Originally Posted by
DonkeyKong
I’m a beginner and starting to look at shares outside of ETFs.
I've been looking at Pacific Edge and from what I've read so far they seem pretty awesome, albeit without having much medical or scientific knowledge myself.
- urine tests with a high negative predictive value for bladder cancers
- potentially reducing the need for invasive procedures for patients and the load on medical infrastructure
- likely a high barrier of entry for possible alternatives, e.g. years of clinical studies
- limited competition? I haven’t searched much on that
- a potential market of $3.5 billion in the US and possible growth into other markets
- existing facilities to handle significant growth, up to processing 260k tests per year
- starting to pick up momentum in potential usage
- the upcoming ASX listing
- potentially going to have other products being commercialised e.g. cxcolorectal
- FY21 operating revenue increasing at a much higher % than operating expenses (I might be reading to much into that)
Sounds awesome.
However,
- the current share price of $1.47
- market capitalisation of $1.072 billion
- operating revenue of $7.7 million for FY21
- a lot of potentially
It makes me wonder how much of the potential growth is already priced in to the share price. As a beginner, based on gut feel more than anything else, I would guess a lot. So I’m wondering if and how people are modelling how much potential growth is already factored into the share price. I appreciate it is unlikely to be a simple answer and gradually I am going to try learn about techniques for this.