ImmunityBio is founded by Dr Patrick Soon-Shiong, who grew up as an ethnically Chinese person under apartheid South Africa- a real 'outsider' mentality Founder., whose success cannot be attributed to luck of birth.
The company is at an inflection point:
1) Using AI to advance new therapies for cancer treatments (enormous total addressable market), whilst also drastically reducing costs. And removing/reducing surgical procedures.
2) Shares were out of favour due to lofty IPO expectations and lobby efforts to protect the enormous profits others are making from the USA healthcare system.
3) Dr Patrick invested almost US$1bn of his own money to sustain the company operations over the last few years. An enormous signal in his confidence.
4) He has successfully exited his other 2 companies including one former cancer drug development company - both sold to big pharma/healthcare.
5) The story seems at an inflection point now, with enormous revenue growth, products licensed in the USA, EU and a recently announced approval for lung cancer drug in Saudi Arabia
6) Saudi Arabia will likely also invest heavily, maybe at the subsidiary not listed parent company level, as they seek to establish a biotech hub domestically. This cannot be ignored.
7) The stock was perhaps also shorted due to prior approval issues in the USA, these will be forced to cover now and perhaps RFK Jr will help oversee reform in the FDA approval process.
When the market realises there is a proven founder, who has demonstrated his confidence in the business with huge real money investment in the company, that sits at the nexus of AI and revolutionary cancer drug development, it can be a multi bagger.
This is a company using AI in one of the highest value sectors in the world - a paradigm shift will occur if the market reappriases its perspective on the company.
His interview with Tucker Carlson is a must to learn more.
https://youtu.be/mgZaT-OriO8?si=B39P_kEfiKqcWcK6
Comments