How much is clear skin worth?... Wall Street thinks $240M. Dermira's company value jumped by that much Monday on news it cleared a key hurdle in developing a drug to treat Dermatitis. Shareholders are feeling clean and clear and under control.
Sweet ticker symbol — "DERM"... It deals in medical treatments for Atopic Dermatitis, so it's hard to evaluate the biz without a Molecular Biology & Biochemistry degree (that's a real degree). Small bio-tech companies like Dermira also don't even have products (yet), so it's all speculation. Monday's news though improves the prognosis that it could make money someday.
Carpe freaking diem... Fresh off the news, Dermira announced it's issuing new shares to raise new money so it can do the lab work needed to pass Phase III testing. But analysts think the market for atopic dermatitis treatment will be $8B by 2021, so some investors are taking the gamble this drug can work.