Flatlander schreef op 29 november 2019 18:43:
I really don't expect the share price to fall below the floor of 5.40 that has been set. The sales growth is approximately the same as the overall growth rate for MDx sector as a whole. So while BCART is not currently taking much share and growing faster than the market as a whole, they deserve a market multiple share price for growing at approximately the rate of the industry as a whole. As I have said before, I think the upside potential is 10X because BCART represents a platform and an ecosystem that stands to be a disruptor (by automatizing a labor intensive process) in a disruptive space (genomic testing). But BCART has a ways to go before they can realize substantial share price appreciation. Launching the new products (OncoDx Breast, Septicyte, gene fusion), securing regulatory approval for clinical use, and securing China registration are the next major milestones. These events will create the 2020 inflection point in the growth trajectory that I often reference.
Yahoo shows the price/book of BCART as 2.74, the lowest of the genomic testing companies that I follow. This reflects the fact that BCART has physical assets like manufacturing lines and inventory. The market capitalization of 350 million Euro is pretty minuscule considering the intellectual property, product registrations, potential market opportunity, (potential for geographic expansion, increased product uptake, additional services, etc). For these reasons, BCART is my favorite highly speculative stock investment.
FL