Investors should worry about companies with no revenue even under the best of circumstances. Guys, theres no revenue here! Learn More. Covaxin doesn't have an advantage in terms of dosing compared to these leading vaccines. But the allure of the space is that when a company wins, its shareholders win big. The S&P 500 has rallied 52.9% from the March low to its highs on August 6. Do Not Sell My Personal Information (CA Residents Only). Youre reading a free article with opinions that may differ from The Motley Fools Premium Investing Services. Accordingly, the analyst rates OCGN a Neutral (i.e. The company's name was taken from Shakespeare, whose wise fools both instructed and amused, and could speak the truth to the king -- without getting their heads lopped off. Keith Speights has no position in any of the stocks mentioned. Emergency Use . Shares of Ocugen (OCGN 4.03%) were crashing 19.2% lower as of 11:23 a.m. market." According to the prospectus, the combined company posted an operating loss of roughly $30 million in 2018. If they invent a miracle treatment for a condition, the money will find its way to the stock. The vaccine reportedly has a 78% efficacy rate against COVID-19, significantly lower than leading vaccines granted FDA emergency authorization. Ocugen ( NASDAQ: OCGN) has been one of the more polarizing story stocks of 2021. Nor should one look forward to OCGN stock to becoming the next GW Pharmaceuticals (NASDAQ:GWPH) or Cara Therapeutics (NASDAQ:CARA). Founded in 1993 by brothers Tom and David Gardner, The Motley Fool helps millions of people attain financial freedom through our website, podcasts, books, newspaper column, radio show, and premium investing services. Copyright 2023 InvestorPlace Media, LLC. You could sell some or all of your Ocugen shares and buy long-term call options on the stock. 2023 InvestorPlace Media, LLC. But the sale of NeoCart appears to not yet have closed after its deadline was extended to allow Medavate to secure financing. However, due to the fact the details of the definitive agreement have yet to be finalized, in addition to the current lack of insight into the U.S. regulatory pathway or commercial strategy, Ramakanth stays on the sidelines for now. Thats the thing with these low-priced penny stocks. The Ocugen deal is a way to salvage some limited value. Its all about choice. Related Link: If You Invested $1,000 In Moderna Stock One Year Ago, Here's How Much You'd Have Now. Shares fell 72% on the news, and kept falling after Histogenics decided to suspend development of the product in December 2018. Please check your download folder. The company does not earn revenue, relying on grants, a dwindling cash position, and stock dilution to keep its doors open. 7 Penny Stocks Poised for Explosive Growth in 2023, Ocugen Stock Is Not for the Faint of Heart. Healthy companies do not undergo 1-for-60 reverse stock splits like this one did in September 2019. Until July 20, when OCGN stock jumped about 20%, shares were down 21% from the March low. Companies will inevitably be optimistic about their prospects for success (at least publicly). Realistically, Ocugen is probably looking at potential approval of Covaxin in mid-2023 at the earliest. Matthew McCall left Wall Street toactually helpinvestors by getting them into the worlds biggest, most revolutionary trends BEFORE anyone else. The simplest thing to do is to hang onto the stock and hope that it recovers sooner or later (which is a possibility). Ocugen Inc. is a clinical stage biopharmaceutical company. The firm's modifier gene therapy platform is engaged in addressing retinal diseases, including retinitis pigmentosa, leber congenital amaurosis, and dry age-related macular degeneration. Ocugen Inc Stock - OCGN Share Price Today, News and Discussion 0.90% SPY 0.59% QQQ 0.60% TSLA 6.12% SI 60.35% CRM 11.51% RIVN 0.32% ARKK 0.96% RLY.X 56.44% PLUG 6.72% V 0.22% CDIO 13.87% RETA 5.92% More Advertisement 3rd Party Ad. How long might it take for Ocugen to win full FDA approval for Covaxin? On its first trading day as OCGN stock, it lost almost 64% of its value and closed that day at $2.85 per share. The broad point here is that, even with a ~$30 million market capitalization (based on updated share count information disclosed in an 8-K filing on Dec. 9), this is a company with a legitimate opportunity. *Stock Advisor returns as of June 7, 2021. Bei der Nutzung unserer Websites und Apps verwenden wir, unsere Websites und Apps fr Sie bereitzustellen, Nutzer zu authentifizieren, Sicherheitsmanahmen anzuwenden und Spam und Missbrauch zu verhindern, und, Ihre Nutzung unserer Websites und Apps zu messen, personalisierte Werbung und Inhalte auf der Grundlage von Interessenprofilen anzuzeigen, die Effektivitt von personalisierten Anzeigen und Inhalten zu messen, sowie, unsere Produkte und Dienstleistungen zu entwickeln und zu verbessern. The company has no revenue, runs an annual deficit, and does not generate positive free cash flow. All rights reserved. Its product pipeline candidates include OCU400, OCU410, OCU200, and COVAXIN. Nasdaq Still, Ocugen investors who bought one year ago and held on have generated a huge return on their investment. 7 Penny Stocks Poised for Explosive Growth in 2023, With No Revenue or Approved Treatments, Ocugen Stock Is a Clear Sell. Hold) without suggesting a price target. Backlinks from other websites are the lifeblood of our site and a primary source of new traffic. But just because a company does not have crippling debt doesnt mean its a buy. The risk-reward proposition for Ocugen is obviously much different now than it was when individuals were buying the stock over the last several months. As of this writing, Matt did not hold a position in any of theaforementioned securities. Type a symbol or company name. Nasdaq After all, the newsletter they have run for over a decade, Motley Fool Stock Advisor, has tripled the market.*. Shares fell 72% on the news, and kept falling after Histogenics decided to suspend development of the product in December 2018. On June 10, though, Ocugen announced that the U.S. Food and Drug Administration (FDA) had effectively shut the door on an EUA filing. 1125 N. Charles St, Baltimore, MD 21201. To make the world smarter, happier, and richer. Matt McCall and the InvestorPlace Research Staff, statistics support having long-term exposure, Click here to see what Matt has up his sleeve now, There Are So Many Stocks to Buy Ocugen Isnt One of Them. Copyright All rights reserved. In that list, you can even include penny-stock trader. Ocugen Inc., formerly known as Histogenics Cp, is based in Malvern, Pennsylvania. These symbols will be available throughout the site during your session. Some were undoubtedly anticipating a relatively quick EUA win for Covaxin followed by strong U.S. sales for the COVID-19 vaccine. Theres even room for more lines. Ocugen stated in a press release that it plans to "continue working with the FDA to evaluate the regulatory pathway for the pediatric use of Covaxin." Don't overlook another approach, especially if you're still sitting on a nice gain even after last week's major sell-off. Moreover, Histogenics existed to treat orthopedic conditions, while Ocugen focused on rare eye diseases. Copyright The short answer is: everything. If you already owned Ocugen stock before the company's disappointing news, you have several alternatives. Hence, instead of ruining just two lives, this new Ocugen may be destroying the investment future of all who buy. Ocugen announced in late Decemberit had signed a letter of intent to co-develop COVID-19 vaccine candidate Covaxin along with Indian pharmaceutical company Bharat Biotech. I am all for a good opportunity, but I dont know why some investors insist on penny stocks. Keith Speights has no position in any of the stocks mentioned. However, I wont be around to find out. Ocugen isnt a promotional, fly-by-night penny stock. The FDA told the company in June 2021 that it should instead follow the standard path to full approval of the vaccine in adults. The point is, the risk/reward of owning something like Ocugen is simply not worth it vs. having even basic equity exposure. The statistics support having long-term exposure to this asset class. Pricing likely would be favorable, given the lack of alternative treatments. Investors who have owned stocks in the last year have generally experienced some big gains. At the beginning of 2020, Ocugen shares were trading at just 47 cents. ET by MarketWatch Automation Ocugen Inc. stock falls Tuesday, underperforms market Feb. 21, 2023 at 5:14. The Motley Fool->. The Ocugen 52-week high stock price is 4.03, which is 328.7% above the current share price. Generally, financial analysts struggle with this sector because these equities rise and fall not on revenue or earnings, but the success of clinical trials. Get stock recommendations, portfolio guidance, and more from The Motley Fool's premium services. But it does mean something. Its worth emphasizing: Ocugen stock is a play with enormous risk. If youre not convinced by now, maybe you will consider OCGN stock a poor investment when looking at the fundamentals. Why Everyone Is Investing in 5G All WRONG, Americas #1 Stock Picker Reveals His Next 1,000% Winner, Revolutionary Tech Behind 5G Rollout Is Being Pioneered By This 1 Company, Radical New Battery Could Dismantle Oil Markets. Ocugen In 2021, Beyond: Optimism about Covaxin coupled with massive short squeezes in a handful of popular social media stocks sent Ocugen shares skyrocketing up to as high as $18.77 in February 2021. This requires no immediate effort on your part. Now, with the stock trading near the 40-cent per share level, its prospects have taken a dramatic turn for the worse. It means that raising capital will be more difficult going forward. Under the terms of the agreement, Ocugen is entitled to 45% of the profits from the commercialization of Covaxin in the U.S. and Canada. (See OCGN stock analysis on TipRanks). You'll now be able to see real-time price and activity for your symbols on the My Quotes of Nasdaq.com. Looking ahead, analysts are skeptical Covaxin will provide the upside Ocugen bulls are expecting. The worst news was that another late-stage clinical study will likely be required to support the regulatory filing. A bout of buying in late July sent shares from 20 cents apiece to above 90 cents a share a few days. We have provided a few examples below that you can copy and paste to your site: Your data export is now complete. For now, though, what happens in India stays in India. Add in a $31 million market capitalization and potentially significant cash burn, and Ocugen stock self-evidently is not for risk-averse investors. (To watch Ramakanths track record, click here), In contrast, all 3 other analysts who have recently posted an Ocugen review rate the stock a Buy. MALVERN, Pa., April 28, 2021 (GLOBE NEWSWIRE) -- Ocugen, Inc. (Nasdaq: OCGN), a biopharmaceutical company focused on discovering, developing, and commercializing gene therapies to cure blindness. The FDA typically takes 60 days to accept a regulatory filing then 10 months to make an approval decision. Malvern-based biopharmaceutical company Ocugen completed its previously announced $100 million private stock sale. The odds of Ocugen stock winding up at zero are material. Another alternative is to sell some or all of your Ocugen stock and invest the money elsewhere. What Is the Best EV Stock to Buy Now? Just a few days ago, Ocugen (NASDAQ: OCGN) was flying high with shares up more than 460% year to date. Plus500. Stock Price Forecast The 6 analysts offering 12-month price forecasts for Ocugen Inc have a median target of 4.75, with a high estimate of 8.00 and a low estimate of 3.00. The equity has experienced a continual decline for years. Keith Speights for Like Pfizer's BNT162b2 and Moderna's mRNA-1273, it requires two doses. The stock had gained some traction after they announced the. Lorem ipsum dolor sit amet, consectetur adipiscing elit. Why Ocugen Stock Is Crashing Today By Keith Speights - Mar 4, 2022 at 11:42AM Key Points The FDA gave a thumbs-down to Ocugen's EUA request for the pediatric use of Covaxin. The Motley Fool has no position in any of the stocks mentioned. Type a symbol or company name. Weitere Informationen ber die Verwendung Ihrer personenbezogenen Daten finden Sie in unserer Datenschutzerklrung und unserer Cookie-Richtlinie. Sie knnen Ihre Einstellungen jederzeit ndern, indem Sie auf unseren Websites und Apps auf den Link Datenschutz-Dashboard klicken. CanSinoBio will be able to fund much of the development of OCU300, Ocugens flagship product that targets oGVHD (ocular graft versus host disease), a common complication of bone marrow transplants. With this, the newly formed Ocugen initiated a 60:1 reverse stock split. OCU300 already has received an orphan drug designation from the U.S. Food & Drug Administration for oGVHD; there is no currently approved treatment in the U.S. As with many biotech stocks, the most likely outcome is for the company to fail, and for shareholders to wind up with zero. With $3.2 million in cash vs. current liabilities of $3.3 million, Ocugen likely has enough cash on hand to cover its short-term obligations. Not an offer or recommendation by Stocktwits. And a partnership with Chinas CanSino Biologics (OTCMKTS:CASBF) should help the company develop its pipeline. 5 Hypergrowth Stocks With 10X Potential in 2023, Robert Bollinger: Meet the Man Behind Mullens Push Into Commercial EVs, A.I. Financial Market Data powered by FinancialContent Services, Inc. All rights reserved. The Ocugen 52-week low stock price is 0.93, which is 1.1% below the current share price. Over the next few weeks, Ocugen is expected to meet with the FDA to discuss how to advance COVAXINs development. Today, the stock has a $1.6 billion market cap despite just $42,620 in 2020 revenue. The potential synergies of such a union do not seem clear. A bout of buying in late July sent shares from 20 cents apiece to above 90 cents a share a few days later. Can you feel the ground moving beneath your feet? However, even from this limited vantage point, OCGN appears destined to fail. Maybe. Ocugen does have at least 180 days to cure that problem, but the simplest answer is for the company to execute a reverse stock split. The company's name was taken from Shakespeare, whose wise fools both instructed and amused, and could speak the truth to the king -- without getting their heads lopped off. Theres an opportunity here. Click here to see what Matt has up his sleeve now. The second is that the balance sheet still needs some help. Maybe OCGN stock will be one of them again. The sale of NeoCart, which still is pending, can bring in another $8 million, based on the current agreement. That said, for investors who understand the potential downside, there is an intriguing story here. Shares of Ocugen (NASDAQ: OCGN) were skyrocketing 64.2% higher as of 11:35 a.m. EST on Monday. That's right -- they think these 10 stocks are even better buys. The agreement stipulates Ocugen will hold the vaccines U.S. rights, and the remaining details are expected to be finalized over the coming weeks. UPDATE 1-Soccer-Traore on target as Wolves stun wasteful Spurs, Peruvian communities to resume blockade of crucial "mining corridor", One student loan forgiveness effort 'hasnt gotten the attention it deserves': expert, RPT-Death toll in strike on Ukraine's Zaporizhzhia rises to 11 - officials, Soccer-Traore on target as Wolves stun wasteful Spurs. Ocugen abandoned its pursuit of a U.S. EUA for Covaxin in immunizing adults last year. All rights reserved. Still, Ocugen investors who bought one year ago and held on have generated a huge return on their. Indeed, the price broke below the 24 December 2018 low at 4.81 and is currently attempting a return move. Do not expect this to become the biotech who made good like Biogen (NASDAQ:BIIB). However, the marriage of Histogenics and Ocugen looks destined to end in a suicide pact instead of a mere divorce. Create your Watchlist to save your favorite quotes on Nasdaq.com. These options will be cheaper than owning the stock itself. Today, the stock has a $1.6 billion market cap despite just $42,620 in 2020 revenue. Article printed from InvestorPlace Media, https://investorplace.com/2019/12/no-pathway-forward-for-ocugen-stock/. By the beginning of March, the stock was still trading at 45 cents as news of the coronavirus spreading in China prompted concerns about a U.S. pandemic. The stock dropped as low as 26 cents during the height of the pandemic fears in March 2020. Biotechnology stocks like Ocugen (NASDAQ:OCGN) are among the markets riskiest plays. Shares of Ocugen ( OCGN -3.10%) fell on Tuesday after an analyst sounded a note of caution to investors. The average price target among the five analysts covering the stock is $6, suggesting 27.9% downside from current levels. When the symbol you want to add appears, add it to My Quotes by selecting it and pressing Enter/Return. The company initiated its Phase 3 trial of OCU300 back in July 2018. When the symbol you want to add appears, add it to My Quotes by selecting it and pressing Enter/Return. We have provided a few examples below that you can copy and paste to your site: Your image export is now complete. Without NeoCart, that burn likely comes down. In 2018, its NeoCart biologic failed to meet the primary endpoint of its own Phase III trial. The huge gain came after the company's partner, Bharat Biotech, received emergency use authorization. Investors should definitely reevaluate Ocugen's prospects in light of the company's bad news announced last week. That doesnt mean success is guaranteed. The chances of anything more are small but the rewards could be huge. Custom BMW. The company has a gene therapy platform as well as two preclinical compounds that aim to treat retinal diseases. Copy and paste multiple symbols separated by spaces. See disclosure here. The company was founded by Shankar Musunuri and Uday B. Kompella in 2013 and is headquartered in Malvern, PA. All rights reserved. One thing seems certain, however:Ocugens fate as an investment is closely tied to the ultimate outcome of Covaxin. Reaching millions of people each month through its website, books, newspaper column, radio show, television appearances, and subscription newsletter services, The Motley Fool champions shareholder values and advocates tirelessly for the individual investor. These symbols will be available throughout the site during your session. Type a symbol or company name. The reverse merger that brought Ocugen to the public markets led to huge losses but some investors are buying the dip. From a broader perspective, the risk is the same as it is across biotech: most candidates fail. Klicken Sie auf Alle ablehnen, wenn Sie nicht mchten, dass wir und unsere Partner Cookies und personenbezogene Daten fr diese zustzlichen Zwecke verwenden. Written by You canfollow Will on Twitterat @HealyWriting. The average Ocugen stock price for the last 52 weeks is 2.10. It means that institutional investors focused on the sector largely have passed on the pipeline. Just a few days ago, Ocugen (NASDAQ: OCGN) was flying high with shares up more than 460% year to date. Considering Bharats reputation for world-class R&D and manufacturing capabilities in vaccines and bio-therapeutics, H.C. Wainwright analyst Swayampakula Ramakanth thinks the company is a suitable partner.. It peaked at a split-adjusted level of around $778 per share soon after its initial public offering in 2014. The $25 million private placement executed before the merger brought in much-needed cash. But realizing value in practice usually is a difficult endeavor. Ocugen. Ocugen Inc First Quarter 2022 Financial Results and Recent Business Highlights 04/21/2022 Noble Capital Markets' Eighteenth Annual Investor Conference 03/14/2022 34th Annual ROTH Conference 02/25/2022 Ocugen, Inc. Q4 and Full Year 2021 Financial Results and Recent Business Highlights 01/10/2022 H.C. Wainwright Bioconnect Conference 12/22/2021 With no effective treatments, and without a clear reason to exist, I would avoid buying Ocugen stock even as a speculative play. It's easy to become such a huge fan of a stock that you lose objectivity about its prospects. It is very important to do your own analysis before making any investment. The company's product pipeline consists of OCU400, OCU300, OCU100 and OCU200 which are in clinical stage. Our 3 Top Picks. The combined company has an agreement to sell the rights to NeoCart to privately held Medavate, leaving it reliant on Ocugens pipeline. So far, that merger hasnt worked out for Histogenics former shareholders. In the late summer of 2018, the stock crashed below $1 per share as investors sold off following a failed phase three trial. Start trading Options with Saxo today. The market capitalization of Relmada Therapeutics (NASDAQ:RLMD) went from under $10 million at the end of 2017 to over $500 million at the moment. The Motley Fool->. *Average returns of all recommendations since inception. In fact, the SPDR S&P 500 (NYSE:SPY) total return over the last 12 months is 34.2%. Type a symbol or company name. Honestly, OCGN stock is unlikely to survive. For most of its history, what we now know as Ocugen stock was Histogenics, a cell therapy company focused on orthopedics. Emergency Use Authorization (EUA) for Covaxin, the COVID-19 vaccine developed by Ocugen's partner, Bharat Biotech. Nano-cap biotech play Ocugen has an intriguing story and a ton of risk. Create your Watchlist to save your favorite quotes on Nasdaq.com. Histogenics shareholders then received about 14% of the company, according to the merger prospectus. For priority reviews, the timeline for an approval decision is reduced to six months. In other words, it means that even by biotech standards OCGN stock is an enormously risky play. Until July 20, when OCGN stock jumped about 20%, shares were down 21% from the March low. However, the Strong Buy consensus rating is backed with a $0.9 price target, which implies downside of 68% from current levels. Buy These 2 Stocks in 2023 and Hold for the Next Decade, 2 Stocks That Are About to Make Their Shareholders Richer, Join Over Half a Million Premium Members And Get More In-Depth Stock Guidance and Research, Motley Fool Issues Rare All In Buy Alert, the company's fourth-quarter conference call last month, Copyright, Trademark and Patent Information. That product drives the current bull case for Ocugen stock. Instead of buying a piece of the S&P 500 or Nasdaq or even better, a common sense mega-holding like Apple (NASDAQ:AAPL) or Amazon investors in OCGN stock took on a high-risk investment and for months saw negative returns. Conditions only seem to get worse for Ocugen (NASDAQ:OCGN). In December, Ocugen stated that it had put together an advisory board of "leading academic and industry experts to evaluate the clinical and regulatory path to approval in the U.S. Ocugen, Inc. is a biopharmaceutical company, which engages in the development and commercialization of therapies to cure eye diseases. That's right -- they think these 10 stocks are even better buys. However, when that occurred, Ocugen stock lost most of its value. 10 stocks we like better than Ocugen, Inc.When investing geniuses David and Tom Gardner have a stock tip, it can pay to listen. The median estimate. Unfortunately, both the merger and the reverse split have failed to stem the decline of former Histogenics stock. Historical daily share price chart and data for Ocugen since 2023 adjusted for splits. It is focused on discovering, developing and commercializing therapies which address rare and underserved eye diseases. Even though Ocugen did raise $25 million in a private placement, the story behind OCU300 clearly was not enough to support an initial public offering on its own. It took Moderna roughly 10 months from the initiation of the late-stage study for its COVID-19 vaccine to the point where the company filed for full FDA approval. The generic form of brimonidine, the active ingredient, is not approved for the condition, according to Ocugens most recent presentation. Written by Copyright 2023 InvestorPlace Media, LLC. Investing is always a game of balancing risk and reward. But any success they find will be without me as a shareholder. Unfortunately for investors, the U.S. FDA did not grant Covaxin an Emergency Use Authorization and instead recommended in June that Ocugen opt for a Biologic License Application that will likely require additional Phase 3 testing. However, sometimes the optimism isn't justified. As of this writing, Will Healy did not hold a position in any of the aforementioned stocks. Making the world smarter, happier, and richer. The stock ultimately hit its 2020 low on June 1 at a price of just 17 cents. The CanSinoBio partnership does help, but Ocugen still has a long way to go with OCU300. *Stock Advisor returns as of November 20, 2020. As of 1:37 p.m. EST, the biopharmaceutical company's stock price was down more than 15%.. It has real products. Outsmart the market with Smart Portfolio analytical tools powered by TipRanks. Cost basis and return based on previous market day close. Those lessons will vary between different investors, but I'll point out a major one to keep in mind. If it goes down, your loss won't be as great as it would be if you held onto all of your shares. To be sure, current cash isnt enough. The Motley Fool has a disclosure policy. Thats one of the best rallies weve seen in that amount of time (95 trading sessions, 136 days). It's hard to say for sure. Conditions have only become worse since that time. The Ocugen deal is a way to salvage some limited value. An unprofitable biotech that focused on commercializing therapies to cure blindness prior to the present pandemic, Ocugen ( OCGN) stock took on a new life on December 22, when it announced. Theres even room for more lines. Even before that point, the most promising candidates generally can find funding. Shares declined 85% in three sessions around the closing of the merger, which also included a 1-for-60 reverse stock split. Sign up below to get this incredible offer! The first is that Ocugen is facing potential delisting from the NASDAQ given that its share price still sits well below $1. Long-term debt of $1.6 million is not a back-breaker either. 86% of retail CFD accounts lose money, Benzinga's Top Ratings Upgrades, Downgrades For March 1, 2023, Ocugen upgraded at Chardan citing attractive entry point ahead of catalysts, Analysts Are Bullish on These Healthcare Stocks: Theratechnologies (THTX), Ocugen (OCGN), Ocugen (OCGN) Gets a Buy from H.C. Wainwright, Mizuho Securities Sticks to Their Buy Rating for Ocugen (OCGN), Ocugen (OCGN) Q4 2022 Earnings Call Transcript, Why Catalyst Biosciences Shares Are Trading Higher By 105%; Here Are 20 Stocks Moving Premarket, Registration on or use of this site constitutes acceptance of our.

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