Year rolling Pacific Edge's (PEB) price it is down 46%, six month rolling down 33% and one month rolling down 22%.
PEB is well placed to ride out the next two to three years, with more than $40million cash in hand. Chief executive David Darling maintained yesterday that achieving $100million revenue by 2018 was still the target.
However, investor patience will be sorely tested as expectations of capital gains from the growth stock wither as its share price wallows.
Mr Darling said the company remained ''on target ... with business as usual'' and was preparing to report its half year to the NZX in a few weeks.
The share price shift was due to the external market, Mr Darling said, when contacted in Sydney yesterday. He cited the recent global ''melt down'', plus ''a couple of persistent retail shareholders'' who wanted ''out of their deemed risky shares''.
''We expect the share price to come up in time,'' he said.
During the past two years, PEB stock was been acclaimed one of the best performing on the NZX, before slumping to become one of the worst performers.
From 46c in October 2013, PEB began the compulsory release of what became a tsunami of good news updates. Its share spiked more than 270% to an all time high of $1.72 by January 2014, making it a sharemarket darling, second only to Xero at the time.
However, despite more good news, the share price had eased back to 64c by June 2014, rallied briefly to to 93c in September last year and has since fallen to 46.5c yesterday.
Craigs Investment Partners broker Peter McIntyre said PEB's share price had been affected by many issues, most of which were beyond its control.
''Investors are taking risk off the table, and that's bio tech companies like Pacific Edge,'' Mr McIntyre said.
The downturn in China's economy, and recent sharemarket plunge, plus the US Federal Reserve wanting to increase its official cash rate, were all weighing heavily on investor sentiment, he said.
''Where once investors got [capital] growth from the share price, investors are now looking for a dividend stream,'' he said, citing less risky equities, such as utility company stocks.
''Globally, the [recent] market correction has hit the bio tech sector in general,'' Mr McIntyre said.
PEB's mainstream product is its bladder cancer diagnostic tool Cx bladder, plus two associated products under development, and other cancer diagnostic tools under research and development.
Aside from its accuracy, Cx bladder is a non invasive urine test which displaces expensive, invasive tests.
PEB's numerous compulsory market announcements included gaining international regulatory approvals, completion of a US based laboratory and access to several, large, US health providers, collectively with tens of millions of potential customers.
Globally, PEB had gained multiple patents to protect its intellectual property and beachheads in Southeast Asia had also been established for product testing and distribution.
Mr Darling described the 30 PEB releases to the NZX during the past year as ''a lot'', but as necessary, as required by NZX disclosure rules.
Mr McIntyre said ''PEB is a growth stock. But there is a question mark whether PEB can reach its target $100million revenue target in this timeframe''.
Mr Darling reaffirmed that target yesterday.
''We're travelling to plan nicely,'' he said.
However, Mr McIntyre said PEB was debt free and the recent $35.3million capital raising had boosted its coffers and cash in hand, albeit the underwriters taking some of the stock.
''This [underwriters' uptake] signals that for some shareholders they are at the end of putting cash in,'' he said.
Since its inception 13 years ago, PEB has booked consecutive losses, amounting to more than $50million. Of more than $20million raised in 2013, it had $7.81million cash in hand at March, before raising the $35.3million the following July.
At the time, chief executive David Darling said the $35.3million offer was enough for two years' operation, and he hoped not to have to go back to shareholders again.
Mr McIntyre said ''Realistically, PEB's well funded for the next three to four years, but it has got to deliver growth of product sales.
''Investors want to see the cash [revenue stream],'' Mr McIntyre said.
PEB also recently received a $600,000 technology grant and was in the second year of a three year Callaghan Innovation Grant, worth $.5million.
PEB's full year to March result was pushed out to an $11.22million loss, with the inclusion of a $500,00 compensation payment to investors. It was a settlement for PEB having delayed release of some market announcements, during the initial price spike in October 2013.
