Tuesday, February 20, 2018

Countdown for Codexis

It is earnings season and bio-catalyst developer Codexis (CDXS:  Nasdaq) is expected to report fourth quarter and year-end 2017 financial results in the coming weeks.  The three analysts who regularly publish estimates for the company expect a nickel profit in the quarter on $23 million in total sales of the company’s custom protein catalysts.  Codexis is still perfecting its proprietary platform technology called CodeEvolver, but has already delivered an array of unique enzymes that help drive critical biological processes for its customers.
Codexis does not have a good track record in terms of meeting the consensus estimate.  The company has only cleared the hurdle once in the last four quarters.  Despite the string of reporting disappointments, publishing analysts has held firm in their estimates. 

Friday, February 16, 2018

Tuesday, February 13, 2018

No Love in BioAmber Capital Raise

Management of sustainable chemical developer BioAmber (BIOA:  NYSE; BIOA:  TSX) have not been feeling much love from the capital markets.  The BioAmber team just wants some consideration for its proprietary platform for production of bio-based succinic acid.  Historically succinic acid has been produced from fossil fuel and sold as an intermediate input for use in drug compounds, agriculture and food production.  BioAmber has fine tuned a fermentation process to transform organic materials such as dextrose sugars into a bio-succinic acid. 
Image result for bioamber logo image
BioAmber’s woes began last fall when the New York Stock Exchange sent the company a notice of non-compliance with NYSE listing requirements.  BIOA shares had slipped below the required $1.00 level for more than thirty days.  Things took a particularly chilly turn this Valentine Day week when the Toronto Stock Exchange informed the company it was beginning an expedited review of BIOA continued listing on that exchange.

Friday, February 09, 2018

Running Out of Places to Hide

Global warming appears in the news with increasing frequency.  Few have not heard of the irreversible environmental effects of emitting harmful gases such as carbon dioxide into the atmosphere. For decades scientists have been warning about the consequences of melting polar ice and shifting ocean currents that follow.  True enough there remain those who still get called by the derisive appellation ‘climate denier.’   However, most now acknowledge rising temperatures and the connection to human use of fossil fuels.  Most understand the need to use resources more wisely and reduce use of oil and gas.  Even investors are jumping on the band wagon, divesting of oil and gas holdings in favor of renewable fuel stocks or providing venture capital to an alternative energy start-up.

Yet such investment decisions have impacted only a small portion of the global energy sector.  Most investors have avoided the entire issue of global warming and the economic consequences: land loss from rising ocean levels, more volatile weather conditions, altered food supplies, and water shortages, to name just a few consequences already in evidence.  They remain ‘investment deniers’ at a time when markets are making it clear there is a new truth.