Is anyone buying Nuerostem Stock? I noticed they are at 32 cents a share. If Nuerostem comes to market with NSI-189their stock price could go as high $18 a share.
Thoughts,comments and, or questions?
Cheers!
I invested about $12.000 in Neuralstem, now holding 13.000 shares since 2 years. It's a high risk, high reward investment just like with pretty much any biotech stock. If the currently running NSI-189 phase 2 trial yields good or even great results and should NSI-189 even make it to the market maybe becoming the next blockbuster antidepressant, then the sky is the limit. If in addition to NSI-189 they manage to commercialize stem cell therapies for ALS, chronic spinal cord injury, stroke, alzheimers and so forth (or just for some of the indications) then we are more likely talking about a share price of somewhere between $20 and $60.
Risks:
- They have paused they stem cells clinical trials in favor for NSI-189, because their finances have been very weak for quite some time now. However, a couple of weeks ago they received a $20 mio strategic investment from Tianjin pharmaceuticals. That will give them enough cash to last for another 1,5 - 2 years and finish phase 2 trial without worrying about bankruptcy.
- Should phase 2 data be negative, then Neuralstem could indeed go bankrupt unless their stem cell therapies have advanced to the point where they have a realisitic chance to commercialize them.
- We will see some major dilution within the next months due to the investment from Tianjin. Neurastem also faces delisting from NASDAQ CM as they share price has dropped below $1. They might be forced to do a reverse split in order to remain listed. That decision will be made within the next 10 months. Even though a reverse split is not decreasing the value of your investment per se, it is generally considered a bad sign and usually results in a significant drop in share price.
The price per share has been a bargain for many months now. It used to be $0.19 just some weeks ago! I suggest you just go ahead and buy some shares with money you can afford to loose.
If we are lucky, then this company could turn into a multi-billion dollar company sometime in the next 5 - 10 years. You need to be very patient though. This is not the kind of investment that is going to make you rich or affluent over night.
Good luck!
Edited by focus83, 12 October 2016 - 04:56 PM.