Xoma Corp Del Com (NASDAQ:XOMA)

CAPS Rating: 1 out of 5

A biopharmaceutical company that discovers, develops and manufactures antibodies and other genetically-engineered protein products to treat immunological and inflammatory disorders, cancer and infectious diseases.

XOMA News and Commentary

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All Players

324 Outperform
58 Underperform
 

All-Star Players

25 Outperform
28 Underperform
 

Wall Street

10 Outperform
1 Underperform
 

Top XOMA Bull/Bear Pitches

The best Bull and Bear pitches based on recency and number of recommendations.

TMFBiologyFool (88.28)
Submitted March 07, 2014

Knockdown after EOA data looks like a decent entry point.

LazyHarlequin (68.64)
Submitted August 08, 2018

On 8/8/18 down $5.22 to $19.23. No options available.

XOMA VS S&P 500 (SPY)

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Recent Community Commentary

Read the most recent pitches from players about XOMA.

Recs

1
Member Avatar LazyHarlequin (68.64) Submitted: 8/8/2018 1:14:39 PM : Underperform Start Price: $19.81 XOMA Score: +11.61

On 8/8/18 down $5.22 to $19.23. No options available.

Recs

0
Member Avatar rhallbick (95.94) Submitted: 3/24/2018 12:34:04 PM : Underperform Start Price: $27.11 XOMA Score: +40.48

XOMA Corp. is one of the nation's oldest biotech companies, founded in 1981 by Dr. Patrick J. Scannon. The company focused on the discovery and development of therapeutic monoclonal antibodies. XOMA became notorious for never bringing any drug to market all by itself, leading Andy Pollack of the New York Times to famously describe XOMA as a "biotech zombie" in 2007. XOMA did occasionally license one of its antibody candidates to a larger pharma company for further development. But the lack of any big commercial hit for themselves eventually dragged the company down. XOMA, which a decade ago employed more than 300 people in labs and offices in Berkeley, today only exists as a 12-14 person office in Emeryville, CA. It has transformed itself into a financial licensing company, beginning with its own platform technologies and experimental drugs. There are over 20 such programs now in place, which are funded by outside partner companies and will produce milestone payments and perhaps royalty payments in the future. An asset sale in Dec 2016, an equity investment by Biotechnology Value Fund (BVF) in Feb 2017, and a licensing agreement with Novartis in Aug 2017 has allowed them to eliminate 2/3 of their long term debt and bulk up their cash holdings to several years worth of funding.

This restructuring changed the view that investors had of XOMA. Hedge funds, banks and other institutional investors began purchasing shares of the company, and institutional ownership went from 2% to over 44% by the end of the third quarter 2017. By year end though, institutional ownship had fell to 32%. The stock price rose over 700% in 2017, and peaked at the end of the year. So far in 2018, the stock is down 40%, while the S&P is down 4.6%. The company still has not proven that its new strategy will be successful, and except for the quarter containing the Novartis arrangement, remains unprofitable. This is not uncommon; in fact, only one out of seven publicly-traded American biotech companies are profitable. XOMA expects $60 million in milestone income over the next three years, but eventually attaining a royalty stream from approved drugs remains the gamble it has always been.

Feb 13, 2017: BVF Inc. acquires claim on about 6.2 million shares through both common and convertible preferred shares, but is restricted to holding no more than 19.9% of the outstanding common shares at one time.

Mar 14, 2017: Outstanding common shares are 7,544,076

Mar 22, 2017: Temporarily falls under NASDAQ's Global Market minimum listing requirements for total assets and total revenue.

Mar 2, 2018: Outstanding common shares are 8,329,098

Mar 7, 2018: XOMA files a $300 million securities shelf registration for any combination of common stock, preferred stock, debt securities or warrants. This is twice its current enterprise value.

Recs

0
Member Avatar zzlangerhans (99.74) Submitted: 11/24/2017 12:57:58 AM : Underperform Start Price: $27.47 XOMA Score: +45.74

In August Xoma more than doubled after they licensed their albatross lead drug gevokizumab to Novartis for 31M upfront, milestones, and royalties. That was a nice coup considering that gevo had failed multiple indications and was probably being valued at zero. The problem is that the stock has doubled again from there on the back of a lot of hype in Seeking Alpha and elsewhere comparing the company to Ligand before Ligand embarked on 1500% gains a few years back.

Is Xoma the new Ligand? It's rather hard for me to see it considering that gevo wasn't one of a stable of Xoma drugs, but rather their lead drug for years. 31M was a nice cash infusion, even if 5M came in the form of a dilutive equity investment, but I don't think it would be wise to count on Xoma receiving much more from that heavily backloaded deal with Novartis. 31M is a fingernail paring for Novartis, a project for their R&D department to kick around but definitely not a high priority. Meanwhile, it's questionable how much else Xoma has of value. The other recent deals related to phage display libraries have been pretty small potatoes.

I wouldn't dismiss Xoma completely, but I'd want them to prove themselves before buying into all this hype. Once the current injection of helium has dissipated, expect Xoma stock to descend if the company doesn't deliver soon with new deals and profitable quarters.

Leaderboard

Find the members with the highest scoring picks in XOMA.

Score Leader

zzlangerhans

zzlangerhans (99.74) Score: +258.53

Gevokizumab is finally dead ... or is it?

Top
Pick
Member Name Member
Rating
Start
Date
Call Time
Frame
Start
Price
Stock
Gain
Index
Gain
Score Commentary
This player feels very strongly about this pick and has marked it a Top Pick. Top Picks do not affect a player’s score. hayrettin 70.94 2/28/2017 Outperform 5Y $4.82 +261.20% +19.96% +241.24 0 Comment
hateninja < 20 8/27/2010 Underperform 3Y $53.80 -67.64% +168.26% +235.90 1 Comment
blan49 < 20 9/2/2010 Underperform 3W $57.60 -69.77% +161.28% +231.05 0 Comment
jdbenham < 20 8/25/2006 Underperform NS $516.00 -96.63% +133.71% +230.33 0 Comment
tmhuston 57.62 3/13/2008 Underperform 1Y $732.00 -97.62% +128.41% +226.03 0 Comment
fiuser < 20 1/22/2008 Underperform 3M $810.00 -97.85% +126.35% +224.20 0 Comment
stockomatico < 20 10/2/2006 Underperform 1Y $570.00 -96.95% +125.82% +222.77 0 Comment
njwillie1 95.72 9/29/2006 Underperform 3M $546.00 -96.81% +125.56% +222.37 0 Comment
drakitin 98.82 8/15/2008 Underperform 1Y $702.00 -97.52% +124.85% +222.37 0 Comment
BrianRuth 98.61 3/5/2007 Underperform 1Y $918.00 -98.10% +118.60% +216.70 2 Comments

Wall Street

See what the Wall Street professionals think, according to their public statements and filings.

Player Name Player
Rating
Start
Date
Call Time
Frame
Start
Price
Stock
Gain
S&P
Gain
Score End Date Commentary
TrackJimCramer 85.53 6/25/2015 Underperform 3W $81.40 -78.61% +35.38% +113.99 0 Comment
TrackCreditSuiss 88.94 11/13/2012 Outperform NS $55.60 -68.69% +106.53% -175.22 0 Comment
TrackZacks < 20 7/6/2012 Underperform 3M $76.60 -19.58% +3.82% +23.40 8/23/2012 @ $61.60 1 Comment
TrackRothCapital 76.50 6/28/2012 Outperform NS $61.80 -71.83% +114.73% -186.55 0 Comment
TrackCowenandCo 79.69 5/14/2012 Outperform NS $54.20 -67.88% +111.50% -179.37 0 Comment
trackmlvcapital < 20 3/31/2011 Outperform NS $57.80 -69.88% +114.22% -184.10 0 Comment
TrackZacks < 20 1/6/2011 Outperform 3M $135.60 -65.78% +10.24% -76.03 3/20/2012 @ $46.40 1 Comment
TrackWedbush 87.53 1/4/2011 Outperform NS $127.20 -86.31% +125.03% -211.35 0 Comment
TrackPacificGrow < 20 7/29/2008 Outperform NS $582.00 -91.17% +11.32% -102.49 4/17/2012 @ $51.40 0 Comment
TrackSusquehanna 93.65 5/13/2008 Outperform NS $645.00 -97.30% +109.82% -207.12 0 Comment
TrackLadenburg < 20 5/12/2008 Outperform NS $642.00 -97.29% +109.93% -207.21 0 Comment
TrackPZK < 20 3/25/2008 Outperform NS $795.00 -93.53% +2.84% -96.37 4/17/2012 @ $51.40 0 Comment
TrackRBCCapMkts 87.30 3/5/2008 Outperform NS $782.97 -97.78% +121.89% -219.67 0 Comment
TrackCanaccord 63.80 11/27/2007 Outperform NS $924.00 -98.12% +109.97% -208.08 0 Comment
TrackJimCramer 85.53 10/3/2007 Outperform 3W $1,155.00 -92.95% +36.45% -129.40 6/25/2015 @ $81.40 0 Comment
TrackBWS 96.67 8/1/2007 Outperform NS $630.00 -78.60% -41.38% -37.21 4/9/2009 @ $134.85 0 Comment
TrackRodmanRen < 20 1/24/2007 Outperform NS $753.00 -97.69% +112.03% -209.71 0 Comment

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