Why Pluristem Therapeutics Is Poised to Plunge

Updated

Based on the aggregated intelligence of 180,000-plus investors participating in Motley Fool CAPS, the Fool's free investing community, biotechnology company Pluristem Therapeutics has received the dreaded one-star ranking.

With that in mind, let's take a closer look at Pluristem and see what CAPS investors are saying about the stock right now.

Pluristem facts

Headquarters (founded)

Haifa, Israel (2001)

Market Cap

$198.6 million

Industry

Biotechnology

Trailing-12-Month Revenue

$757 thousand

Management

Chairman/CEO Zami Aberman
CFO Yaky Yanay

Return on Equity (average, past 3 years)

(73%)

Cash/Debt

$68.3 million / $0

Competitors

Aastrom Biosciences
Advanced Cell Technology
Osiris Therapeutics


Sources: S&P Capital IQ and Motley Fool CAPS.

On CAPS, 81% of the 15 All-Star members who have rated Pluristem believe the stock will underperform the S&P 500 going forward.

One of those Fools, biotech expert zzlangerhans, tapped yesterday's 7% stock price spike as particularly unsustainable:

Wow, Pluristem received approval in Germany! Approval to run a phase II trial there, that is. Pluristem CEO seems to be aware that issuing any PR with the word "approval" somewhere in it is good for a momentary 10% spike in share price. Someone should do a study to determine the correlation between these types of announcements and the lockup expiration dates for their dilutive financings.

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The article Why Pluristem Therapeutics Is Poised to Plunge originally appeared on Fool.com.

Fool contributor Brian Pacampara has no position in any stocks mentioned. The Motley Fool has no position in any of the stocks mentioned. Try any of our Foolish newsletter services free for 30 days. We Fools may not all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Motley Fool has a disclosure policy.

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