- Precigen, Inc., formerly Intrexon, is a synthetic biology company transitioning to a self-reliant discovery and clinical-stage corporation advancing next-generation gene/cellular therapies.
- Precigen has undergone an aggressive managerial/strategy change in 1H 2020, replacing CEO Randal Kirk with Helen Sabzevari, Ph.D., a therapeutics specialist and the former president of the Precigen subsidiary.
- PGEN's pipeline has four promising large-market therapeutics but is cash-dry held down by $249M in debt (ca. $200M convertible) and interest expenses equal to ca. 20% of revenue.
- Precigen's revenue peaked at $219M (2017) thereafter exhibiting a -26% 3-year CAGR ending 2019 at $90M (-40% y/y) with 2020 expectations of $97.4M (+4%) and '21 at $91M (-6.5%).
- In summary, with a complex corporate overhaul, an overly-ambitious pipeline without partnerships, and debt levels 2.7x revenue, PGEN is a "Sell" at a 2020 FYE price target of $3.01 (-16% downside).
For further details see:
Precigen: Debt Levels 2.7x Revenue And An Overly-Ambitious Phase1/2a Pipeline, -16% Downside In 2020