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Microcap & Penny Stocks : Pharmos(PARS)
PARS 2.700+13.6%Jan 21 4:00 PM EST

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To: wolfdog2 who wrote (1256)9/18/1998 9:40:00 AM
From: yosi s  Read Replies (1) of 1491
 
Revenues are going to be down in Q3 only because they were artificially high in the prior Q.
You are lookng at PARs in a static fashion while it is changing direction.

PARS has a certain burn rate, or fix expenses, that is inelastic.
mostly R&D.

On the revenues side. they got 2 Medication, and here they just started. so beforethey reach steady state they got to fill the pipeline once that is stable then Q to Q is relevent.
Prior quater sales due to build in inventory.
Now you got to make sale to replenish inventory. Rx rate and growh of Rx and new prescriber are better way to follow.( As is done by BOL and it is very promising)

The problem here is that PARS got a big PR problem, their businss MODEL is GREAT but it is not very common, and as such they are not being compared properly.

I do hope that just like the market underesimate PARS in 2-3 yrs they wll overestimate it. And if that happened the stock price will reflect a huge premium multiple ...
I guess that is part of the business cycle.

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