In 2012, consumer healthcare was a $502 billion market. Up until 2017, it was predicted that it would grow 50% to over $737 billion. This is very evident because of growing populations and awareness of wellness and health. Many people are much more concerned with vitamins, nutritions, and disease management. An update shows that 17 of the largest healthcare companies in 2012 generate 35% of the market – $81 billion. With this information, lets take a look at the other side of the spectrum in the micro cap space.
Progressive Care Inc (OTCMKTS:RXMD) is a company that is in the micro cap space, yet still making a impact in the pharmaceutical industry. Progressive Care Inc. is a company based in South Florida and provides prescription pharmaceuticals. They more specifically focus on anti-retroviral patient management, long-term care, and durable medical equipment. Through its subsidiary, PharmCo., they use demographics to fulfill public needs. In addition, by using different market strategies, Progressive Care Inc. seeks to be a part of the market growth with their outstanding performances.
Over the last three months, Progressive Care Inc (OTCMKTS:RXMD) reported record breaking sales each month. In August, Progressive Care Inc. filled over 16,500 prescriptions and generated approximately $1.17 million in revenues. Here’s what COO Shital Parikh Mars had to say: “These last few months are a true testament to the hard work our staff puts in to market the Company and live up to the high standards of care that we set. We are leading the way in the level and range of services we provide and the South Florida community has embraced it. As we head in to the fall and winter months, we look forward to capitalizing on the success of the summer.” Over the last ninety days, RXMD has seen lows of $0.0055 and a 667% change to highs of $0.0422, paralleling their outstanding performance.
Eanings Review: Rambus Inc. (NASDAQ:RMBS), Revlon Inc (NYSE:REV)
Revlon Inc(NYSE:REV) +2.5% after-hours after announcing that President and CEO Fabian Garcia is stepping down “to pursue other opportunities,” and Executive Vice Chair Paul Meister will oversee operations on an interim basis.
REV also says it expects Q4 revenues of $785M, below $801M from the year-earlier quarter but ahead of analyst consensus estimate of $743M, and a $60M-$80M net loss for the quarter due to a charge related to the recent tax law changes.
REV expects Q4 adjusted EBITDA of $110M-$115M vs. $115M analyst consensus.
CFO Chris Peterson also denies rumors that the company is considering a material asset transfer that would shield assets from lenders.
Rambus Inc.(NASDAQ:RMBS) shares are down 5.5% aftermarket following Q4 results that beat revenue estimates and met on EPS. In-line Q1 guidance (under ASC 605 accounting change) has revenue from $94M to $100M (consensus: $100.38M) and EPS from $0.17 to $0.23 (consensus: $0.18).
Revenue breakdown: Royalties, $77.9M (+10% Y/Y); Product, $8.5M (-27%); Contract and other revenue, $15.5M (+2%); Licensing billings, $76.6M (+18%).Key metrics: Non-GAAP operating margin, 31%; total operating expenses, $67.5M; cash and equivalents, $172.2M; cash flow from operations, $33.3M.
ADTRAN, Inc. (NASDAQ:ADTN) Hits New Lows After Issuing disappointing Earnings Forecast
ADTRAN, Inc.(NASDAQ:ADTN) slumped to a 52-week low after forecasting below consensus guidance for Q4, revising its revenue estimate downward to $125M from $155M-$165M earlier and seeing EPS of ~$0.01; analysts had expected EPS of ~$0.14 and revenue of $161.2M.
ADTN also projects Q1 to come in at roughly the same as Q4, misses analyst consensus of $167.5M.
CEO Tom Stanton says Q4 results have been hurt by a merger-related review, which ADTN expects to be completed in 60-90 days, and slowdown in the spending at a domestic Tier 1 customer.
MKM Partners analyst Michael Genovese believes the customer is CenturyLink (CTL -2%), which accounted for 24% of ADTN’s total sales in 2016.
The analyst thinks the weakness should prove temporary, adding that ADTN’s performance likely will accelerate into 2019 as the company stands to benefit from 5G spending; MKM trims its ADTN target price to $25 from $27 but keeps its Buy rating.
Big IPO Coming: Celator Pharmaceuticals Inc(NASDAQ:CPXX), Moleculin Biotech’s (MBRX)
Today at 10am Eastern, Moleculin Biotech ticker symbol MBRX will debut on the Nasdaq stock exchange and is being considered as one of the most highly anticipated IPO’s of 2016 by the street. The excitement and anticipation is arising from many experts saying that Moleculin Biotech’s (MBRX) drug annamycin is far superior to Celator Pharmaceuticals Inc(NASDAQ:CPXX) drug daunorubicin.
CPXX which has been bought out by Jazz Pharmaceuticals plc – Ordinary Shares(NASDAQ:JAZZ) for $1.5 Billion Dollars last week, share price ran from $1.6 to $31 in 2 months. Moleculin Biotech’s share structure is a 1.5m public float Priced at $6.