The Forbes School of Business and Technologies held a thought leadership summit on Tuesday. Generally accepted accounting principles, however, say that research and development costs have to be expensed. When a clinical trial ramps up, expenses increase without any corresponding increase in cash or revenue. Traditional analysts reaching this conclusion will recommend selling regardless of whether the clinical trial succeeded or not. Valuing brand names, patents, cloud assets, clinical trial data, etc.

Source: Forbes October 27, 2017 18:00 UTC