In this episode of Yet Another Value Podcast, host Andrew Walker speaks with Adam May, a physician, dermatologist, and biotech investor, about how he built an edge in small- and mid-cap biotech. Adam walks through his path from medical school investing to launching a small biotech fund during the 2021 peak, then explains how he sources ideas, studies trial data, and looks for situations where the market is missing something important. The conversation focuses on NKTR and ABVX, including trial design, maintenance data, market skepticism, buyout setups, and how Adam thinks about risk, beta, and asymmetric upside in biotech.
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[00:00:00] Andrew introduces Adam
[00:02:44] Adam’s biotech investing background
[00:07:16] Alpha versus biotech beta
[00:09:51] Finding edge in biotech
[00:17:01] How Adam sources ideas
[00:20:49] Handling concentrated biotech positions
[00:22:59] Biotech drawdown created opportunities
[00:24:49] NKTR thesis and setup
[00:27:53] Lilly data analysis mistake
[00:29:34] Why drugs miss patients
[00:30:34] Eczema need remains large
[00:33:55] Trial nuance drove conviction
[00:36:11] Reverse split scared investors
[00:37:14] NKTR rerating after data
[00:41:21] Why maintenance data mattered
[00:43:32] Buyout versus commercialization path
[00:45:17] Alopecia setup in NKTR
[00:52:25] ABVX background and skepticism
[00:55:00] Maintenance data built conviction
[00:58:54] The killer ABVX slide
[01:01:50] Why ABVX looks acquirable
[01:08:11] ABVX maintenance data ahead
[01:11:27] Andrew closes the episode
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Production and editing by The Podcast Consultant - https://thepodcastconsultant.com/
