Drugs
Slap a sales multiple of six on that and discount back three years at 20% and Delcath is valued between $6 to $7 a share.
The stock could be worth significantly more than that -- $10 a share or so -- if Delcath can expand the PHP label to include other types of cancer and/or receive approvals in Europe and other parts of the world. Of course, that's going to take some time. What are the bears (i.e shorts) growling about over Delcath? The relatively small size of the phase III study; the fact that the PHP procedure, while minimally invasive, is still complicated; worries about the types of melanoma patients enrolled and whether or not the liver is the primary or only metastatic site; and commercial risk i.e. can a small company like Delcath market the PHP system effectively? -- Reported by Adam Feuerstein in Boston. Follow Adam Feuerstein on Twitter.TheStreet Premium Services
Jim Cramer's Action Alerts PLUS:
Trade right alongside a Wall Street pro — enjoy access to his Charitable Trust portfolio and be sent trade alerts BEFORE he makes a move. Learn More
OptionsProfits:
Get 50+ trade ideas a week from the industry's top options experts. Plus — exclusive commentary on market trends and essential trading tools. Learn More
Real Money:
Our team of professional Wall Street Pros — including Jim Cramer, Doug Kass, and Nicholas Vardy — delivers intelligent analysis, timely trade ideas, and colorful commentary. Learn More
Stocks Under $10:
Break into the market with small- and mid-cap stocks... all $10 or less! David Peltier tells you exactly which low-priced stocks he's buying and selling. Learn MoreTo begin commenting right away, you can log in below using your Disqus, Facebook, Twitter, OpenID or Yahoo login credentials. Alternatively, you can post a comment as a "guest" just by entering an email address. Your use of the commenting tool is subject to multiple terms of service/use and privacy policies - see here for more details.
blog comments powered by Disqus
| Dow Jones | S&P 500 | NASDAQ | 10-Year Note |
|
|---|---|---|---|---|
| 12,454.83 | 1,317.82 | 2,837.53 | 17.45 |
Oil *
107.26
|
|
DOWN
74.92 |
DOWN
2.86 |
DOWN
1.85 |
DOWN
0.14 |
10 Yr
1.74%
SPDR Gold
152.68
|
|
-0.60%
|
-0.22%
|
-0.07%
|
-0.80%
|
Data delayed 20 minutes |
Connect with TheStreet