with the way the two business is structured, is this a possibility..I am just thinking loud different ways leading to the bank..
when was the last time NAVB had pre-mkt trading? and it's happening on this day of presentation at JPM, and BIND is making the JV a big deal, mentioning it all over the places..
looks like yesterday's move set off some triggers, both buyers and penny profit takers. A mil share only pushed up 2 cents. Let's have some more volume next week...
The general market is too rich in valuation, time for money to rotate into the under valued issues.
I am too long on NAVB, will start build a position on BIND. For the MT JV, I think NAVB will benefit more, but BIND is a better buy longer term, market cap is even smaller than NAVB
starting of the MT campaign indicates the LS side of the business is under control...First time had a full pitcure of the MT strategy. Need some heavy duty results..
for anybody that knows anything about this business, the instrument is allways designed arround the CONSUMABLES, if it does not work for the cartridge, they change the design so it does...
the simple fact is that it burned over $400 Mil to get Verigene where it is, and the market cap is $20 Mil now, once Atlas is released, sales will take off (remember they have a decent menu already). The current revenue trend indicates that consumable sales has been increasing qtr over qtr for last two years, means existing customers are staying. Even instrument sales fluctuates, but it's staying over 25 some units/qtr. Once the automated instrument come on board, everything will improve fast: because consumable goes up with instrument in service. from a speculative perspective, the bad news are mostly out, financial, FDA, reverse split etc, the downside is way smaller than the upside.
the only thing that is unkonw is mechanical reliability, Atlas is a simple integration of the processor module and the reader, the assay quality should only be affected in a possitive way (by eliminating the human interaction thus potential error). It surprised me it took wiping out the first round of investors still not done. A successful diagnostic system is always a combination of instrument and assay. I am especially encouraged that the CEO stated so in the first report after the new round of financicing, looks like they will be operating under a new paradigm.
Verigene assay platform's capability for its targeted market has been more than demonstrated with the few years on the market, the reason sales were not robust was the instrumentation. Current instrument (the Veruigene SP) requires user INTERFERENCE, this is major turn off for lab professionals. In the latest 10Q, this is quoted by the CEO "..we have made significant progress on our next generation Verigene system. This system will utilize our proven chemistry in a best-in-class fully automated design that will optimize footprint and user interface and increase throughput."
this should be it for the down turn, hope you bought at the open. Got another firstname.lastname@example.org. Keep fingers and toes crossed for next week