July 19, 2006
SpeculatingStocks.com Stock Pick: Aspreva Pharmaceuticals Corporation (ASPV)
Stock Price: $20.05 (long-term strong buy)
Aspreva Pharmaceuticals Corporation is an emerging pharmaceutical company focused on identifying, developing and, upon regulatory approval, commercializing new indications for approved drugs and late stage drug candidates for patients living with less common diseases.
ASPV has grown revenue from $14.67 million to $16.77 million to $45.03 million to $62.68 million over the past four quarters. Net income has grown from $1.15 million to $3.22 million to $24.27 million to $44.75 million in the most recent quarter. On all this growth, ASPV reached a high of $34.89 and has since been extremely oversold.
ASPV is now trading at a PE of only 9.83 and a forward PE of 4.98. We doubt ASPV will see much lower than its current price. The 5.71% that are shorting ASPV will have to cover and buy back shares sending ASPV into a reversal.
SpeculatingStocks.com Target Price: We expect ASPV to reach a new 52-week high above $34.89 within the next 2 - 4 months.