Investment Q&A

Q: After its huge drop Friday, CPH is down another 8% today. It said the failure of the clinical trials for Moberg's nail fungus medicine wouldn't impact sales or revenue "today" but how much was the market counting on this for the future? Does its failure really justify a 20% cut to CPH stock or is this way overdone?

Q: Share this news no queston

MISSISSAUGA, ON, Sept. 13, 2024 /CNW/ - Cipher Pharmaceuticals Inc. (TSX: CPH) (OTCQX: CPHRF) ("Cipher" or the "Company") announced today that its partner, Moberg Pharma AB ("Moberg"), issued a news release earlier today stating that it has received information about clinical cure in a subset of patients in the ongoing North American Phase 3 study for MOB-015, a product for the treatment of nail fungus. Moberg has noted that the number of patients who have achieved clinical cure in this blinded subset of patients is lower than its expectations, which necessitates that Moberg inform the market about this fact.

Moberg's full press release can be found here.

Cipher owns the Canadian marketing rights to Moberg's MOB-015 through a licensing agreement (the "Agreement") dated September 18, 2018, to commercialize, promote, sell and distribute the product exclusively in Canada. On signing the Agreement, the Company paid an upfront amount of US$0.5 million and any future additional payments of up to US$14.1 million are contingent upon successful achievement of certain clinical data results as well as development, regulatory and commercial sales milestones. Cipher has no further financial obligations in respect of the Agreement if the applicable development and regulatory milestones outlined in the Agreement are not attained.

The Company will continue to collaborate with its partner Moberg as full results from their clinical trial become available, however this pipeline product does not impact the sales and earnings profile of Cipher's existing business today.

The Company continues to be focused on its recent acquisition of the NatrobaTM business from ParaPRO LLC as announced on July 29, 2024, as well as other potential growth opportunities. The Company believes the growth potential for the NatrobaTM product in the U.S. market and other markets internationally is significant, and the integration of this business into its existing profitable North American platform remains Cipher's focus and priority in the near term.

Q: Hello 5i
Any news on the Cipher drop and trading halt?
Thank you
Dave

Q: Hello ,
Are you able to provide a view as to why Cipher Pharma is doing so well stock wise and yet Knight is still in the doldrums? Also, is too late to step into Cipher Pharmaceuticals. I would appreciate your comments;

Q: Earnings out probably not as meaningful as aquation but was there anything in earnings comments that you could elaborate on

Q: Cipher Pharma made a major acquisition today that they say will double their sales and profits. The new products acquired are also superior to the existing treatment, which has 71% of the USA market, so lots of room there for growth, plus they plan to get approval in Canada and make a deal for ex-North America sales. They also have their drug for toenail fungus, a big market, set to produce final results in about 6 months, with sales expected starting in 2026. This looks like a good growth stock to me, trading at a cheap valuation, given the profit from the new products, and I am wondering what your take is on the acquisition and the stock.

Q: Would appreciate your analysis of CPH's Q1 results that were released last week.

Q: Could you please compare and contrast CPH and VHI? Looking for key differences or attributes. Is one better than the other, or if starting a new position, would you just allocate funds 50/50?

Q: Results yesterday from CPH and DR both looked excellent and the stock prices have moved up significantly in response. They both look cheap, particularly CPH, even more so if you ex out the $2.20 cash on the balance sheet. What do you think of these as part of a small cap portfolio?

Q: Now that CPH trades on the OTC should it be moved to a USD account to avoid Fx fees with transactions or will any trades continue to be designated as CAD. Thank you.

Q: The 5i profile on Cipher Pharma lists only 5 employees - how accurate and current are such numbers? Also you dropped coverage on this stock in 2018 "until some visibility emerges." which now seems to be clear, would you consider recovering?

Q: I understand that this company is on the riskier side, but it certainly appears it is doing things right and the stock seems to be reflecting that. Do you think there is potential here? The balance sheet has little debt and a decent cash balance. Two of the things you seem to look for.

Q: Can you give me an update on this stock and whether you would hold.It has come up nice lately

Q: Can you comment on there second quarter results. Would you endorse a buy as turnaround play.
Best Regards,
Harold

Q: Cipher had pretty good numbers in the 2nd q. This company may have turned the corner. The new ceo ( joined in 2019) Mull is a smart dude who made a lot of shareholders money on CML Healthcare. This one may be one to watch.

Q: Doing a year end review of all of my holdings. I would like to reduce my position in several stocks (or eliminate entirely in the case of HR.UN and CPH) in order to raise some cash for increasing my position in several other holdings. Fairly large question, so I will divide it into 2, this for the potential reductions and a further question about the potential adds. Would you please rank these stocks in the order you would reduce or eliminate to raise some cash, starting with the one you would be most inclined to reduce/eliminate. Sector, or large cap/small cap not a concern, as I have a broadly diversified portfolio with a lot (too many, really) of names. Thank you for this, and also for the very good service. My 1st year as a client, and I will certainly be renewing. I have recommended the site to a few friends who also do investing.

Q: Trying to reduce the number of stocks I hold. Currently I am broadly diversified across sectors and large cap/small cap, growth/dividend payers, so those are not concerns. I look at total return, and have a long term horizon, 5+ years. Comfortable with risky stocks. I have smallish positions in these 12 stocks and would like to sell maybe 6 to 8 of them, and redeploy the money into a few of the others on the list or into some of my other holdings. Would you select 6 - 8 of the above that you think are less likely to perform well over 5+ years, and could be sold, and maybe 2 - 4 that could be added to. Thank you.

Q: Thanks for your ongoing non-biased advice.
I have three DOGS in my non registered account ...... Baylin Technologies (BYL) with No Dividend, Cipher Pharma (CPH) with No Dividend and Pason Systems (PSI) that has a 3.5% Dividend.
Please analyze each account for future growth prospects, survivability etc.
My strategy is to double-down and buy more of each stock in my wife's non registered account during tax loss season because her income is very low ......... then wait 30 days and sell the above stocks after 30 days in my registered account either this year or next year.
Hope this strategy makes
MMD

Q: I would like to know what you think of their recent Q, do you see anything to suggest that the higher EPS and revs will continue here or is this a one off gain?

Q: CPH took it on the chin yesterday with Bauch Health pulling out of an agreement. Trying to find out the impact of this event to the company. Information seems to be hard to find.