MedX SharepriceMedX spoke at an investor function last Wednesday. The speaker was asked about the share price. The response was interesting. MedX like all public companies are held to account by selected disclosure rules and material facts that actually change the intrinsic value of the company. The speaker declared there was an inordinate amount of selling that was agressive and did not seem to have any sensible trading strategy other than price suppression, that coupled with some tax-loss selling caiused the share price like most micro-caps to be deeply deiscounted.
So of course the follow on question was what is going to change the price point or is it lost money. The answer was MedX is starting to do a lot more investor presentations which should draw eyeballs on the shares but MedX really needs to release strong material news that confirms their new platform (DermSecure) is gaining fast traction and their pricing model will make MedX cashflow positive in short order.
To that end MedX confirmed the MDSAP auditor had been satisfied with MedX's manufacturing process and that MedX should receive regulatory clerance in Brazil by year end. MedX also mentioned they have a sizable back order building in Brazil and they are ramping up a third party ISO manufacturer to keep up with the anticipated demand from Brazil and North America.
They also felt they had a few new distributors in the Med Spa market that would be coming onboard and driving 2020 revenue numbers.
My sense was there is nothing wrong with the business at all just a short seller or a really poor trader playing silly bugger with the stock price. I am sure with material news point to a stable cashflow positive company the share prices here will seem like a real discount to the inherent value.