Protalix Bio Therapeutics, Inc. (NYSE:PLX) Gets Strongly Bullish for Today

[[tagnumber 0]]The stock of Protalix Bio Therapeutics, Inc. (NYSE:PLX) opened the last session with a gap and formed a bullish chart pattern at the close. After the huge selloff in the preceding two sessions, now the stock looks ready to recover some value on some positive news about the company‘s next product candidate.[[tagnumber 1]] [[tagnumber 0]][[tagnumber 3]][[tagnumber 1]] [[tagnumber 0]]PLX gained 9.18% yesterday with the close at $1.07 for a share. The trading activity turned back to normal as the trading volume for the day was near the average, yet the chart looks bullish for the coming session as some technical indicators have just crossed important levels.[[tagnumber 1]] [[tagnumber 0]]Two days ago, PLX announced positive long–term data for the lowest dose of its phase I/II clinical trial for PRX–102 drug candidate which is aimed for the treatment of Fabry disease. The study has run over 12 months and since the results were promising on efficacy and safety the company plans to proceed with phase III preparations, including a m[[tagnumber 8]]eeting with the FDA in November.[[tagnumber 1]] [[tagnumber 0]]PLX has made only losses since its inception, however, the company already has one FDA approved product that is sold in the US, Israel and Brazil. Taliglucerase alfa is approved for the treatment of type I Gaucher disease and Pfizer, Inc. holds the worldwide commercialization rights with the exception of Israel and Brazil.[[tagnumber 1]] [[tagnumber 0]] [[tagnumber 1]] [[tagnumber 0]]By now PLX has received a $60 million upfront payment and a $30 million milestone payment under the Pfizer Agreement. In addition, in 2013 PLX signed a Technology Transfer Agreement with a structure of Brazil‘s Ministry of Health under which the company should sell $40 million worth of taliglucerase each year. However, the Brazilian partner has not yet completed its obligation in the first year and PLX could soon decide to terminate the agreement.[[tagnumber 1]] [[tagnumber 0]] [[tagnumber 1]] [[tagnumber 0]]Current market cap looks too high for PLX has negative shareholders‘ equity. Moreover, there is long–term debt in the amount of $67.7 million that can be converted into shares which represents high dilution risk for shareholders.[[tagnumber 1]] [[tagnumber 20]] [[tagnumber 1]]