The 125 billion pound Gorilla in the room
Sept 22, 2017 13:59:45 GMT -5
sportsrancho, rockstarrick, and 5 more like this
Post by joeypotsandpans on Sept 22, 2017 13:59:45 GMT -5
What's at stake for NVO (and those fund and institutional managers that have owned it) is monumental and should paint a pretty good picture of how much weight has been put on the s/p of MNKD. The war chest used over the past years through various channels has been used at all costs to protect a portfolio mainly comprised of products for the treatment of T1/T2 diabetes mellitus:
marketrealist.com/2017/09/how-novo-nordisk-performed-in-the-1st-half-of-2017/ .
Current NVO market cap sits at roughly 125B compared to a peak of just under 159B in Aug '15:
ycharts.com/companies/NVO/market_cap
so while revenues have steadily increased, market cap has had almost a 22% haircut since Aug '15, it was much worse six mos. ago at it's trough of roughly 85B. Of course there has been fierce competition in the space between the other BP but as evidenced by those who improved their quality of life and effectively maintained practically non-diabetic/pre-diabetic HBa1c #'s converting to Afrezza for their prandial use, there is a legitimate threat to the entire portfolio of products and not just the RAA's. Fortunately for them they will be able to continue to rely on their basel products and most likely will foray with research into other areas of diversification.
Make no mistake about it, re-classification is huge for Afrezza/MNKD as there is no room on the current Tier 2 shelf, the SNY rep told me this shortly before SNY pulled the plug. As stated in a previous post, it is no coincidence the sequence of events that has taken place to this point with NVO pushing Fiasp and it is no coincidence that we are at this inflection point with the s/p negotiating the 200 day ma, this epic story continues to play out. Enjoy your weekends!!
On a side note, currently there are no shares available to lend from the largest DTC house
marketrealist.com/2017/09/how-novo-nordisk-performed-in-the-1st-half-of-2017/ .
Current NVO market cap sits at roughly 125B compared to a peak of just under 159B in Aug '15:
ycharts.com/companies/NVO/market_cap
so while revenues have steadily increased, market cap has had almost a 22% haircut since Aug '15, it was much worse six mos. ago at it's trough of roughly 85B. Of course there has been fierce competition in the space between the other BP but as evidenced by those who improved their quality of life and effectively maintained practically non-diabetic/pre-diabetic HBa1c #'s converting to Afrezza for their prandial use, there is a legitimate threat to the entire portfolio of products and not just the RAA's. Fortunately for them they will be able to continue to rely on their basel products and most likely will foray with research into other areas of diversification.
Make no mistake about it, re-classification is huge for Afrezza/MNKD as there is no room on the current Tier 2 shelf, the SNY rep told me this shortly before SNY pulled the plug. As stated in a previous post, it is no coincidence the sequence of events that has taken place to this point with NVO pushing Fiasp and it is no coincidence that we are at this inflection point with the s/p negotiating the 200 day ma, this epic story continues to play out. Enjoy your weekends!!
On a side note, currently there are no shares available to lend from the largest DTC house
