Henry, there is an old saying: "You get what you pay for". One could buy a lower capitalized biotech company. But they wouldn't get a company with Ligand's pipeline.
Ligand's $500 million cap might seem fairly priced, or, perhaps, a little expensive, but when you look at the total picture, it is cheap.
I've said before, split LGND up into separate companies, and the "sum of the parts" would probably be valued at $1 billion, right now, IMHO.
They've got 17+ products of their own, and 17+ products through partnerships (source: 1997 annual report). They've got two products before the FDA, and three more NDA's on the way in the near future. And, a potential "off-label" market that is kickass, IMHO.
I still feel we will see $17 per share, before we see $10.
Have a good day, Bob |
