Oncology M&A: Early‑Stage Deals Still Command Higher Multiples
In #oncology #M&A higher 5-yr forward revenue multiples occur for earlier stage companies, though P3 is an exception Recently multiples have declined reflecting lower valuations, later stage acquisitions, and smaller market opportunities What are some other reasons? #learnbiotechinvesting #biotech #investing #BiotechPrometheus
Phase 3 Data More Reliable; P2 Placebos Often Variable
Another reason a P3 study can fail while a P2 was successful is that P2 placebo groups, with narrower eligibility criteria & fewer patients, often have more variable placebo-adjusted effects Use Phase 3 data, often on drug labels, to make comparisons;...
Factor Development Risk with Probability of Success
Incorporating Probability of Success (PoS) is a unique aspect of #biotech valuation investors must be aware of. It tries to factor development risk into revenue and cost assumptions. Here is a table of PoS values: #learnbiotechinvesting #investing #BiotechPrometheus https://t.co/Sv8XodkWXg
Transparent Valuation Links Investor Thesis to Share Price
Transparency in valuation is a good thing. People may have different assumptions but it’s important to understand how your thesis as an investor translates into a share price. Thank your for posting @Biotech2k1
Context and Competition: Key Framework for Biotech Investors
The context of the data matter. How does it stack up against the competition? Is there other competition? This framework will help investors organise their thoughts #learnbiotechinvesting #biotech #investing #BiotechPrometheus https://t.co/jKBHRAXsch
Know the FDA Process: Key to Biotech Investment Success
Investors should understand the #FDA regulatory process well. Here is a quick summary At each step investors should ask themselves if the company is developing things in a way that will satisfy the FDA Until a drug is approved the FDA is...