Maxcyte Share Discussion Threads

[2theduke] 09/9/2022 11:49

Spot on. I think the market is getting excited by the manufacturing investments at the SPL's. The other thing to remember is the large fund buy in at £7 last year, there is probably some pressure to get back there for "non mxct trading" reasons.

[nanopayments] 09/9/2022 08:41

"I see a 70p market cap increase for each new slp" On slide 13 of MaxCyte's powerpoint presentation, they have a weighted average NPV of $85m per SPL, so about $0.84 per share. There are 17 SPLs currently, and management have indicated that there are potentially 50 in total. 17 SPLs cover more than 95 programmes, so the big question is how many fail in the clinic or before reaching the clinic, and how many reach commercialisation. On the same slide MaxCyte assumes 33% fail in preclinical and of the 67% that enter the clinic, 17% reach commercial. This is what will really move the needle on the stock price, because revenue post commercial will dwarf the milestones paid during the clinical stage. The weighted average NPV per SPL pre-commercial is "only" $16m. This compares to $69m post-commercial, or nearly 4 times as much.

[trident5] 08/9/2022 23:15

The only cash it's been generating is from big share issues.

[2theduke] 08/9/2022 22:36

As valuations go it's pretty easy to give it a go at Mxct , they publish exactly how much they expect to make from spl's based on a range of assumptions of trial completions. For me and my modelling, I see a 70p market cap increase for each new slp signed , the big moves is if / when spls deliver trial 3 results however. There aren't any trial 3's due until next year but the spls are building massive factories already for production. For me Mxct is expensive at £7 currently but good value up to £12 once spls start delivering . Add 70p for each new slp like LG, go big and watch the slp partners closely. Eg intellia video cast due soon. All imo etc , in the interim this is a cash creating business with the biggest risk being alternative better tech. Double edged sword if they acquire a different tech stream as it uses cash but reduces wider risk .

[davemac3] 07/9/2022 16:45

definitely biotech

[edwardt] 07/9/2022 15:34

i would have it as a medtech company if i was to classify it.

[edwardt] 07/9/2022 15:34

tbh i don't care if you are right or wrong - the share price is going up so that is all good imo!

[trident5] 06/9/2022 22:56

It's Linkedin profile states it's in Biotechnology Research. classed on the LSE as Biotech too
Up 16% tonight across the pond.

[edwardt] 06/9/2022 16:53

well - it isn't a biotech company for a start but i take your point!

[trident5] 06/9/2022 16:33

It's Excel BS though really.
How many assumptions do you feed into a loss making cutting edge biotech to get a valuation of just so marginally shy of £1 billion?

[edwardt] 06/9/2022 15:48

It is paid for

[trident5] 06/9/2022 13:13

Is that paid for research, arriving at a valuation based on future revenues plus existing cash?

[pob69] 06/9/2022 12:36

Updated broker note

"....In our view MaxCyte is a unique and diversified play on the whole cell engineering field, providing broad exposure across cell types, technologies, indications, and approaches. Our valuation is £980m / $1.27bn (964p or $12.53 per share)."

[edwardt] 19/8/2022 11:50

great article in ft on the crispr biotech stocks.

[multibagger] 15/8/2022 13:01

Aah okay - I didn't get in early enough for EIS but can see the potential here :)

Good luck davep4 and all :)

[davep4] 15/8/2022 11:18

I would just put it down to EIS multibagger!

[multibagger] 15/8/2022 09:35

Good to see you here too davep4...I would like to think...great minds !!!

[davep4] 15/8/2022 09:23

Trident5 - let’s hope they don’t go and buy a golf club! LoL

[trident5] 14/8/2022 18:12

Quindell didn't as just one example.

[nanopayments] 14/8/2022 16:19

"What Is Deferred Revenue?

Deferred revenue, also known as unearned revenue, refers to advance payments a company receives for products or services that are to be delivered or performed in the future. The company that receives the prepayment records the amount as deferred revenue, a liability, on its balance sheet."
www.investopedia.com/terms/d/deferredrevenue.asp

[trident5] 14/8/2022 15:58

Deferred revenue is not always recorded as a liability on balance sheets - always pays to thoroughly check the revenue recognition policy and the level of trade debt to annual revenue.

[nanopayments] 14/8/2022 12:05

Deferred revenue is always recorded as a liability on the balance sheet. It represents payments for goods or services that MaxCyte hasn't delivered yet. Once that happens the item will be recorded as revenue on the income statement. Nothing to see here.

[nanopayments] 14/8/2022 10:23

Core revenue grew 37% in 2021 vs 2020. Hopefully they will beat current guidance and we won't see a slowdown in growth this year. This isn't the kind of industry that will get hit by a drop in consumer spending as there is minimal economic cyclicality. On the other hand, I've been worried that the sharp drop in the stocks of cell and gene therapy companies in H1 would cause a drying up of capital and might lead companies in the clinic to postpone or stop some of their programmes. This doesn't appear to be the case judging by the comments made by DD in the Q&A part of the call.

[nanopayments] 14/8/2022 10:09

They guided for 30% core revenue growth for this year. I agree with Adam that this is still conservative and that they should beat. 30% core revenue growth equates to $40.69m. For H1 2022, they did $19.19m, so 30% growth would mean almost no sequential growth on Q1 and Q2.

MaxCyte pays its employees well and is generous with stock-based compensation. Some of the sharp rise in opex is due to that, but a lot is also because they are hiring new field scientists and building their new manufacturing facilities. No one has better insight into future customer orders and demand than MaxCyte itself, and the fact they are ramping so quickly demonstrates how bullish the company is about the coming years.

I was also encouraged to hear that they are proceeding cautiously to expand into China, which is clearly a huge addressable market.

[davep4] 13/8/2022 08:49

Very interesting, to be a fly on the wall - to know what actually went on (perhaps a fling with the boss)! I don’t think She will actually be providing any consultancy, she is being paid 35k per month for 6 months only and keeps some of her options. Under the agreement, if she squeals/becomes a nuisance, she will lose all of the foregoing with the risk of being sued.

*Under the agreement she is also barred from attending Maxcyte exhibitions/sales events.