Jul. 31 at 5:04 PM
$ROIV Even if you are investing for "Book Value" as if investing in a Holding Company, you're overpaying for the Valuation of ROIV. The Price-to-Book ratio is around 5.5 which means - at current stock price, you are paying 5 1/2 times the value of all the Assets on the books for Roivant, right now, even though that does account for the stocks that ROIV holds that you may think are accurately reflected in the stock price - they are not. So ROIV can't have its cake and eat it too. Is it a Holding Company? If so, the Price-to-Book says it is 5.5 times overvalued. Or is it a Bio-Tech company that is intent on selling pharmaceuticals? The Price-To-Sales Ratio (P/S Ratio) and the corresponding Revenue-Per-Employee show that is also not working out so well, with little to no revenue over the years. So in either case, when looking at determining "Fair Value" for ROIV, it is a failure using either lens/data points.
