Haypp Group, Terravest Industries, Zedcor Inc, Delcath, and Moberg Pharma report

When Haypp Group decides to prioritize earnings instead of growth, they will make a lot of money. They are obviously still trying to grow as fast as they can. Ironically if they stay in this growth state forever the shares would probably continue to trade higher without any signficant improvements to profitability. The mere prospect of the potential earnings to be had from exploiting their pricing wedge is likely enough.

Terravest has recently purchased several companies & has recovered about half of the drawdown from drama involving an insider telling friends and family to buy stock. I more than doubled my position off of the chairman being accused of insider trading because I felt like it was something that was unlikely to result in much.

Zedcor towers are stacking towards the sky with a rapidly growing US enterprise unfurling across the country. This also means costs are exploding. Stock-based compensation is notably higher, and I am of the camp that this may as well be a cash expense. I hope to see this company grow for a few more years and then exit to someone like $AXON.

Delcath had a good quarter that the market thought was an amazing quarter, and shares are now suddenly +67% YTD. I remain encouraged by the prospect of using liver direct melphalan in other types of liver metastases. Chopin made a clear demonstration about why combined treatments may lead to significantly improved treatment outcomes. This only needs to happen in a indication that’s not uveal melanoma for Delcath to 10-50x+ their growth runway. I expect they could potentially run into labor issues with other indications that caps growth out before any large indication is penetrated. This is due to the scarcity of interventional radiologists that are available to perform percutaneous hepatic perfusion. The company is a decent buyout candidate prior to anything big coming to the table.

Moberg Pharma reported that they had maintained market leadership in the nordics and are essentially planning to launch Terclara in parallel across a significant number of markets via Karo Health under the lamisil brand where available. Padagis in Israel is briefly preceeding them. The nordic investment community is so tired of everything that’s come out of Moberg over the last 2 decades that I think there’s some “big if true” going on, because even if the license is significantly less favorable than the terms Moberg has with allderma there’s going to be a lot of near-term growth.

PS.,

uniQure ~1-month ETA to 4 year-data. uniQure management has already been explict about what they’ll do with the BLA submission (either 3rd or 4th year). If the 4-year data looks strong it seems rather silly not to use it, even if it extends the time it takes to make the submission by a little. My fingers are crossed that TFC trends up in year 4 for both the high and low dose cohort.

One of the reasons TFC is resistant to placebo effects involves the onset of deleterious psychiatric symptoms associated with Huntingtons disease progressing. It’s very common to read about caretakers of HD patients learning to either fear or even hate their family as the illness makes them cruel and sometimes violent, with mood swings that can be scary or hurtful. Returning to baseline as it appeared to be in the year 3 data would be suggestive of a treatment effect.