In October 2012, shares of Pacific Biosciences of California (PACB) had just plunged from $17.47 highs to less than $1.30 a share.
The company had just entered into a sales agreement that allowed PACB to offer up to $30 million of its common stock… hardly a reason for such a powerful fall. But after reviewing the incident, comforted by the company’s sufficient funds and institutional ownership, we found that PACB offered us an opportunity we couldn’t ignore.
Shortly after, we made a recommendation to buy the stock at just $1.25 a share…
Analysts at the Maxim Group would upgrade its price target from $3 to $45 months later.
Another analyst labeled it a potential takeover target at such lows.
While the company was never bought out, it did rocket to a new four-year high this week on news it received certifications for the design, development, manufacturing, distribution, installation and servicing of its nucleic acid sequencing programs…
At it last traded price of $13.45, that’s a potential gain of 976% since October 2012.