Listen up, apparently a lot of people give this stock crap because they got burned after it shot up to all time highs in 2021. However, this is why I see ATOS as an exciting investment into the future.
First, the company has over $100 million in cash with NO debt which is rare for a small cap pharma stock. It is currently trading below cash value ($.66 at the time this was written). They have a cash burn rate of approximately $5 million per quarter which allows them to continue operations without raising additional capital for years into the future.
The exciting part is that they have 3 separate Phase 2 trials going for their Z-Endoxifen. As a bit of background, Endoxifen is currently a part of Tamoxifen that is used to prevent and treat ER+ HER2 breast cancer. They recently had a separate Phase 2 trial cancelled early because results were so overwhelmingly positive. Endoxifen has the chance to replace Tamoxifen as the primary prevention and treatment drug for breast cancer as it has currently showed little to no side effects and a higher efficacy during the window of opportunity for prevention in both preclinical, phase 1 trials, and the phase 2 trial mentioned above.
The phase 2 trials they have ongoing is one in Sweden and two in the United States, with one recently being announced that it is being conducted with Quantum Leap Healthcare’s I-Spy trial focusing on advancing breast cancer research and bringing cancer drugs to market. Additionally, ATOS carries two patents now for Endoxifen so any other company that would want to use the drug would have to go to them first.
Lastly, ATOS recently bought 19% of Dynamic Cell Therapies which is a CAR-T focused, clinical trial company that addresses difficult-to-treat cancers. This will further help ATOS grow their pipeline and look into other opportunities for cancer treatment if needed.
The most exciting thing is that the CEO has stated multiple times that they plan on looking to be bought out after positive phase 2 trial results. Given the previous success with Endoxifen in earlier trials, I am confident that these Phase 2 trials will produce positive data and big pharma will be interested. The CEO already has 7 other FDA approved products on the market as well. The stock has been beaten down like many other bios as Phase 2 trials are ongoing and I believe it is a great opportunity to get in. GLTA.
Disclaimer: This is not FA. For full transparency, my current position is 8600 shares at a .73 average.*
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