Saturday, September 15, 2018

More Benefits To IBI Members: New Research And Report Series To Assist Our Community

Summary

Specialty Research Series elucidates investment prospects in various markets (NASH, RNA-based medicines, CAR-T, genes therapy/editing, and infectious disease).
Educational Series explicates our investment philosophy for you to adapt to your own use.
Expert Interview Series features key opinion leaders and their best recommendations. Portfolio Review Series provides our latest takes on promising investments.
M&A Series reviews merger & acquisitions and forecasts potential outcomes. Sector Report Series analyzes industry headwinds and tailwinds.
Quality Improvement Series analyzes our mistakes to deliver better future returns. Development Series gives a sneak peek preview on our future direction.
We recently upgraded IBI with ongoing changes to improve the quality of our private research community. Accordingly, we improved our presentation on ways to best leverage on our research via a question and answer format. In this article, we’ll feature various research/report series with corresponding links to make it easy and efficient for you to conduct your own research due diligence. The aforesaid series include the following: Specialty Research, Educational, Expert Interview, M&A, Sector Report, Portfolio Review, Quality Improvement, and Development.

Specialty Research Series

We’ve featured a total of five different Specialty Research Series. The primary objective of the Specialty Research is to deliver in-depth analysis into a particular niche for investors who are interested in exploring only a particular field, for instance, the lucrative nonalcoholic steatohepatitis (“NASH”) market. Moreover, we discuss the latest medical breakthroughs in this series. Each article goes over the overall market opportunity, challenges, and investment prospects. For your convenience, we feature the links to five Specialty Research (on NASH, RNA-based medicines, CAR-T, genes therapy/editing, and infectious disease) as presented below.

Educational Series

Having a solid understanding of the what, why, when, and how pertaining to an investment is crucial for long-term success. That being said, we a good number of educational articles in the hopes that you find our investing approach useful. We recommend that you read these articles often and determine how you can adapt it to your own investment approach to improving your returns. After all, education is a lifelong journey.

Expert Interview Series

Back in 2017, we conducted several expert interviews in the efforts to increase the depth of coverage for our members. In the Expert Interview series, you can get a glimpse into the insight of different key opinion leaders (“KOLs”) and learn how they investing. You also get their top stock recommendations. For instance, we found out about Omeros Corporation (NASDAQ:OMER) via the interview with the stellar Scientist Trader, Biotech Beast.

M&A Series

The merger & acquisition (M&A) series features various aspects of an acquisition. In these articles, we analyze different criteria that are conducive to an M&A. And in leveraging our experience, we prognosticate potential M&A targets that you might want to check out

Sector Report Series

While we predominantly focus on bottom-up research on individual companies, it’s important to have an understanding of the overall bioscience sector. Knowing the associated industry tailwinds and headwinds can give an investor the edge in analyzing the particular bioscience investment. Going forward, we’ll increase our focus on the development at the FDA to give members a heads up on what the FDA Commissioner (Dr. Scott Gottlieb) has in store for patients, companies, and investors.

Portfolio Review Series

Every quarter, we conduct an in-depth analysis of our long-term portfolio (CP-Alpha). We recommend that you check our prior reviews as well as the latest article to track our progress. In the latest report, you can learn about our best ideas that can potentially deliver multiple fold profits. The prime example is Intercept Pharmaceuticals (NYSE:ICPT), a company that has the best chances of making a successful turnaround in the Q2 2018 Portfolio Review. Since our recommendation, the company has procured +60%.

Quality Improvement Series

In this series, we present an analysis of our mistakes and invaluable lessons that we learned in order to improve our research quality for IBI members.

Development Series

Our goal for the IBI Development Series is to alert investors to our upcoming developments and their progress. We are brewing various portfolio developments. Nevertheless, we are short on manpower and need your help with tracking various catalyst. Please send your message to either Dr. Tran or HopeAlpha if you wish to help out.

Final Remarks

We hope that this article (and our reorganization of various research and report into their respective series) and new pieces are helpful. The perk of being a member is that you'll have access to this article and all the links that are not available to the free site. More importantly, you'll have access to our ongoing updates. 
We’re honored that you visited us. Founded by Dr. Hung Tran, MD, MS, CNPR, IBI is delivering stellar returns. For instance, Nektar, Spectrum, Madrigal, Atara, and Kite procured +215%, +154%, +174%, +191%, and +83%, respectively. Our secret sauce is extreme due diligence with expert data analysis. The service features daily research/consulting. While we publish some ideas publicly, those articles are available in advance and discussed more extensively in IBI. We also reserve our best ideas (new 5-star stocks) exclusively for IBI members. And, we invite you to subscribe now to lock in the current price.
Disclosure: I/we have no positions in any stocks mentioned, and no plans to initiate any positions within the next 72 hours.
Additional disclosure: As a medical doctor/market expert, Dr. Tran is not a registered investment advisor. Despite that we strive to provide the most accurate information, we neither guarantee the accuracy nor timeliness. Past performance does NOT guarantee future results. We reserve the right to make any investment decision for ourselves and our affiliates pertaining to any security without notification except where it is required by law. We are also NOT responsible for the action of our affiliates. The thesis that we presented may change anytime due to the changing nature of information itself. Investing in stocks and options can result in a loss of capital. The information presented should NOT be construed as recommendations to buy or sell any form of security. Our articles are best utilized as educational and informational materials to assist investors in your own due diligence process. That said, you are expected to perform your own due diligence and take responsibility for your action. You should also consult with your own financial advisor for specific guidance, as financial circumstances are individualized.

Wednesday, February 28, 2018

An Integrated BioSci Alpha Intelligence On Mallinckrodt Pharmaceuticals: What The Fiscal 2017 Earnings Foretell?

Summary

Q4 2017 earnings show promising results that signaled robust upcoming growth.
The Succampo acquisition for Amitiza and other phase 3 molecules will close in Q1 2018. And, the aforesaid catalyst is most likely to deliver substantial growth.
Amitiza can generate roughly $1B in the foreseeable future while other acquired late-stage therapeutics to add further value.
Highly favorable valuations and a strong balance sheet.
Significant insider purchases and share buybacks signify tremendous unlocked value.
This matter of training oneself not to go with the crowd but to be able to zig when the crowd zags, in my opinion, is one of the most important fundamentals of investment success. - The Father of Growth Investing (Philip Fisher)
On Feb. 27, 2018, the shares of Mallinckrodt Pharmaceuticals (NYSE:MNK) - the specialty pharma that spun off from Covidien (NYSE:COV) in 2013 - traded $2.47 (+15%) higher at $18.86. The aforesaid rally is due to the robust earnings reported for Fiscal 2017. In this report, we’ll go over key earning highlight as well as what investors can expect going forward.
Figure 1: Mallinckrodt stock chart. (Source: StockCharts).

Fundamentals Analysis

In 2013, Covidien (NYSE:COV) spun off Mallinckrodt to maintain its emphasis on medical devices. As follows, the United Kingdom-based firm, Mallinckrodt then focuses on the innovation and commercialization of branded and generic medicines. Accordingly, the company is servicing various markets such as autoimmune, neurology, rheumatology, nephrology, ophthalmology, pulmonology, respiratory, and anesthesiology (as shown in figure 2). Of note, the generic subsidiaries include active pharmaceutical ingredients, biologics, medicinal opioids, controlled substances, and acetaminophen. On the other hand, the branded franchises feature corticotropin injection (Acthar Gel), nitric oxide gas (Innomax), acetaminophen injection (Ofirmev), Therakos photopheresis, fibrin sealant (Raplixa), surgical sealant (Preveleak), and topical thrombin (Recothrom).
Figure 2: Branded products portfolio. (Source: Mallinckrodt).

Earnings Highlight

For Fiscal 2017, Mallinckrodt procured $3.22B net sales, which is 4.7% lower than $3.38B last year. One of the reasons is that 2016 has an extra selling week. In addition, the ongoing pressure in the generics segment contributed to the slight decline. That aside, the diluted earnings per share (“EPS”) from operations were $18.09 compared to $4.39 for the year prior, thus reflecting the benefits from tax reform and other corporate reorganization). Additionally, the adjusted diluted EPS were $7.49 compared to $7.85 for the same period of comparison.
As for Q4 2017, the branded therapeutics segment delivered $582M net sales compared to the $603M a year ago, thus representing -3.7% decline (as depicted in table 1). The generics segment brought in $196M and $213M for Q4 2017 and Q4 2016, respectively (thereby, signifying the -8.5% decreased). Despite not falling off the cliff as what the market seemingly believed, both the generic and branded segments continue to experience significant growth decline (as illustrated table 1 below). The cooling off re Acthar Gels’ growth is due to the previously disclosed patient withdrawal issue. In response, the company implemented various approaches to address the issue mentioned (i.e. the engagement with payers, prescribers, and patients). Be that as it may, it is not far from the truth that Acthar Gel will continue to experience modest sales decline (if the stated efforts cannot pay off).
Branded Therapeutics
Generics Segment
$582M net sales for Q4 2017 vs $603M for Q4 2016 (-3.7%)
$195.8M in Q4 2017 vs. $212.9M in Q4 2016 (-8.5%)
Acthar Gel: $295.2M vs $325.4M (-9.3%) net sales

Inomax: $125.6M vs $118.2 (+6.1%)

Ofirmev: $78.0M vs $72.5 (+7.6%)

Therakos: $57.2M vs $47.4M (+20%)

Table 1: Quarterly figures for branded and generics segments (source: Dr. Tran BioSci)
In assessing the balance sheet, Mallinckrodt has $1.26B at the end of Q4, which include the total cash and equivalents as well as the revolving credits. This capital will be used to close the Succampo transaction sometimes in Q1 this year. The cash provided by operating activities for the said quarter was $278.8M. In addition, the free cash flow was $244.0M. For the whole year, the corresponding figures are $727.3M and $541.2M, correspondingly. Moreover, the company repurchased approximately 10% of shares outstanding (i.e. 9.4M common shares for $214.0M).
Despite that sales growth has been cooling off (due to the pressure from the generic pricing as well as the slowing down of growth for Acthar Gel), the earnings figures reflect a strong underlying business. Furthermore, the combinations of substantial insider purchases (as elucidated below) and the company’s shares buybacks can only mean that they insiders strongly believe in the company prospects (and that shares are on sales significantly below their true worth).

Insiders Transactions

Per figure 3, Mallinckrodt insiders acquired shares en masse for an extended period of time. As alluded, the most likely reason a company buys its shares is that they believe those shares are trading significantly below their intrinsic value. Interestingly, this view resonates with the wisdom of Peter Lynch: “Insiders might sell their shares for any number of reasons, but they buy them for only one: they think the price will rise.”
Figure 3: Mallinckrodt insider purchasing. (Source: OpenInsider).

Fiscal 2018 Estimates

Pertaining to the Fiscal 2018 guidance, Mallinckrodt expects the net sales to increase from 3% to 6% (and the diluted EPS to come in at $6.00 to $6.50) as demonstrated in table 2. 
Table 2: 2018 financial guidance (source: Mallinckrodt)

Final Remarks

Of note, this is the preview of the Integrated BioSci Alpha Intelligence research, published in advance to subscribers of Integrated BioSci Investing (a community of expert physicians, scientists, executives, market leaders, and everyday investors). In the aforesaid article, we took the deep-dive into the data analysis (and elucidate the potential upsides) that you can expect from this firm. If you're an investor (or thinking about investing in Mallinckrodt), it's a good idea to check out the pending catalysts of this firm.
Author’s Notes: We’re honored that you took the time out of your busy day to read our market intelligence. Founded by Dr. Hung Tran, MD, MS, CNPR, (in collaborations with Dr. Tran BioSci analyst, Ngoc Vu, and other PhDs), Integrated BioSci Investing (“IBI”) marketplace research is delivering stellar returns since inceptions. To name a few, Nektar Therapeutics (NASDAQ:NKTR) procured more than 381% profits; Spectrum Pharmaceuticals (NASDAQ:SPPI) delivered over 194% gains; Kite Pharma netted 83%; Atara Biotherapeutics (NASDAQ:ATRA) appreciated +207%. Crispr Therapeutics (NASDAQ:CRSP) garned plus 147%. Exelixis Inc (NASDAQ:EXEL) earned greater than 54% capital appreciation. Our secret sauce is extreme due diligence coupled with expert data analysis. The service features a once-weekly exclusive in-depth Integrated BioSci Alpha-Intelligence article (in the form of research, reports, or interviews), daily individual stocks consulting, and model portfolios.
Notably, we’ll increase our price soon. SUBSCRIBE to our marketplace research now to lock in the legacy price and save money in the future. To receive real-time alerts on our articles as well as blogs, be sure to check out our profile page and CLICK the orange FOLLOW button . Asides the exclusivities, this article is the truncated version of the research we published in advance to IBI subscribers. Further, you can read up on Dr. Tran’s background by following this link. If you'd like to get our other once weekly ideas sent to your mailbox, check out Dr. Tran BioSci and sign up with our mailing list.

Friday, February 23, 2018

Integrated BioSci Investing: CEO Abelardo Fraga To Transition Into The Role Of President Of Business Development

Summary

Abelardo Fraga (“AB”) currently serves as the CEO and Founder of the successful Brazilian firm, AFDatalink.
With wisdom in both business and investing, AB made the stellar calls like Atara Biotherapeutics that delivered over 224% profits for our community.
AB to join IBI as President of Business Development.
IBI to benefit from AB’s high quality thought-process as well as his market and business acumen.
The decades of experience as a top-level executive is the key growth catalyst to power IBI.
I am a better investor because I am a businessman, and I am a better businessman because I am an investor. - The Oracle of Omaha (Warren Buffett)
It is with great honor to introduce to Integrated BioSci Investing (“IBI”) partners, Abelardo Fraga who will join us as President of Business Development. Chief Executive Officer Fraga brings in decades of experience in high-level management as the Founder and CEO of AFDatalink (a Brazilian tech firm that focuses on electronics). Prior to founding AFDatalink, AB served as the Global Account Director for the prestigious firms, Motorola and Alcatel/Lucent Technologies and as a M&A consultant. Moreover, AB is trained in investment management at the University of Geneva-Switzerland as well as investment at Stanford University and the University of Omaha. Furthermore, AB also studied financial evaluation and strategy at the University Illinois at Urbana-Champaign.
Figure 1: Notable bioscience recommendations by CEO Abelardo Fraga (Source: Google Finance)
Joined IBI back in 2017, AB has been advising Dr. Tran on market intelligence and business development. For instance, AB pioneered various programs to push for the robust growth in making our community what it is today. According to Dr. Tran,
AB has one of the best thought processes I’ve witnessed in the investing world in general (and in bioscience in specific). I believe this is due to the combinations of his Master in engineering background with the natural talent for finding multibagger investments. AB demonstrated the similarity to my other teachers by books, Warren Buffett and Phillip Fisher.
With wisdom that spans beyond business development, AB made stellar calls on various firms. Three months prior, AB presented a highly promising thesis on a relatively unknown bioscience, Atara Biotherapeutics. As an oncology-focused firm with substantial unlocked value in its pipeline, Atara has a molecule that functions analogous to the off-the-shelf CAR-T. Leveraging on our strength in data forecasting in combinations with AB’s investing acumen, we presented the bull thesis on Atara. In just over three months, the stock appreciated over 224% profits for our partners. Per AB,
I’ve been a member of Seeking Alpha since the beginning of 2016, and as a growth-oriented investor and I look for authors who can bring both expertise in their field of competence as well as in the financial markets.
I was very fortunate to find the IBI marketplace, and quickly I realized that Dr. Tran is a very talented professional, a hard worker, and customer-oriented entrepreneur. During this time as a subscriber, I got confident that Dr Tran will add more and more value to the investors in the biotech industry.
When he invited me to join the IBI team, it was hard to refute the invitation despite my heavy workload as CEO. I’m excited to work with Dr Tran and the IBI team in this new venture. I’m confident that IBI will bring great investing ideas to the subscribers.
I’m very excited and committed to helping IBI to grow in building value for investors as well as to support therapeutic innovations that deliver hopes to patients worldwide.
IBI is delighted to have AB to direct the prudent corporate growth strategies. With his ingenious mind and tireless efforts, IBI will continue to push for advancement. Ultimately, our work will translate into differentiated intelligence to profits for our partners. As a community of experts, we seek to support bioscience firms that are innovating lifesaving therapeutics, which deliver hopes for countless patients worldwide.
As the final note, we wish to send our appreciation to you all as well as other experts like our colleagues, SA’s editors, Daniel Shvartsman, and Robyn Conti (for the ongoing support and guidance to help us grow).
Author’s Notes: We’re honored that you took the time out of your busy day to read our market intelligence. Founded by Dr. Hung Tran, MD, MS, CNPR, (in collaborations with Dr. Tran BioSci analyst, Ngoc Vu, and other PhDs), Integrated BioSci Investing (“IBI”) marketplace research is delivering stellar returns since inceptions. To name a few, Nektar Therapeutics (NASDAQ:NKTR) procured more than 359% profits; Spectrum Pharmaceuticals (NASDAQ:SPPI) delivered over 167% gains; Kite Pharma netted 82%; Atara Biotherapeutics (NASDAQ:ATRA) appreciated +211%. Crispr Therapeutics (NASDAQ:CRSP) garned plus 110%. Exelixis Inc (NASDAQ:EXEL) earned greater than 51% capital appreciation. Our secret sauce is extreme due diligence coupled with expert data analysis. The service features a once-weekly exclusive in-depth Integrated BioSci Alpha-Intelligence article (in the form of research, reports, or interviews), daily individual stocks consulting, and model portfolios.
Notably, we’ll increase our price soon. SUBSCRIBE to our marketplace research now to lock in the legacy price and save money in the future.To receive real-time alerts on our articles as well as blogs, be sure to check out our profile page and CLICK the orange FOLLOW button . Asides the exclusivities, this article is the truncated version of the research we published in advance to IBI subscribers. Further, you can read up on Dr. Tran’s background by following this link. If you'd like to get our other once weekly ideas sent to your mailbox, check out Dr. Tran BioSci and sign up with our mailing list.

Saturday, February 10, 2018

An Integrated BioSci Investing Partners Reward Program: To Deliver Increasing Value For Subscribers

Summary

IBI Partners Reward program launched to increase the value for our subscribers.
Partners to earn points after staying with us for at least 3 months.
Points are rewarded for new subscriber referral. Quality stock tips and activity in the chat are also honored with points. Those who leave us a positive review also get points.
Points earned can be exchanged for cash monthly.
With certain milestones achieved, partners can gain entry into the VIP program.
Price is what you pay. Value is what you get. - The Oracle of Omaha (Warren Buffett)
Regardless of the tumultuous market this previous week, we’ve procured substantial gains for Integrated BioSci Investing (“IBI”) partners since 2017. If the bear market is to come, you’ll still continue to compound substantial capital if you have a long-term approach. With the 40% cash reserve in the IBI Long-Term portfolio, we’ll be in the position to take full advantage of the opportunities to purchase firms (on sales at significant discounts to their intrinsic values (if the recession will come soon).
Figure 1: Notable IBI performers. (Source: Google Finance)
Without further ado, let’s shift gear into the next growth catalyst. And, it is an honor to introduce you the Partners Reward (“PR”) Program - a new implementation that is seeking to deliver increasing value for our community of experts (physicians, scientists, fund managers, investment advisors, executives, market leaders, and everyday investors).
As follows, the program is based on a system that honors partners with points to be accumulated over time for rewards (including cash as well as the entry into our VIP Partnership). Later, we’ll go over how you can gain entry into the aforesaid VIP membership and how the cash conversion from points works. But first thing first, we’ll elucidate following ways for you to earn the points.

Subscribers Referral

With each new subscriber that you referred to IBI, you’ll receive 100 points. All you have to do is to reach out to your friends and family to subscribe to IBI. A good way is to advertise about us via your Facebook or other social media. Just make that you inform the new subscriber to let us know that you’re the person who made the referral. You can use your real name or pseudonym as you wish.

Loyalty Partners

By staying with us for at least three months, you’ll earn 100 points. For every 3 additional months, another 50 points will be added.

Market Intelligence

In addition, points will be rewarded to partners who are active in the chat forum (and to provide stellar stock tips as well as being helpful to the community). Of note, subscribers who tipped us with stock ideas that proved to work out over time will also rack up more points. Despite that the rewarding of this aspect can be subjective, we’ll try our best to make sure that it is fair to all partners. Accordingly, each reward in this category comes in as 100 points.

Business Development

Subscribers who provided us with insightful advice on business development as well as connecting us to various resources will also receive 100 points for each occasion. For instance, we’ll reward a partner with the pseudonym “8iron,” with 100 points, who helped us with the design of the IBI Long-Term portfolio. Moreover, those who wrote us a positive review (to enable investors to learn more about our service) will be rewarded with 100 points.

Partner of The Month

A subscriber who earned the most points for the month will be featured in our “Partner of The Month.” In this case, we’ll give you an additional 1,000 points on top of what you’ve earned.

Points Conversion

With the points accumulation over time, you can cash out monthly. If you choose to cash out, we simply need to have your PayPal for us to send you money within a day of your request. We can also send money via MoneyGram, but we prefer PayPal. In terms of conversion, every 100 points are worth $10. For 20K points accumulated, you can cash out your $2K or trade it for the entry into the aforesaid VIP Program.
VIP Partners have the best service, hands down. As a VIP, you can consult with Dr. Tran as much as you like. You’ll have his cell phone as well as Skype. And, he will feature your favorite stocks in the Integrated BioSci research, which often helps to unlock its value of your holding substantially. Nevertheless, the stocks have to meet certain criteria. You’ll also get periodic exclusive intelligence not available to regular members. Furthermore, you’ll gain the first invitation to join IBI’s management team.

Transparency And Tracking

We’ll keep a Google Spreadsheet that is viewable with a password. All you have to do is to provide us your email (and we’ll send you an email invitation for access. Notably, you can check your progress in real-time (as well as to chat with us and let us know what else we can do to better serve you).

Final Remarks

We’re testing this new PR Program to assess its efficacy in delivering increasing value for our partners. Of note, we’ll honor the points with the cash as stated. Be that as it may, we wish to disclaim that the points do not have cash value and are subject to change anytime on our behalf without due notice. Last but not least, we’ll update this program based on your feedback. Let us know what you think. As you are our business partners, your voice is important to us.
Author’s Notes: We’re honored that you took the time out of your busy day to read our market intelligence. Founded by Dr. Hung Tran, MD, MS, CNPR, (in collaborations with Dr. Tran BioSci analyst, Ngoc Vu, and other PhDs), Integrated BioSci Investing (“IBI”) marketplace research is delivering stellar returns since inceptions. To name a few, Nektar Therapeutics (NASDAQ:NKTR) procured more than 359% profits; Spectrum Pharmaceuticals (NASDAQ:SPPI) delivered over 167% gains; Kite Pharma netted 82%; Atara Biotherapeutics (NASDAQ:ATRA) appreciated +211%. Crispr Therapeutics (NASDAQ:CRSP) garned plus 110%. Exelixis Inc (NASDAQ:EXEL) earned greater than 51% capital appreciation. Our secret sauce is extreme due diligence coupled with expert data analysis. The service features a once-weekly exclusive in-depth Integrated BioSci Alpha-Intelligence article (in the form of research, reports, or interviews), daily individual stocks consulting, and model portfolios.
Notably, we’ll increase our price soon. SUBSCRIBE to our marketplace research now to lock in the legacy price and save money in the future.To receive real-time alerts on our articles as well as blogs, be sure to check out our profile page and CLICK the orange FOLLOW button . Asides the exclusivities, this article is the truncated version of the research we published in advance to IBI subscribers. Further, you can read up on Dr. Tran’s background by following this link. If you'd like to get our other once weekly ideas sent to your mailbox, check out Dr. Tran BioSci and sign up with our mailing list.