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Stock SymbolCipher Pharmeuticals (CPH-T)
Source of InformationMarket Call (BNN TV)
T.V. Program Date2018-08-28
Opinion

This is a specialty pharma company. They have been focused on dermatology products, the lead being Absorbica. He’s excited by their development pipeline. They bought the Canadian assets of Cardiome and have successfully integrated them. This came with tax losses along with the pipelines. Together, they help make Cipher incredibly cheap at its current price. There was an issue with inventory of their US partner, but that has now been resolved. He expects the recovery to show good earnings momentum for the back half of this year, then the release of new products. The company has dropped from $18--it was caught up in the run-up of prescription prices (Valeant) and then the run-down. While their prices were high, they tried to get into the US in a big way, and that failed. That cost them about $10 million and hurt their share price, but that failure is long past. He likes it a lot at its current price. (Analysts’ price target is $6.06)

Price (as of program date)$3.530
Implied Signal
ExpertJames Hodgins
T.V. Program TopicMARKET NEUTRAL INVESTING: SMALL/MID-CAP
Own or RelationshipYes