How much cash did biotech companies start 2016 with?
With earnings season coming to a close, I thought it would be a good time to take stock of how much cash biotech companies are saying they started 2016 with. Cash on hand is especially important today because the turbulent start to the year has made it difficult for companies to launch new follow-on offerings. Only a small handful have happened so far, whereas dozens would normally be on the books by this time.
Since we don't know when (or if) things will improve, it is prudent to look at which companies are better positioned to weather the storm vs. those that are running low on cash and might need to raise soon.
The below figures are taken straight from the balance sheets of companies in the NASDAQ Biotechnology Index that have already reported earnings. It is the standard addition of unrestricted cash and marketable securities as of 12/31/2015. Please note that this does not include any new cash raised in 2016 so there are a few companies that have already improved on this. The idea is to see which ones started 2016 best prepared.
Starting Cash on Hand in 2016
Who Am I?
I'm an individual investor from Kansas City. My focus is on biotech stocks, but I enjoy investing in all industries. I'm an old-school, buy and hold investor who believes the best way to outperform and grow capital is to own innovative companies with good management teams over the long-term. more>>