THE BULLISH VIEW OF BIOM
THANKS TO LS
Last night, I posted what might be referred to as one scenario of the Biomira investor's dream:
Some preamble on genomics and the FDA approval of the AVXT vaccine for melanoma was followed by:
"This is a portent of what is going to come in the cancer vaccine area. AVXT has been going wild. BIOM will follow, but on a much larger scale. The FDA approval of Theratope will be a milestone in modern medical development. Coupled with the possibility of having early detection of human cancers: breast, colon, prostate, etc., a vaccine such as Theratope could save innumerable lives. All the people associated with this development should be very proud of what they will have accomplished. The various characters who frequent this board will have special memories of times when BIOM was under $10. Particularly if they are patient enough to hold onto their BIOM shares.
In 2005, when BIOM has a price of $100 following two 2-for-1 splits, people will ask you: "Tell me again about how you were able to buy Biomira thousands of shares under $5." Your neighbors will be sick of hearing how your Biomira investment has gone up 10,000%. But they'll humor you when you let them use your yacht for the weekend. It's fun to dream! Why not.
In the meantime this dream is not totally far-fetched. To achieve a hundred-bagger, BIOM would need to get to $17 billion market cap. Look at how far Immunex has gotten on a single blockbuster drug ($11 billion market cap). Theratope may have similar potential. And Theratope is just part of Biomira's great potential."
A number of people questioned the math, and I thank those with both questions and interpretations. My figuring is:
Current price: $4
Price in 2004 or 2005: a split-adjusted $400 (meaning a price of $100 following two 2-for-1 splits)
Current market cap: $170 million (approx)
Market cap in 2004 or 2005: $17 billion
Either way, stock price up 100-fold, or market cap up 100-fold, are two ways of saying the same thing. It's called 10,000% gain |
