Foundation Medicine Inc. (NASDAQ:FMI)

Discussion in 'Men's Economics' started by Michael Scally MD, May 15, 2014.

  1. Michael Scally MD

    Michael Scally MD Doctor of Medicine

    Foundation Medicine Inc. (NASDAQ:FMI)
    Foundation Medicine
    https://www.google.com/finance?q=NASDAQ:FMI
    https://finance.yahoo.com/q?s=FMI


    Cancer diagnostics company Foundation Medicine files for a $86 million IPO
    7/29/13

    Foundation Medicine, which develops diagnostic systems that assess genomic alterations in cancer cells and match patients with targeted therapies, filed on Monday with the SEC to raise up to $86 million in an initial public offering. The Cambridge, MA-based company, which was founded in 2009 and booked $15 million in sales for the 12 months ended March 31, 2013, plans to list on the NASDAQ under the symbol FMI. Foundation Medicine initially filed confidentially on June 24, 2013. Goldman Sachs, J.P. Morgan, Leerink Swann and Sanford Bernstein are the joint bookrunners on the deal. No pricing terms were disclosed.

    http://www.renaissancecapital.com/ipohome/news/Cancer-diagnostics-company-Foundation-Medicine-files-for-a-$86-million-IPO-15373.html


    Foundation Medicine seeks $86.3M IPO amid chase for reimbursement
    UPDATED: Foundation Medicine seeks $86.3M IPO amid chase for reimbursement - FierceBiotech

    S-1... Form S-1


    Report... Foundation Medicine – 2012 Fierce 15
    Foundation Medicine – 2012 Fierce 15 - FierceBiotech


    Celgene-backed Agios and Foundation partner in breakthrough cancer strategy
    Celgene-backed Agios and Foundation partner in breakthrough cancer strategy - FierceBiotech

    July 29, 2013 | By Ryan McBride

    Foundation Medicine has bought a ticket to ride the IPO train. The Cambridge, MA-based company, which provides genomic tests for cancer patients and drug researchers, has proposed an $86.3 million initial public offering. There have been nearly 30 maiden public offerings in biotech, and the company follows several cancer-focused startups that have completed successful deals.

    Foundation operates on the cutting edge of personalized cancer treatment, but sometimes being way ahead of the curve comes with costs. As the company's filing on Monday states, the company has not yet begun to seek reimbursement for its clinical FoundationOne tests for cancer patients on Medicare. And the company indicated some uncertainties about gaining reimbursement for the test in the SEC filing for the public debut.

    In fact, the venture-backed company has made most of its money from a growing list of drug developers that use its testing services to advance targeted treatments against tumors. There are 18 biopharma companies on Foundation's list of research partners, including industry giants such as Johnson & Johnson ($JNJ), Novartis ($NVS) and Sanofi ($SNY). In 2012 the company scored $8 million of its $10.6 million in revenue from biotech and pharma groups, compared with $2.6 million from FoundationOne sales.

    The company, a 2012 Fierce 15 winner, is growing rapidly this year. It pulled in revenue of $5.2 million and a net loss of $7.3 million in the first quarter of 2013 compared with revenue of $612,000 and a $5.4 million net loss in the same three-month period a year earlier. The surge in revenue follows the June 2012 launch of FoundationOne, a next-generation sequencing test that assesses 236 cancer-related genes in cancer patients, helping to match them with appropriate treatments.

    More than 1,500 doctors have ordered the test since its market debut, the company said. And Foundation boasts a lineup of big-named investors such as Microsoft ($MSFT) Chairman Bill Gates, Google Ventures, Kleiner Perkins Caufield & Byers and founding backer Third Rock Ventures. Foundation, formed in 2009, could be the third company from Third Rock to pull off an IPO this year after the Boston-based venture firm's portfolio companies bluebird bio ($BLUE) and Agios Pharmaceuticals ($AGIO) both went public within the last several weeks. (Agios CEO David Schenkein is also on the board of Foundation, which lists Agios among its biopharma partners.)

    If Foundation can overcome reimbursement hurdles, the company could become a major player in the global diagnostics market. Yet the SEC filing indicates that so far the company owes most of its commercial success to biopharma companies.
     
  2. Michael Scally MD

    Michael Scally MD Doctor of Medicine

  3. Voltrader

    Voltrader Member

    Are you front running Doc[:eek:)] seriously this is a pick up nice nice pick up here. Short interest peaked in march At just above 3 mil now coming back down to around 2.1 mill as 4/30 and I am guessing with the recent sell off it is now lower. It has to be close to a cover and any sort of rally we will see a quick cover in here and a nice bounce to roll with it. ASCO could be the excuse to cover????? Thanks for the show doc wasn't on my radar.
     
  4. Voltrader

    Voltrader Member

    21.20 today Doc....I think I am going to ride this out to 27-28 bucks. I looked at some calls.... to wide and thin in there option market for me.
     
    Michael Scally MD likes this.
  5. Voltrader

    Voltrader Member

    22.25 Doc you ever in around that big city by the lake I owe you lunch. Gibsons Chicago Cut one of the best steaks out there.
     
    Michael Scally MD likes this.
  6. Michael Scally MD

    Michael Scally MD Doctor of Medicine

    Voltrader likes this.
  7. Voltrader

    Voltrader Member

    Closed out half my position yesterday. I can't help it I am a trader/manager and the trader part of me negotiated with the manager part and I sold half.
     
  8. Michael Scally MD

    Michael Scally MD Doctor of Medicine

  9. Bigbillybear

    Bigbillybear Member

    Option trading is my hobby and has been since the old Wade B Cook days... Made a lot and lost a lot (thanks to the Brazilian currency floating that year and the last week of my options expirations)... Loved the days Amazon could do 100 dollar day swings lol and how you could trade AOL every time it did a stock split and you could bank on it... oh man wish I had a lot of investment cash then as I would have retired that year lmao... Kinda hard to trade when your in the military though lmao...

    FMI trading at the 24 dollar range all day, very nice... But being an option man I cant make any money here right now but those that have the money to trade the stock you could do nice watching this stock... Now I just speculate and do paper trades since Im back home just to get my knack back... I did paper trade 1500.00 to 15k in 3 months though and now I could kick myself for not pulling the trigger lol....

    VolTrader,

    I would like to hear more from you... I do like your style... Remember I don't have the cash to trade many of the stocks but I will be trading options most definitely so please keep us (being selfish, at least keep me up lol) on what I need to be looking at when you here (edit not here but hear lol) it....

    BBB
     
    Last edited: Jun 17, 2014
  10. Bigbillybear

    Bigbillybear Member

    Also wanted to thank you Michael for the information and make sure you too keep us informed on great news like this... Just wished I could have invested like Voltrader did I was so excited about this one and still am just wish the options had a bit more interests...

    Oh and again Voltrader I am by no means even remotely comparable to your knowledge so Im sure others and myself would love to keep hearing from you!!!!

    BBB
     
  11. Voltrader

    Voltrader Member

    Ha I have just been around for a while BBB. FMI options market you can dive a truck through so no it is not a good option candidate because of the illiquid nature. I play options all the time but I stick to QQQ and the SPY for that. Been on vacay so I will be back in the groove mañana.
    Yes the good Dr. has in incredible resources and tools for research in the Biotech arena all public info he just has ways to filter. So believe or not I always keep up with his posts in here sometimes he awakens me to a gem. As always thanks Doc.
     
  12. Michael Scally MD

    Michael Scally MD Doctor of Medicine

  13. Voltrader

    Voltrader Member

    Still holding half my position here....sure feels like it has hit a wall
     
  14. Michael Scally MD

    Michael Scally MD Doctor of Medicine

     
    Voltrader likes this.
  15. Voltrader

    Voltrader Member

    HAHAHA......this chorus probably crosses through my head once a day. Very nice call Doc. All one needs to know lays in a Kenny Rogers song.
     
    Michael Scally MD likes this.
  16. Michael Scally MD

    Michael Scally MD Doctor of Medicine

    I have not been following BioTech of recent. I am quite amazed at some valuations.
     
  17. Voltrader

    Voltrader Member

    It is much like Q1-Q2 2013 they have been on fire. They are back up to bat in the the great stock rotation rally of the past 2-3 years.
     
  18. Michael Scally MD

    Michael Scally MD Doctor of Medicine

  19. Michael Scally MD

    Michael Scally MD Doctor of Medicine

    F.D.A. Moves to Regulate Lab-Developed Tests
    http://www.nytimes.com/2014/08/01/business/fda-to-regulate-lab-developed-test-kits.html


    Today, the U.S. Food and Drug Administration took important steps to ensure that certain tests used by health care professionals to help diagnose and treat patients provide accurate, consistent and reliable results.

    First, the FDA is issuing a final guidance on the development, review and approval or clearance of companion diagnostics, which are tests used to identify patients who will benefit from or be harmed by treatment with a certain drug. Companion diagnostic tests are intended to aid physicians in selecting appropriate therapies for individual patients. These tests are commonly used to detect certain types of gene-based cancers.

    Second, consistent with the requirements of the Food and Drug Administration Safety and Innovation Act of 2012 (FDASIA), the agency is notifying Congress of its intention to publish a proposed risk-based oversight framework for laboratory developed tests (LDTs), which are designed, manufactured and used within a single laboratory. They include some genetic tests and tests that are used by health care professionals to guide medical treatment for their patients.


     
  20. Michael Scally MD

    Michael Scally MD Doctor of Medicine

    IMO, BUY!