The Telix Pharmaceuticals Ltd (ASX: TLX) share price soared 16% today to a record high of $1.16 after the oncology research business presented at a conference held by Macquarie Group Ltd (ASX: MQG).
The company now has a market value of $175 million based on 150.9 million shares on issue, although it has another 67 million shares to potentially come out of escrow on November 15 2019 to mean conservative investors should account for a market value around $253 million.
Evidently investors have great expectations for a business that is attempting to develop treatments for prostate cancer, renal (kidney) cell cancer, and brain cancer. The therapies for renal and prostate cancer are currently in the Phase III clinical trial stage, with the company boasting that its product pipeline represents a multi-billion dollar market opportunity.
However, clinical research trials are notoriously expensive and the company booked only $702,000 worth of revenue for the quarter ending March 31 2019, with an operating cash loss of $7.34 million. It also had cash on hand of $17.7 million as at the last reporting period.
