Exact Sciences seems to be behaving better. While I still expect volatility, with the possible exception of a slow adoption number, there is almost no negative surprises left to hurt us. I want to lever up a bit more on this company given what I know to be true about it, which is that it has a great product that helps achieve the American Cancer Society’s, Medicare’s and everybody else’s goal of dramatically improving compliance for colon cancer screening by 2018.
With Exact’s earnings coming up, and the possibility for an upside surprise now that the sales force has had some time to work, I am looking for an entry on the January 2017 $10 LEAPs (I’ve already bought some at higher prices). The back-up catalyst for this purchase is that USPSTF clarify’s their position making it clear that Cologuard has an “A” rating as I believe from doing the reading and contrary to what the short attackers have perpetuated on the web (is everything on the internet true???). The next back-up catalysts are any other good news that a young biotech can put out, such as, increasing sales, additional product development deals, an expanded label, international developments, beneficial partnerships, a buyout offer, investments from a large biotech, pharma or lab company, private equity firm, rich investor or mutual funds…
Set a limit order through October 28th to buy the January 2017 $10 LEAPs at $2.00
