Leede Jones Gable initiates coverage - $12.50 Target Just came across this on a tweet, thought I'd share the information....this means the company now has coverage by three companies with many more to come next month with a NASDAQ listing.
Leede Jones Gable has initiated coverage on Canadian biotechnology firm Inc () () with a ‘Speculative Buy’ rating.
In a note Thursday, the research firm cited Oakville, Ontario-based Cardiol’s revenue potential from its ultrapure cannabidiol formulation Cortalex, which was launched last year through the Medical Cannabis by Shoppers portal.
Leede Jones Gable analyst Douglas Loe wrote that the alliance should generate top-line growth while clinical trials – including the Phase II/III trial of its flagship product CardiolRx – continue in the background.
“Cannabidiol’s clinical prospects in cardiovascular disease are, perhaps surprisingly at least to us initially, quite well-documented in the medical literature in preclinical models of disease,” Loe wrote, “and our diligence thus suggests to us that Cardiol’s initiative to more fully test cannabidiol’s clinical prospects is justified and with strong prospects for value creation based on future Phase II/III efficacy signals that we expect to transpire during our forecast period.
“What we found most striking in our investigation of cannabidiol’s medical prospects in cardiovascular disease was just how well-characterized its prospects actually were in this disease category, despite which few if any firms other than Cardiol are exploring this activity,” he added.
The analyst cited a number of diseases that could potentially be treated with Cortalex, including coronavirus-associated cardiovascular disease, acute myocarditis and diastolic heart failure.
Loe also noted that Cardiol’s strategic manufacturing alliance for CardiolRx with Purisys and Dalton Pharma Services provides competitive advantages in medical markets where cannabidiol purity is critical to clinical success.