Peregrine’s products could have a number of applications, if they work.
Peregrine Pharmaceuticals (NASDAQ: PPHM, Bullboard) has become a full-fledged penny stock, trading at 46 cents. The shares have a 52-week high of $1.40.
The company's products are in early stages and are based around a Phase II anti-PS antibody bavituximab for treatment of tumors and hepatitis C virus. The treatments may have a large number of applications, if they work.
For the quarter ending January 31, the company reported a consolidated net loss of $6,154,000, or three cents per share, compared to a consolidated net loss of $5,025,000, or three cents per share, in the year earlier period. Total revenue for the quarter increased to $1,675,000 from $363,000.
As with other early stage bio-med companies, the problems with PPHM is no one knows whether its products can make it through the gauntlet of FDA approvals. The process is long and requires significant capital.
The easy knock on Peregrine is that, with $20 million in the bank, it does not have the cash to make it another year. If it does raise money, the dilution is likely to be terrible.
There may be a home run in here, but it is a very, very long chance.
