Andreas Halvorsen Invests in Axovant Sciences
- By Kyle Ferguson
Andreas Halvorsen (Trades, Portfolio), a Norwegian guru and the co-founder of Viking Global Investors LP, purchased 75 million shares of Axovant Sciences (AXON) on July 8.
Warning! GuruFocus has detected 1 Warning Sign with AXON. Click here to check it out.
The intrinsic value of AXON
Axovant Sciences is a clinical-stage biopharmaceutical company dedicated to addressing the cognitive, behavioral and functional components of dementia as well as Alzheimer's disease.
Axovant Sciences has a market cap of $1.21 billion, an enterprise value of $936.36 million, a P/B ratio of 4.54 and a quick ratio of 17.90.
According to GuruFocus, Axovant Sciences has a 4/10 financial strength rating with no debt. Legendary investor Peter Lynch, who gained an estimated 29.2% return while managing the Magellan Fund at Fidelity Investments between 1977 and 1990, recommends purchasing securities with little or no debt.
According to the Axovant Sciences company website, in October 2015 Axovant exercised its option to acquire global rights to Nelotanserin and Intepirdine (RVT-101) from their parent company, Roivant Sciences Ltd.
That could be why Halvorsen purchased a stake in the company.
Intepirdine (RVT-101) is a clinical drug designed to treat dementia with Lewy bodies (DLB) as well as mild to moderate Alzheimer's disease.
Nelotanserin is also a clinical drug. It is used to treat hallucinations in Lewy body dementia as well as REM behavior disorder (RBD) in DLB.
Cheers to your investment success.
Disclosure: Author does not own any shares of this company.
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This article first appeared on GuruFocus.
Warning! GuruFocus has detected 1 Warning Sign with AXON. Click here to check it out.
The intrinsic value of AXON
