Friday, February 4, 2022

IBI Research On Avalon: Leading The CAR-T Revolution

 

Summary

  • Amid the Biotech Bear market, many fundamentally robust companies are trading at a deep bargain to their intrinsic value.
  • During this special time, I continue to feature you with promising companies that are potential multi-bagger.
  • The aggressive down market has greatly widened the margin of safety for investing in Avalon GloboCare.
  • Even a single asset (be it the COVID or CAR-T franchise) valuation indicated that Avalon is worth far more than its market quotation.
  • By mid-year 2022, the most powerful CAR-T (i.e., Dragon CAR-T, AVA011) will enter the clinic.

Opportunities come infrequently. When it rains gold, put out the bucket, not the thimble. - Warren Buffett

As a maverick biotech investor, you should focus on two key factors associated with highly profitable investing. The first consideration is to acquire leading companies in their particular niche. In my decade-plus investing, I realized that stocks giving you the best returns are top innovators in an emerging industry. The second is to accumulate equities during a market downturn to get the best average cost.

That being said, you should revisit Avalon GloboCare (AVCO) because the company satisfied both aforesaid conditions. As a leading CAR-T innovator, Avalon shares tumbled substantially amid the 2021 Biotech Bear market. In the coming years, you can bet that Avalon will do extremely well as the stock market will enter into a new bullish cycle. As such, your Avalon shares will be worth several folds higher. In this research, I'll feature a fundamental analysis of Avalon and provide you with my expectation of this stellar Phillip Fischer growth equity.

Figure 1: Avalon chart (Source: StockCharts)

Friday, January 7, 2022

IBI Research On Avalon: In The Middle Of Difficulty Is An Opportunity

Summary

  • The 2021 Biotech Bear market is seemingly prolonged into this year. As such, many fundamentally sound companies like Avalon GloboCare are trading on a downtrend.
  • Avalon recently filed its annual report and thereby provided investors with important corporate updates.
  • The Illustrious Chairman (Daniel Lu) doubled down on the stock as he converted corporate debts into common shares at the 45% premium to its market valuation.
  • To preserve shareholders' value, Avalon decided to steer away from acquiring SenlangBio to focus on organic pipeline development.
  • Meanwhile, the Dragon CAR-T (AVA011) is anticipated to enter the clinic by mid-year.

"A strong marketer must constantly alert to the changing desires of its customers so that the company is supplying what is desired today, not what used to be desired." - Phillip Fischer (Warren Buffett's mentor) on a growth's stock marketing organization.

As you can see, the 2021 Biotech Bear market is prolonged into 2022. Amid rising interest rates and Omicron devastation, many fundamentally robust biotech are tumbling. In the middle of this difficulty, you're most likely to find opportunities as deep-bargain stocks abound. Now that does not mean you should buy any stock. In other words, it's paramount that conduct proper due diligence before making your purchase. That being said, I'd like to revisit the growth story on Avalon GloboCare (AVCO). In the thick of the current market downturn, Avalon lost a substantial portion of its market capitalization. Due to the said volatility, I believe that there is a significant mismatch between the market valuation and the stock's intrinsic value. In this research, I'll feature a fundamental analysis of Avalon and share with you my expectation for this growth opportunity.

 Figure 1: Avalon chart (Source: StockCharts)

Sunday, January 2, 2022

Retirement Secrets: Ask More From Your Life & Investment

 To the maverick bio-investors,

At IBI, I focus on boosting all aspects of your life. 

As you're now in New Year 2022, I want you to focus on the first and most important investment: YOUR HEALTH!

Source

Monday, September 13, 2021

IBI Research On Avalon GloboCare: Galvanizing Novel CAR-T Innovation With The University Of Pittsburg Partnership

 

Summary

  • After several years of robust fundamental advancement, Avalon is now transitioned into its aggressive 2.0 growth phase.
  • Asides from the upcoming SenlangBio acquisition, Avalon continues to foster its collaborative relationship with various institutions.
  • As it unlocks the latest University of Pittsburgh partnership, Avalon will deliver a novel and ingenious form of CAR-T, i.e., FLASH-CAR™, to patients.
  • FLASH-CAR™ may potentially overcome the drawbacks of the first-generation CAR-T medicines.
  • Asides from rapid delivery, FLASH-CAR™ is safer, more efficacious, and is able to subdue both blood cancers and solid tumors.

In the stock market a good nervous system is even more important than a good head. - Phillip Fischer (Warren Buffett's mentor)

When you invest in biotech, it's imperative that you pay attention to any partnership development. After all, a partnership can garner intelligence and resources to ensure innovation success. On that note, you typically hear about partnerships relating to sales and marketing (i.e., S/M). Nevertheless, the partnership being overlooked is one pertaining to research and development (R&D). As you can see, an S/M partnership is crucial for developing biotech having an upcoming drug approval. Now, the R&D partnership is quite important for an innovator with most of its drugs in the earlier developmental stage, says a Phase 1/2 clinical study.

That being said, Avalon GloboCare (AVCO) epitomizes the aforesaid phenomenon. After it formed several colossal partnerships to lay the foundation for long-term growth, Avalon recently engaged in another key collaboration with the University of Pittsburg's Hillman Center. In my view, this collaboration is a huge growth catalyst for the stellar next-generation CAR-T medicines. In this research, I'll feature a fundamental analysis of Avalon and provide you my expectation of this promising Phillip Fisher's growth equity. 

Figure 1: Avalon chart (Source: StockCharts)

Sunday, August 8, 2021

IBI Research On Avalon GloboCare: Capturing The Aggressive 2.0 Growth Phase

 Summary

  • After several years of building its growth infrastructure, Avalon GloboCare is now embarking on the most aggressive growth phase.
  • The company recently formed a strategic partnership with the University of Pittsburgh to advance its stellar CAR-Ts.
  • Leveraging growth by prudent acquisition, Avalon acquired the largest cell therapy company in Northern China, SenlangBio.
  • Avalon has a deep pipeline of CAR-Ts that are poised to transform the cancer therapeutic landscapes in the U.S.A, China, and worldwide.
  • As Avalon is solidifying its position as the Global Powerhouse Innovator of Cellular Therapy, the opportunity for investors is tremendous.

Such a study indicates that the greatest investment reward comes to those who by good luck or good sense find the occasional company that over the years can grow in sales and profits far more than industry as a whole. It further shows that when we believe we have found such a company we had better stick with it for a long period of time. - Phillip Fischer (Warren Buffett's mentor)

In biotech investing, make sure you pay attention to the company's growth cycle. In the first few years, a company usually commenced in the so-called 1.0 phase. At this point, management laid down the foundations for future growth. After that initial start, the company would embark on a robust growth cycle, i.e., the 2.0 phase. Here, you'll reap outsized gains for your investment. After all, the growth infrastructure is already built. And, the tree is ready to bear fruit.

That being said, I'd like to revisit a company entering a leaping growth phase, Avalon Globocare (NASDAQ:AVCO). In the past few years, Avalon's management worked diligently to put various puzzle pieces together for solidifying the company's position as the Global Powerhouse Innovator of Cellular Therapy. Amid strong fundamental advancements, there is still a significant mismatch between the company's intrinsic value and its market valuation. In the middle of this difficulty is a lucrative opportunity the long-term-oriented growth investors. In this research, I'll feature a fundamental analysis of Avalon 2.0 and provide my expectation of this premier growth bio. 

Figure 1: Avalon chart (Source: StockCharts)

About the company

As usual, I'll deliver a brief corporate overview for new investors. If you are familiar with the firm, I suggest that you skip to the subsequent section. Founded in 2016, Avalon GloboCare quickly transitioned into a clinical-stage biotechnology company in just a few years. Striving to deliver unmet needs for patients worldwide, Avalon is focused on the development and commercialization of innovative and transformative cellular therapies and technologies.

Riding on the wing of its ingenious founders (Dr. David Jin and Chairman Daniel Lu), Avalon is delivering a pipeline of great depths. As shown below, the company is advancing the next-generation CAR-Ts such as AVA-001 and AVA-011. There's also the AVA-Trap hemofiltration, Covid-19 mucosal vaccine, and allogeneic MSCs. 

Figure 2: Diagnostic and therapeutic pipeline (Source: Avalon)

Saturday, July 25, 2020

IBI Research On Avalon GloboCare: The Therapeutic Virtuoso CAR-T Early Results

Summary
Avalon GloboCare continues to deliver innovative solutions coupled with aggressive pipeline expansion.
To fight the devastating Coronavirus pandemic, Avalon offered AVA Trap which is a drug to subdue cytokine storms. In a knockout punch combination, Avalon is also developing a COVID19 vaccine.
On the main battlefront, Avalon recently posted stellar Phase 1 data for its CAR-T franchise (i.e., AVA-001) for deadly blood cancers.
Within a relatively short time-span, Avalon inked multiple partnerships to power growth for years ahed.
Despite robust advancement, Avalon is still flying under the radar of Wall Street. This creates an excellent opportunity for you to build your shares before institutions discover this hidden gem.
Such a study indicates that the greatest investment reward comes to those who by good luck or good sense find the occasional company that over the years can grow in sales and profits far more than industry as a whole. It further shows that when we believe we have found such a company we had better stick with it for a long period of time. - Phillip Fisher (Warren Buffett's Mentor)
Back in March, there was a devastating stock decline with the emergence of the Coronavirus pandemic. Nevertheless, strong market sentiment is fueling a vigorous comeback in the past few months. Contrary to the prevailing market sentiment, I believe that the market fundamentals are deteriorating due to the ramifications of COVID19. As such, the market will feel a reverberation as earnings roll in.
Be that as it may, not all stocks behave the same. In my opinion, companies that are most immune to COVID19 (i.e., SARS-CoV-2) are bio-stocks. No matter how bad Coronavirus plays out, there is always a huge demand for novel medicine and therapeutic innovations. After all, there is no guarantee that you won't get sick, no matter how well you take care of yourself. That being said, you should capitalize on this golden opportunity of a lifetime to build shares in fundamentally robust life science innovators like Avalon GloboCare (NASDAQ:AVCO). In this research, I'll revisit your favorite bio-stock, Avalon. Moreover, I'll analyze the latest clinical data and share with you my forward expectation of this robust growth equity.
Figure 1: Avalon chart (Source: StockCharts)

Wednesday, January 29, 2020

IBI Research On Avalon: Mega Partnerships For Rapid Pipeline Advancement

Summary
Despite its young age, Avalon Globocare is aggressively progressing on multiple fronts.
In mid-2019, the company secured a colossal partnership with GE Healthcare.
Avalon recently revealed another partnership. That is with China Nanjing Cell Valley.
This collaboration enabled Avalon to expedite its clinical advancement for the next-generation CAR-T.
Amid strong fundamental development, the stock is trading at a deep bargain to its true worth.
Opportunities come infrequently. When it rains gold, put out the bucket, not the thimble. - Warren Buffett 
As you can see, all giant biotech companies have to start from somewhere. That is to say, Merck (MRK) didn't become a mega bio-stock overnight. It takes time, tremendous intelligence, and capital to nurture a young biotech to become a giant pharma of the future. Hence, if you invest in a powerful young bio company, you just found your ticket to a luxurious retirement. Now doesn't mean that you'll suddenly become rich overnight. You need to conquer the volatility associated with your bio-stock. And you can do that by being patient in holding your shares for the long haul. Better yet, you should build more stakes at opportunistic occasions, i.e. at the dips.
That being said, I'm attracted to Avalon Globocare (NASDAQ:AVCO) because of its stellar management, premier chimeric antigen receptor (CAR-T), regenerative medicines, and exosomes empowered diagnostics. If you've been following my work on CAR-Ts, you'd know that I like Kite Pharma (KITE) and Juno Therapeutics (JUNO) that are acquired. Make no doubt, they have excellent CAR-Ts. Nevertheless, Avalon's CAR-Ts are far more advanced than any first-generation drugs. With signs of rapid advancement, it's spaghetti to sauce that Avalon will become a giant pharma one day. In this research, I'll feature a fundamental analysis on Avalon and provide my expectations of this Philip Fisher growth equity.
Figure 1: Avalon chart (Source: StockCharts)

About The Company

As usual, I'll present a brief corporate overview for new investors. If you are familiar with the firm, I suggest that you skip to the subsequent section. Based in Freehold, New Jersey, Avalon is engaged in the innovation and commercialization of novel medicines and disruptive diagnostics. Driven by tireless efforts, the company is poised to serve the global unmet needs in cancer and various conditions.
Of corporate strategy, Avalon employs a trident-like approach of Poseidon. In other words, the company captures opportunities in three lucrative niches. They include exosomes diagnostics, regenerative medicine, and cellular immunotherapy (i.e. CAR-T). As shown below, there are several potential blockbusters, including AVA-101, -201, and -203.
Figure 2: Diagnostic and therapeutic pipeline (Source: Avalon)
Regarding the diagnostic portfolio, Avalon reaps the ingenious science of "exosomal biomarkers" to launch an avalanche against oral cancer, nonalcoholic steatohepatitis ("NASH"), leukemia, colorectal cancer, and macular degeneration. Though there are different biomarkers, I strongly believe that exosomes are best. In my view, exosomes can pinpoint the diagnosis to confer physicians an edge against deadly conditions.

Mega Partnership To Signal Rapid Pipeline Advancement

Shifting gears, you should analyze important growth catalysts. Notably, I pay close attention to a bioscience innovator's ability to form partnerships. That's because it foretells pipeline advancement. After all, it's extremely difficult for a small company to go at it alone in development and commercialization. By collaborating, a young company can leverage its partner's expertise and infrastructure to expedite the drug development process.
So back on June 22, 2019, Avalon revealed a highly strategic partnership with GE Healthcare. It enabled Avalon to improve business logistics such as automation and standardization for good manufacturing practice (i.e GMP). It's a huge step in expanding Avalon's global cell production capabilities. Ultimately, it positioned the firm to become an undisputed leader in cell-based medicine. I wrote in the prior article,
The partnership will galvanize Avalon's capability to answer the strong demand for cell-based therapies worldwide. The company can now ramp up its supply of clinical-grade cellular products consisting of CAR-T, CAR-NK (natural killer cells), and stem cell-derived exosomes. Specifically, it ensures an adequate supply of biological specimens through scale-up manufacturing throughput and efficiency. Moreover, standardization and automation improve the specimen's uniformity.

China Nanjing Cell Valley Catalyst

Aside from GE Healthcare, Avalon disclosed another powerful partnership on December 20, 2019. That is to say, the company is collaborating with China (Nanjing) Cell Valley (i.e. Cell Valley). The aim is to push forward therapeutics and diagnostics innovation.