Market Cap : $16.9 Million
Cash $11.8 Million
Shares Out 4.22 Million
•Natesto–testosterone nasal gel indicated for hypogonadism ($2 billion market in the U.S., 13 million men diagnosed with hypogonadism (low testosterone)
•MiOXSYS–in vitro device for male infertility ($825 million International market ,30 million men impacted in U.S.)
•Fiera–pre-intimacy device to increase sexual desire and arousal in women (53 million women in the U.S. with sexual concerns)
•ProstaScint–imaging agent for prostate cancer
Aytu BioScience (AYTU) Stock: Why This Thing Can Grow Legs!
The Doors To Massive Potential Have Swung Wide Open As if there already wasn't massive potential surrounding NATESTO, the flood gates may open soon as the competition has largely been cleared off of the playing field. That happened relatively recently when Acrux and Eli Lilly ended their relationship surrounding the testosterone product known as Axiron, a TRT applied under the arm.
It all started back in 2010 when Acrux and Eli Lilly entered into a license agreement surrounding Axiron. As a result of the deal, there would be $335 million plus potential royalties up for grabs. However, early this month, in fact on September 6th, it was announced that both companies have reached an agreement to terminate the license agreement.
While this may not seem like a big deal at first glance, it's massive. You see, Axiron was one of the only competing drugs that was marketed on a large scale. However, for this marketing to take place, it had to happen with the help of Eli Lilly. Since the relationship has been split, the marketing is no longer in place. As a result, AYTU has an open playing field with NATESTO, giving it the opportunity to tackle the market in a big way.
NATESTO Is Black Box Free While there are many advantages that we see in NATESTO over other testosterone replacement therapies, there's one key advantage that really strikes us. That is the fact that the product is the only TRT (Testosterone Replacement Therapy) currently on the market that's not only effective, but comes with no black box warnings.
For those of you who don't know, black box warnings are among the strictest warnings that the FDA imposes on labeling of prescription drugs. These warnings are only used when there is reasonable evidence of an association of a serious hazard with the drug in question. While other TRTs on the market have various black box warnings associated with the risk of a man transferring testosterone gel to his female partner or child, NATESTO is black box warning free; making it one of the safest, if not the safest option for testosterone replacement.
The Bottom Line The bottom line here is that AYTU has a tremendous opportunity and through this opportunity, poses a potentially incredible opportunity for investors themselves. Looking at NATESTO, it's clear that not only is this drug the safest option, it is likely to become the first option. With the sales force nearing the ability to hit the ground running and an incredible management team behind them, I believe that 2018 will be the year for AYTU; and we haven't even touched on Fiera or Mioxys yet.... those are topics for another day!