Uncovering the Deep Value in VTAK Shares
https://insiderfinancial.com/uncovering-the-d...es/184752/
ByRyan MitchellWritten Post on October 25 2023
COMMENTS
It’s not every day that an investor stumbles across a hidden gem biotech company before anyone else seemingly discovers it. We recently discovered what we believe is truly a hidden gem in a new public company called Catheter Precision (NYSE: VTAK), which could and should be worth many multiples of its current valuation. Catheter Precision is hidden from the public eye because it merged months ago into a medtech company called Ra Medical. Since then Ra Medical’s old operations have been terminated. Because of this, Catheter Precision looks like a very good investment but much of the company’s new direction and strategy, as well as potential revenues and forecasted cash requirements, require some digging to uncover. Additionally, the company’s 10-Q is overdue, so presumably this is why there is currently a valuation disparity, along with a weak overall biotech market. It looks like the company isn’t operating well due to the overdue SEC filings, and it looks like they will run out of cash given Ra Medical’s obsolete burn rate. But this couldn’t be further from the truth. It’s just not obvious when looking at current SEC filings or company presentations that this company is ready to rock and roll instead of withering up and dying, which is what you’d suppose if you checked the historical data.
In reality the company just completed a merger with an industry veteran and successful investor taking the helm at VTAK; there is not yet an updated presentation available nor do the financials reflect the current state of the company. The company is truly a hidden gem, but how long will that last when it becomes apparent that the company is metamorphosing into an entirely new entity? At some point, when the company’s SEC filings become current, the improved state of affairs could create a landslide of buying as investors digest the prospects and financials of the new company.
From an unknowing investor’s point of view, they will take one look at the stock chart over the past 5 years (-99.99% return) along with the company’s past 4 years of financial (see the cash burn (~$25 million annual cash burn—see various 10-Q and 10-Ks) versus the current cash on hand which is estimated to be around $12 million as of January per the merger press release). This is enough to send any investor running for the hills, never to set eyes on the ticker again. So no unknowing investor will have looked into the company.
Because of this, VTAK is currently completely overlooked. The simple fact is that all these major red flags have changed within the past few months and none of this (Ra Medical’s old cash burn) reflects the current management or financial state of the new company. The company has dropped Ra Medical’s old products in the vascular space, including an almost-completed 125-person clinical trial, and will be focusing on Catheter’s electrophysiology products moving forward. To investors, it is a new company—Catheter Precision plus Ra Medical’s net cash. In this article, I will discuss the new company and its potential value with its two medical device/technology solutions which are currently being launched.
https://insiderfinancial.com/uncovering-the-d...es/184752/
ByRyan MitchellWritten Post on October 25 2023
COMMENTS
It’s not every day that an investor stumbles across a hidden gem biotech company before anyone else seemingly discovers it. We recently discovered what we believe is truly a hidden gem in a new public company called Catheter Precision (NYSE: VTAK), which could and should be worth many multiples of its current valuation. Catheter Precision is hidden from the public eye because it merged months ago into a medtech company called Ra Medical. Since then Ra Medical’s old operations have been terminated. Because of this, Catheter Precision looks like a very good investment but much of the company’s new direction and strategy, as well as potential revenues and forecasted cash requirements, require some digging to uncover. Additionally, the company’s 10-Q is overdue, so presumably this is why there is currently a valuation disparity, along with a weak overall biotech market. It looks like the company isn’t operating well due to the overdue SEC filings, and it looks like they will run out of cash given Ra Medical’s obsolete burn rate. But this couldn’t be further from the truth. It’s just not obvious when looking at current SEC filings or company presentations that this company is ready to rock and roll instead of withering up and dying, which is what you’d suppose if you checked the historical data.
In reality the company just completed a merger with an industry veteran and successful investor taking the helm at VTAK; there is not yet an updated presentation available nor do the financials reflect the current state of the company. The company is truly a hidden gem, but how long will that last when it becomes apparent that the company is metamorphosing into an entirely new entity? At some point, when the company’s SEC filings become current, the improved state of affairs could create a landslide of buying as investors digest the prospects and financials of the new company.
From an unknowing investor’s point of view, they will take one look at the stock chart over the past 5 years (-99.99% return) along with the company’s past 4 years of financial (see the cash burn (~$25 million annual cash burn—see various 10-Q and 10-Ks) versus the current cash on hand which is estimated to be around $12 million as of January per the merger press release). This is enough to send any investor running for the hills, never to set eyes on the ticker again. So no unknowing investor will have looked into the company.
Because of this, VTAK is currently completely overlooked. The simple fact is that all these major red flags have changed within the past few months and none of this (Ra Medical’s old cash burn) reflects the current management or financial state of the new company. The company has dropped Ra Medical’s old products in the vascular space, including an almost-completed 125-person clinical trial, and will be focusing on Catheter’s electrophysiology products moving forward. To investors, it is a new company—Catheter Precision plus Ra Medical’s net cash. In this article, I will discuss the new company and its potential value with its two medical device/technology solutions which are currently being launched.
