Genovis seems to have started taking quite a hit today; it looks like some air came out of the share price (?) as it’s down 12% on the board. The company hasn’t released any news recently—do those of you following the company have any clues? It would be quite surprising if a mere recommendation change would trigger such a sharp move.
I couldn’t find anything else but this either. My buy finger is itching.
Edit. It could also be a side hit related to ArcticZymes. I didn’t look into it in more detail.
1 Like
11 Likes
Sales growth 55%, EBITDA “increased sixfold vs 2022”, core business grew 31%, enzymes 35%, antibodies 13%. 4 new products were brought to market.
In Q4, antibody sales dipped -18%, and the recovery of the Swedish krona also had a downward impact on sales. A USD 1 million milestone payment was triggered two days ago due to the favorable development of the Xork enzyme.
“Looking back at 2023, I can say that we have once again achieved our best performance to date.”
7 Likes
Several insiders have been buying during the week:
Here is Redeye’s comment on the result:
Base case slightly lower: SEK 75.
PS Since there is no dedicated thread, I’ll add a comment about Calliditas mentioned above, which is one of Redeye’s Life Science picks for this year alongside Geno. C’s report was decent and target prices were raised last week: SEB SEK 230->260 and Kepler SEK 125->160 (Redeye 270). It seems that confidence in the turnaround is starting to strengthen among other analysts as well.
15 Likes
I wonder if the entire Xork deal is at risk? Judging by the stock price, that’s what is feared..
4 Likes
There’s the announcement. You sniffed out the situation well. Looks like a cautious buying opportunity; I’m sure there will be takers for the product.
3 Likes
Now we need a few insider purchases to support the content of the release.
2 Likes
In my opinion, Genovis’s own announcement was somewhat positive in tone, or am I wrong? It mentioned that this opens up new opportunities with new partners.
3 Likes
Can anyone estimate the impact of this on revenue / profit? Apparently, it has no particularly significant impact, as the company did not comment on it in any way in its release.
You can read the Swedish comments here:
So RedEye is adjusting the base case from 75 → 63.
Not a major catastrophe, but in this miserable market, a bird in the hand would certainly have been better than ten in the bush.
However, people have remained quite confident regarding the product.
3 Likes
Interesting situation… many in the company’s management just bought shares in fairly decent amounts, and then this news follows almost immediately after. Overreaction by the market?
1 Like
The collapse of the Xork deal is a noteworthy turn of events. Has anyone happened to see any assessments (or guesses) as to why this has happened? Business consequences are likely being pondered plenty, but this particular aspect needs some light shed on it.
For example, in the thread I linked, it is speculated that when Selecta and Carthesia merged last autumn, they subsequently reorganized their R&D pipelines and this project was discontinued.
5 Likes
Dropped 18% in a week, a pretty slippery slope. Has there been anything in the news feed explaining this? I haven’t found any clues myself.
Did I understand correctly that they will make a decision at the general meeting regarding the issuance of new shares, meaning the number of shares will increase and the value of existing shares will therefore decrease..
1 Like
Wasn’t that just a routine filing regarding the authorization. Geno has plenty of cash in the bank, after all..
It’s hard to find any news flow on this, and even on the Swedish forum, they seem to be clueless. I bet someone is exiting their position, or it’s just basic shorting as a follow-up to the bad news, since nothing new has been heard and the major indices are also undergoing a correction now. There has been pressure on Calliditas too, for example, so maybe it’s mostly the latter…
You’d think the insiders would start waking up soon. Hmm, except that Q1 appears to be coming on May 15th. I wonder if the buying window is already closed for them too.
The authorization is standard stuff according to the neighboring forum, and I haven’t checked the amounts more closely myself. I added some more cautiously yesterday and still believe that there will be bigger buyers for x-korkki as well.
Edit
So now the target prices after the deal fell through seem to be Danske 48 and Red Eye 63 SEK.
8 Likes
What are the thoughts on the forum regarding Geno? The decline just continues, we’re already below the Bear.