For a bit of context, Rockwell currently has a market value of around $455 million, but could be worth much more if Triferic is approved by the FDA and hits the market in the next 12 to 15 months. The FDA’s approval should never be taken as a given, but it’s increasingly clear to investors that Triferic’s solid efficacy/safety profile sets the stage for a high chance of approval.
On Nov. 7, the company will discuss Triferic at the American Society of Nephrology. This represents the largest medical audience yet for the company, and these types of events often serve as a catalyst for increased investor awareness.
Assuming $200 million to $250 million in annual sales for this drug, coupled with the other current and future drugs in its pipeline, Rockwell could see a total annual revenue opportunity in excess of $400 million, not far from its current market value. Investors often place a value of two times revenue or more on a stock with patent-protected drugs that face little competition. That means shares could work their way toward $20 over the next year or so, especially if Triferic gets FDA approval.
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This article was originally published at ProfitableTrading.com
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