After following biotechs for the last few years (started circa 2015) the no.1 asset of a clinical stage company (i.e. no marketable product) is CASH, as CASH = RUNWAY (burn rate is also a factor, but that relates to how fast the company will use up their cash position). Otherwise shorts can/will drive down the price and force dilution (i.e. capital raises) at lower prices - a win-win as they get to cover their shorts (i.e. make money) in addition to holding a larger portion of the original company (greater return when pastures turn green).Back down to 7 haha, fun while it lasted but I like the increasing floors on no news. Don't even have trial results yet, coming in Q4. I just love the stock because of the potential coming and the past success of the team. Guy who discovered THC (Raphael Mechoulam) and some guys who were on the team that discovered Remicade, which is Johnson and Johnson's biggest selling drug. The phase 3 trial happening now is just repurposing an existing drug and was fully funded by grants.
180 Life Sciences - Innovative Therapeutics Biotech Company
Biotech Company Developing New Anti TNF Treatments For One Of The World's Largest Drivers Of Disease: Inflammation.180lifesciences.com
I scrolled through the latest posted 10K (Dec. 2019) on 180's website and their cash was listed at <$1M on the balance sheet with another ~$10M in an "investment account" (I think this has to do with the SPAC merger to list and that goes beyond my understanding TBH - p.44 pdf/p.39 10K - see balance sheet for cash position); slide 20 of their last investor presentation also seemed "off" to me as their is no mention of cash position, rather debt/market cap - a bit "red-flaggy" for my taste.
It takes A LOT of time/money to get a drug up and going (regardless of ph.3 trial readout/success) - need manufacturing, need sales/marketing, need to deal with insurance, how big is the target market to begin with, etc.
IMO I wouldn't invest at this time as it seems further dilution before offering a commercial product is inevitable. The rest of their pipeline is so early in development that you'll likely be holding shares for 4+ years before seeing a meaningful return, which means holding a ton of risk for further dilution and/or clinical failure during that time - that said you could make money on a "swing trade"... who knows.
Just my $0.02 - I'm not an expert I just like to follow stonks. GLTU!