from now, we'll see "results" of the multi-step share price improvement plan. A "double" from here is not out of the question. Look for asset sales and other steps to increase shareholder value.
I believe that there is a plan in place.....but, for obvious reasons, new management has chosen not to share it with shareholders because they haven't finished buying more shares at prices under $5.00 which appears to have been their recent pattern.
If they were to disclose whatever plan they had in mind for revitalization of the company, shareholders might like it and be reluctant to sell their shares.
They are under no obligation to reveal whatever plan they have in mind as long as they are still buying shares in the open market.
One of the best predictors of future stock performance is insider activity and, based upon the activity I've seen, I think they have a plan in mind and we will be happy with it whenever they tell us about it.
Without financing, we could certainly drift but when the financing plan is announced, I suspect we will go well north of $1.00...as long as the plan makes sense. So what do i mean by that?
If a deep-pocketed individual or institution either bridges or supplies some much-needed equity capital to OVIT, it will reaffirm (at least for me) that someone who has been given some meaningful information regarding future plans and expectations has ponied up. I suspect that OVIT will not for all they need at this point because of the substantial dilution that would occur at prices below $1.00; but if a bridge with some warrants were to be put in place and the market/investors saw whatever the investor saw, we could get well above $1.00 and, by next year, high enough to bring in another less dilutive round of permanent financing.
I thought that was your 100 share "cover" this morning at $.77.
Hey, nothing. You are back....why? You haven't demonstrated even one small bit of medical knowledge....what are you trying to do?...scare up some shares for your employer? cover a short for your employer?
Kind of missed your useless barbs for a few days. Keep it up and keep demonstrating your total lack of knowledge.
On June 18th, OVIT stood at $.50. Yesterday (August 3rd), OVIT closed at $.82. In the intervening 31 trading days the stock rose by 64%.
Now here's the interesting fact: OVIT rose in price on less than 55% of those days and stayed unchanged or fell on 45% of those days....so guys like "nothing" can claim it's another day in the red (or, in the READ, as he prefers) but the fact remains that, OVIT has performed admirably with up days barely inching out down and flat days.
If you're able and willing to do so, pull up a "comparison cart" matching OVIT to AVXL (Avanex) and you'll see what discovery by the marketplace can do for a small company with a relatively limited pipeline.
OVIT has yet to be really discovered but, knowing Dr. Weis, I think that will happen.
Last point: I expect financing "news" sometime this month as I suspect discussions by Weis with bankers and other sources have been ongoing for several months and the time feels about right to make the decision and pull the trigger on a deal to most likely "bridge" until the company gets further down the road. That should prove to be the catalyst to get the share price well above $1.00....but what do I know !!!!!!!!!!!!
Sentiment: Strong Buy
$45-48 looks to be a decent place/price to add....but, in truth, only the BB (and the overall market) will determine the best place/price.
I'm not concerned in any way about the increased losses reported as the company is adding personnel, new technology through its partnership and continues to speak out more favorably about its pipeline and ADCETRIS potential.
need...needs...really bad language skills
Do not end a sentence with a preposition.....you flunked English the second time.
While he's obviously disturbed in some way, illiterate, and has an agenda, his postings do help in drawing attention to OVIT as numbers of postings do count to add to "page clicks." So the more he posts, the more OVIT is likely to attract the curious to see what all the posts are about. Assuming newbies to this board and OVIT are reasonably intelligent, it should be easy for them to navigate to the web site, to the SEC filings and, in short order, come to appreciate what is here and what the potential is for OVIT, having now been freed to restart its pathway to commercialization of one or more promising drug candidates.
Your point is well-stated and well taken...especially since Dr. Weis mentioned using a bridge loan before seeking "permanent financing." One of the reasons for using a bridge loan is because you realize the value is so substantially understated that it would be unwise to issue more shares than are absolutely needed at such a low price and cause unneeded dilution. It was a point I was going to make in my analysis (above) but I opted to make a "worse case" scenario---which basically lays out the most diluted case that I can envision and concludes that, even in that scenario, the stock would still be cheap.
If Dr. Weis does the bridge initially and then gets a larger financing once the share price responds, which it, no doubt will, as a bridge will strongly suggest that there is/are believers out there who will back OVIT, then there will be less dilution and even greater upside.
It'll be interesting to see how this all unfolds. Having the new web site up and the financial assistance firm on board shows positive movement...with more to come.
Let me comment on what may happen with OVIT.
We have two drugs in our pipeline and Dr. Weis has commented that we need about $4 MM to perform the necessary drug trials. which may take 2 years.
We have a lawsuit settlement obligation of $1.2 MM.
We have current liabilities that amount to about $5 MM.
I am estimating that we may have other operating expenses of $1.5 MM over the next two years
In sum, we need about $11.7 MM to get from here to "there." For simplicity, let's use $12 MM.
We have 22 million shares outstanding. Let's say that with the new web site, the new PR firm and the realization that OVIT is back in business, the stock can get to $1.00. At that point, we can raise (either publicly or in a private transaction $12 MM). Let's assume that there are some underwriting fees and/or warrants attached to whatever financing takes place so that, when all is said and done, we have 35 MM shares outstanding, have cleaned up the balance sheet and are into our clinical trials.
From looking at other similarly situated biotechs, our market cap will ultimately depend upon the clinical trial outcomes but, if there is any indication whatsoever of a successful trial, our market cap could well approach several hundred million.
Knowing Weis' history, I think the end game will be a sale of the company.
$10 estimates per share are certainly not to be lightly dismissed, though doing this in a year may prove to be a challenge....but it'll be interesting to see how this all plays out....and how far off the mark I may be on my financing commentary.