While I don't disagree with what you're saying, I question the disparity between IMGN and SGEN who while it's seeing sales revenue is still losing money. I know they've had some sales growth, but with their recent acquisition will be hurting for cash without significant dilution. I simply cannot see how their market cap deserves to be over 40 times that of IMGN's.
With a $65+ share price SGEN investors certainly aren't overly concerned if they raise a few hundred million with dilution, the question is, how is that share price warranted based on a comparison of the two companies. I believe it's just a matter of time, and news, until investors like the Baker Bros push IMGN to somewhat compatible prices. In that IMGN has substantially fewer shares outstanding, even one quarter of SGEN's market cap would put IMGN over $25, a position where 4 million shares would bring in $100 million to work with. I cannot say when this will happen, but I believe that ultimately the Institution's who own roughly 90% of IMGN will push it up dramatically, just as they've pushed it down in the past year.
As small investors we are really in the hands of the Institutions. I believe they brought the company down dramatically on the negative news that IMGN853 would need to go the full Phase III route, rather than the shorter, cheaper Registrational Phase II. Now with the Phase III begun, I believe they'll move the stock back to highs not seen in a few years on the strength of data from a few drugs, including some new data from IMGN853. By ASCO I believe we'll see a dramatic improvement in the price, and it will continue for the remainder of the year.
Gary