Analysts Set Aggressive Price Target for pSivida Corp. (NASDAQ:PSDV)

pSivida Corp. (NASDAQ:PSDV)

pSivida Corp. (NASDAQ:PSDV) is a biotechnology firm serving the U.S. and U.K. markets. In today’s trading PSDV shares gained 4.65% to close at $1.80. Volumes were much heavier than normal. The average daily volume figure listed is 133,800. However today volumes were in excess of one million shares and ended up over eight times the average volume.

pSivida Corp. (NASDAQ:PSDV) develops products for the treatment of chronic eye diseases. pSivida markets two technologies. The first is Durasert which is currently licensed to Pfizer and Alimera. Durasert is a miniaturized, injectable, sustained release drug delivery system designed to advance treatments in ophthalmology. Tethadur is a technology that relies on nano structuring to accomplish optimal drug delivery. Tethadur has the potential to provide long-term anti-body delivery while achieving a high drug dose-load capacity and efficiency.

Watertown, MA-based pSivida Corp. (NASDAQ:PSDV) has three FDA approved products – Vitrasert, Retisert, and Iluvien. The first two have been licensed to Bausch & Lomb, while Iluvien has been licensed to Alimera Sciences.

Since October, pSivida Corp. (NASDAQ:PSDV) has struggled to break above $2 and current price levels have not been seen since 2013. One factor is the continued yearly dilution of PSDV shares. In 2012, PSDV had 20.79 million shares outstanding and that number increased each year. In 2016 there were 31.62 million shares. EPS has fared little better. The lone EPS profit was in 2015 and it was posted at $0.22. For 2016, PSDV posted an EPS loss of-$0.68. Lastly, sales have been lackluster and in 2016 pSivida Corp. (NASDAQ:PSDV) posted their worst sales figure of the last five years – just $1.6 million.

Still, pSivida Corp. (NASDAQ:PSDV) enjoys the confidence of analysts. Three firms follow the company and all three rate PSDV shares as a “Strong Buy” with a consensus $10 price target.

3/28/2017
Ticker Symbol PSDV
Last Price a/o 4:00 PM EST  $                      1.82
Average Volume                    133,660
Market Cap (mlns)  $                    61.52
Sales (mlns) $6.90
Shares Outstanding (mlns) 34.18
Share Float (mlns) 31.75
Shortable Yes
Optionable Yes
Inside Ownership 16.10%
Short Float 0.77%
Short Interest Ratio 1.82
Quarterly Return -8.63%
YTD Return 5.26%
Year Return -34.78%

I have no positions in any stocks mentioned, and no plans to initiate any positions within the next 96 hours. All information, or data, is provided with no guarantees of accuracy.

About the author: Marc has a degree in economics and a MSc. in Finance. Over his 20-year career, Marc has worked for global investment firms in Europe and the United States as an analyst, fund manager, and consultant.

Author: Marcus Anderson

Marc has a degree in economics and a MSc. in Finance. Marc worked for global investment firms in Europe and the United States as an analyst, fund manager, and consultant.

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