A biotech that's been misunderstood
Mesoblast was sold off heavily in June following the revelation that Teva had decided to return a number of programs to Mesoblast. Stuart Roberts, Life Sciences Analyst at NDF Research, thinks the market's reaction is all wrong. "I take the view that it's great, because they can take an improved suite of programs that were licensed to Cephalon six years ago, they get them back and they can license them to another partner - I'm hoping, in the not-too-distant future." The stock price has come off heavily from around $11 a few years ago, to around $1 now. However, the company is now looking for FDA approval on their first product, while three others are in Phase 3 trials; "this is a very mature story." In the video below, he examines the risks in the stock and looks at upcoming catalysts for a re-rate.
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