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Is Mobilicom Ltd IPO a Good Investment?

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Is Mobilicom Ltd IPO a Good Investment?

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  • A high-risk, high-reward opportunity, the upcoming new listing for Mobilicom could be intriguing as it provides cybersecurity solutions for drones, robotics and automated platforms.
  • The use of drones has become a powerful tool in Ukraine’s defense of its homeland against Russian aggression and thus Mobilicom may benefit from fortuitous downwind developments.
  • However, investors must recognize that this niche cybersecurity player is an attempt to swing for the fences and should only be engaged with money you can afford to lose.

Following the dangerous and destabilizing decision that Russia made to invade neighboring Ukraine, global observers marveled at the unexpectedly fierce resistance that the outgunned and outmanned Ukrainians delivered. In particular, the resourceful use of drones both as surveillance and offensive systems brought unmanned aerial vehicles (UAVs) into a new light.

Amid the favorable spotlight that drones garner lies a darker element: UAVs, like any other connected devices, are vulnerable to cyberattacks, potentially leading to myriad devastating consequences. To address this underappreciated but rapidly burgeoning gap, specialized cybersecurity firm Mobilicom Ltd provides comprehensive end-to-end solutions for drones, robotics and similar automated platforms.

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Though an intriguing niche industry that may expand into the mainstream, investors must realize upfront that the new listing for Mobilicom is a high-risk, high-reward venture. Certainly, it will not be appropriate for every market participant. Still, you ought to consider the key pros and cons before you make your final decision.

Mobilicom is a cybersecurity firm, carving out market share in a niche segment geared toward the protection of drones and other robotic and automated devices and equipment. Specifically, the company designs, develops and manufactures hardware, software and cybersecurity applications that are integrated into small drones — known as SUAVs — and robotics.

Based in Shoham, Israel, Mobilicom has a clientele list that covers the U.S. and Europe along with its home nation. Primarily, the company generates revenue through hardware sales. In addition, it pads the top line with licensing fees and support services related to its cybersecurity systems.

Per its website, Mobilicom holds patented technologies along with critical acumen regarding its digital network. As well, its international consumer base spans corporations, government agencies and military departments. The latter is an avenue that will likely spark interest within the investment community as Mobilicom’s products are resilient, capable of high performance even under harsh environmental conditions.

For most investors, the concept of cybersecurity revolves around PCs and data breaches of cloud-based networks. However, the digital compromising of drones is rapidly becoming a serious threat, which may involve vulnerabilities.

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  • Connectivity: Essentially, any device that is digitally connected to a wider network is vulnerable to nefarious activity. In particular, civilian drones only have access to a limited data band, which are not encrypted or authenticated. This security risk enables hackers to illicitly commandeer private drones, posing potentially severe repercussions.
  • Denial of service: What many consumers fail to realize is that a drone is basically a flying computer, subjecting it to the same risks as any internet-connected PC. One such risk is denial of service (DOS), which may allow a sophisticated hacker to damage the drone or the network to which it is connected.
  • De-authentication attacks: In one of the scarier security threats, a hacker can target a drone operating in mid-flight and essentially disconnect the communication between the device and the user, hence the term de-authentication. From there, the malicious actor can take over the compromised drone — and the worst part is that such attacks don’t require sophisticated knowledge.

With drones becoming more popular — in part because they offer fantastic views that previously were denied common households because of inaccessibly high costs — government agencies must devise frameworks for safe operation. However, a cyberattack can occur anytime, anywhere, thus drawing interest for the niche drone-cybersecurity industry.

When is the Mobilicom IPO Date?

One of the few new listings of this month, Mobilicom has scheduled its U.S. initial public offering (IPO) — the first time a private enterprise distributes its equity shares to retail investors — for June 23, 2022. Shares will trade on the Nasdaq exchange under the ticker symbol MOB.

Please note that Mobilicom shares are currently traded on the Australian Securities Exchange (ASX), also under the ticker symbol MOB. Therefore, this IPO is not a pure new listing since international investors have already had a chance to bid on shares.

The specialized cybersecurity firm intends to raise $10 million through the distribution of 2.2 million shares at $4.65. Under these terms, Mobilicom would command a market value of $20 million. ThinkEquity represents the sole bookrunner for this IPO.

Immediately, one of the main concerns for MOB stock is its diminutive capitalization. Typically, analysts won’t cover public listings that have a valuation below $50 million, which is already a subterranean demarcation. Therefore, investors must have strong conviction that MOB will eventually rank among the best nano-cap stocks.

At the same time, nano-cap stocks may present a mathematical advantage. For the big blue chips, investors benefit from stable businesses that feature a high probability of profitability. However, the magnitude of profitability could be small, perhaps even smaller than the rate of inflation. This circumstance explains why financial advisors recommend young investors take greater risks.

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On the flipside, nano-cap stocks feature a very low probability of profitability. However, when you find one that hits, it usually hits big. Further, you don’t need to spend as much nominally to accrue large gains. For instance, a 100% gain on $1,000 equates to $2,000, whereas to gain that much in profitability from a 10% gain requires one to invest $10,000.

Of course, from the above example, you could end up throwing away $1,000. Indeed, this is the more probable outcome for nano-cap stocks, so you must only invest money you are willing to lose.

The other administrative factor to consider regarding MOB stock is the currently barren IPO calendar. Because of myriad disruptions — mainly the economic shock along with the Ukraine crisis — companies with public ambitions have suddenly become gun shy. This dynamic also suggests that investors are unwilling to put their capital at risk.

The contrasting viewpoint, though, is that a dearth in fresh listings may inspire pent-up demand for IPOs. Marketing wise, MOB stock may receive coverage that it might not get under normal circumstances.

Wall Street analysts have little interest in nano-cap IPOs. However, it’s arguable that Mobilicom should make for an exception because of the extraordinary relevance of the underlying business.

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According to data compiled by Statista.com, sales of U.S. consumer drones to dealers surpassed $1.25 billion in 2020. Further, analysts at Goldman Sachs forecast that the total drone market size could be worth $100 billion based on demand from commercial and government sectors.

Another voice in the segment is Grand View Research, which estimates that the worldwide market for drones amounted to $13.44 billion in 2020. However, its analysts estimate that the industry will expand by a staggering compound annual growth rate (CAGR) of 57.5% between 2021 and 2028, culminating in a total valuation of $501.4 billion by the end of the forecasted period.

While a positive in terms of consumer sentiment, that many drones in the sky presents severe cybersecurity risks. Therefore, Mobilicom is poised to take advantage as one of the few specialists in the drone security field.

Although a compelling sector, the harsh reality is that Mobilicom has been trading in the ASX since the spring of 2017. Throughout its journey, the stock has lost more than 82% of market value, thus drawing serious questions about its viability.

Mobilicom Financial History

Unlike completely speculative firms, Mobilicom offers some encouraging data in its financials. For instance, in 2021, the company posted about $2.49 billion in sales, up about 73% against the prior year.

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However, investors must also recognize that Mobilicom reported a net loss of approximately $1.9 million in 2021, which is roughly equal to the amount it lost in the prior year. While it’s not unusual for technology-centric firms to lose money, under the current paradigm, growth-only companies are problematic.

Fundamentally, the upside narrative for Mobilicom centers on the increasing wave of drone technology and integration. Aside from the unique dynamics of the COVID-19 pandemic, tech costs decline over time, making drones much more accessible to everyday households. But that increased accessibility opens doors to security risks.

In addition, the ability for hackers to illicitly commandeer private drones poses threats to identify integrity and reputation. Put simply, nefarious actors can frame innocent people for crimes and acts of terror.

Still, investors must realize that MOB is a nano-cap stock, bringing extraordinary risks. And frankly, it hasn’t performed well in the international markets so some rightful skepticism exists.

Where to Buy Mobilicom IPO Stock

If you want to participate in Mobilicom’s IPO, you’ll need to know how to buy stocks. But before you take that step, you must sign up for a brokerage account. Below is a list of best brokers to consider.

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MOB Restrictions for Retail Investors

Review the Financial Industry Regulatory Authority (FINRA) rules on restricted persons before participating in an IPO. Don’t engage if you have privileged information.

MOB Pre-IPO

Unfortunately, no pre-IPO access is available for MOB stock. However, those interested in early bird opportunities should consider opening an account with Freedom Finance.

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Experienced Traders

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get started securely through Freedom Finance’s website

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1 Minute Review

Freedom Finance Europe Ltd, the only European-based stockbroker listed on the Nasdaq, gives investors the ability to participate in big-name initial public offerings (IPOs) — opportunities as exciting as Airbnb (NASDAQ: ABNB), Snowflake (NYSE: SNOW) or Robinhood (NASDAQ: HOOD). Freedom Finance commenced operations in 2008 with the IPO for Facebook (NASDAQ: FB). Subsequently, Freedom Finance offers its services to 350,000 global clients, allowing participation in over 250 IPOs through its convenient online platform, which includes 40,000 stocks, 1,200 exchange-traded funds (ETFs) and 147,000 bonds on the largest exchanges in Asia, Europe and the U.S.

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Best For

  • Persons from ages 30 to 65
  • Small- or medium-sized business owners
  • Customers looking for higher interest accounts
  • Experienced traders

Pros

  • Exclusive IPO access to Freedom24.com for European users
  • Minimum $2,000
  • Free promo plan
  • Free demo

Cons

  • No crypto investment opportunities
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IPOs

Is Ivanhoe Electric Inc. IPO a Good Investment?

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Is Ivanhoe Electric Inc. IPO a Good Investment?

Are you looking to buy an IPO? With Sofi Active Invest you can participate in upcoming IPOs before they trade on an exchange.

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  • Undergirding recent political chaos in the U.S. and Russia’s invasion of Ukraine is a growing rejection of globalized interests, thus sparking greater emphasis on resource security.
  • The upcoming new listing of mining firm Ivanhoe Electric is significant both for its deal size and its relevance toward the burgeoning electric vehicle (EV) industry.
  • Although Ivanhoe’s entry into the public arena is encouraging, investors must also realize the frail circumstances the broader markets find themselves in.

Intertwined in the often-vitriolic discourse between the two major parties in the U.S. is a growing criticism (and even outright rejection) of globalization. Generally speaking, the American DNA embodies resilience and independence — two attributes diametrically opposed to an internationally integrated ecosystem. This undercurrent may be one of the unspoken yet essential catalysts for the possible success of Ivanhoe Electric Inc.

A resource mining firm, Ivanhoe Electric focused on the metals and minerals that bolster the technologies of tomorrow — copper, nickel, cobalt and others. With the rollout of EVs taking on even more significance amid the backdrop of Russia’s invasion of Ukraine, industrial metals command supreme pertinence. At the same time, where such commodities are sourced is another critical issue, which is where Ivanhoe enters front and center stage.

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Focusing its attention on developing mines primarily located in the U.S., Ivanhoe ultimately seeks to foster supply chain independence — a crucial goal amid escalating geopolitical tensions. Nevertheless, while extraordinarily relevant, investors must carefully assess the pros and cons of this new listing before moving forward. Below are the key factors to consider.

What Does Ivanhoe Electric Do?

A minerals exploration and development firm, Ivanhoe Electric focuses on mining projects that will aid the electrification of transportation. Primarily, this ambitious target centers on metals such as copper, gold, silver, nickel, cobalt, vanadium and the platinum group metals (i.e., platinum, palladium, ruthenium, rhodium, osmium and iridium).

Naturally, the significance of this framework is the potential to rebalance the geopolitical equation in the favor of the U.S. and its allies. Currently, Russia and China produce a significant amount of resources that are central to the development of EVs. Indeed, one of the less appreciated undertones of the crisis in Ukraine is that the embattled nation enjoys potentially massive untapped lithium reserves.

Headquartered in Vancouver, Canada, Ivanhoe’s potential ability to tap North America’s resource base could help balance the scales of this implied cold war in critical minerals. As an added note, The Globe and Mail claims that Ivanhoe’s upcoming initial public offering (IPO) will be the first North American new listing in more than four weeks.

Below are some key advantages that the mining firm levers.

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  • Domestically geared: Although the rapid and unprecedented expansion of the real M2 money stock arguably represented the primary catalyst for inflation, Moscow’s military aggression toward Ukraine didn’t help. As promised, sanctions hit Russia, which in retaliation effectively shelved significant portions of global energy supplies, leading to more dollars chasing fewer units of energy. Bolstering domestic production of critical commodities could help eliminate seismic economic shocks.
  • Big backing: Ivanhoe’s CEO is Robert Friedland, a 71-year old billionaire who amassed his extraordinary wealth through developing mines around the world. When Friedland speaks, people (with money) listen. Combining industry acumen with large financial backing, Ivanhoe is an IPO worthy of consideration among institutional investors and high-net-worth individuals.
  • Indirect EV trade: Although EVs represent an exciting sector, the challenge from an investor’s perspective is recognizing which brands will succeed and which ones will flop. Invariably, not every direct competitor in the space can rise. However, Ivanhoe is more aligned as an infrastructural investment, meaning that it’s selling tickets to the game, not rooting for a particular score line.

Ivanhoe may benefit from political frustrations. With pain at the pump and in the grocery aisle, consumers are blaming the increasingly embattled Biden administration. Under this backdrop, Ivanhoe offers a logically compelling message: leverage the potentially untapped resources of the U.S. to save the American public.

When is the Ivanhoe Electric IPO Date?

One of the most anticipated entries into the IPO calendar in the year so far, Ivanhoe Electric presents a sharp contrast to the tepid offerings seen prior to it. Not only were IPOs few in number, but the private enterprises that dared to list their equity shares to public investors were also essentially nano-capitalization firms.

That won’t be the case with Ivanhoe Electric, which plans to raise $174 million through the distribution of 14.4 million shares. The expected price range is between $11.75 and $12.50. At the midpoint of this estimate spectrum, the mining firm will command a fully diluted market value of approximately $1.15 billion.

The expected IPO date for Ivanhoe is June 24, 2022. Shares will trade on the NYSE American exchange under the ticker symbol IE. Simultaneously, the company will list on the Toronto Stock Exchange (TSX) under the same ticker. Bank of Montreal (NYSE: BMO), Jefferies Financial Group Inc. (NYSE: JEF) and JPMorgan Chase & Co. (NYSE: JPM) represent the joint book runners for the deal.

Given that many of the recent new listings have been nano-cap plays — firms with market caps around or below $50 million — Ivanhoe’s public market debut is a much-needed boost of optimism. Understandably, because of the onerous weight of inflation, companies are hesitant to rock the boat. For instance, businesses that performed exceptionally well during the immediate post-COVID-19 cycle like Netflix Inc. (NASDAQ: NFLX) are now being forced to lay off their employees.

Here, Ivanhoe is expanding its footprint, thus swimming against the economic current. The bold decision can certainly inspire other companies to take a shot at going public. Of course, the advantage for IE stock specifically is that it commands the entire spotlight to itself.

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Still, myriad risks exist, mainly stemming from the dangers of being a guinea pig. At present, the equities sector appears shaky, with the major indices down double digits on a year-to-date basis heading into Ivanhoe’s IPO. Also, with the Federal Reserve committed to combating inflation through raising the benchmark interest rate, an environment of ascending borrowing costs is not conducive for growth-oriented businesses.

What Analysts are Saying About Ivanhoe Electric IPO

Being one of the biggest IPOs this year along with its extraordinary relevance to the current geopolitical climate, Wall Street analysts will likely weigh in on IE stock in the weeks and months ahead. For now, the main bullish thesis centers on the viability of the copper market.

According to experts in the field, copper consumption by EVs is projected to be over 4,800 kilotons (kt) by 2040. In contrast, electric-powered vehicles consumed approximately 500 kt of copper last year or a magnitude differential of 860%. And that’s not including other sources of copper consumption, which could increase from the rising global population. Therefore, Ivanhoe is poised to be a sector leader should its developmental ambitions pan out.

Another factor to consider regarding IE stock is the underlying domestic footprint. Ivanhoe features two material mineral projects, the Santa Cruz Copper Project in Arizona and the Tintic Copper-Gold Project in Utah. From pandemics to open warfare, Americans have suddenly experienced the darker side of globalization: painful vulnerabilities when previously garnered relationships and alliances fail. Fortifying critical resource supply chains could go a long way toward easing economic burdens for American citizens.

Still, no IPO is without downside risks. Primarily, the mining sector is one of the most vulnerable in the markets. Should a recession capsize the economy, IE stock may lose much of its luster. In addition, there’s no guarantee that EVs will take over the broader transportation network. For instance, charging infrastructure remains a significant roadblock to mainstream integration.

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Ivanhoe Electric Financial History

Although much fanfare surrounds the public market debut of Ivanhoe Electric, prospective investors will be absorbing significant risks since the business is largely aspirational. In the year ended March 31, 2022, Ivanhoe booked $10 million in revenue. It’s a small tally for a company valued at $1.15 billion and that’s because the underlying mining projects are still in the exploration phase and have not yet generated revenue.

Instead, Ivanhoe has depended on two sales channels: one from the ownership of a data-processing firm catering to the oil and natural gas industry and another from the development of vanadium-flow batteries. Nevertheless, the core mining business has to come through for Ivanhoe. Otherwise, it could be a long day for investors.

Ivanhoe Electric Potential

Considering the context of the new normal, Ivanhoe’s IPO is incredibly relevant as it may help fortify resource-based supply chains. With geopolitical tensions escalating, there’s never been a more important time to be resilient.

Still, the current context also poses challenges because of looming recession fears. Should the economy tumble badly, Ivanhoe’s relevance could end up becoming a moot point.

Where to Buy Ivanhoe Electric IPO Stock

If you want to participate in Ivanhoe Electric’s IPO, you’ll need to know how to buy stocks. But before you take that step, you must sign up for a brokerage account. Below is a list of best brokers to consider.

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IE Restrictions for Retail Investors

Review the Financial Industry Regulatory Authority (FINRA) rules on restricted persons before participating in an IPO. Don’t engage if you have privileged information.

IE Pre-IPO

Unfortunately, no pre-IPO access is available for IE stock. However, those interested in early bird opportunities should consider opening an account with Freedom Finance.

Best For

Experienced Traders

Advertisement

get started securely through Freedom Finance’s website

Best For

Advertisement

Experienced Traders

1 Minute Review

Freedom Finance Europe Ltd, the only European-based stockbroker listed on the Nasdaq, gives investors the ability to participate in big-name initial public offerings (IPOs) — opportunities as exciting as Airbnb (NASDAQ: ABNB), Snowflake (NYSE: SNOW) or Robinhood (NASDAQ: HOOD). Freedom Finance commenced operations in 2008 with the IPO for Facebook (NASDAQ: FB). Subsequently, Freedom Finance offers its services to 350,000 global clients, allowing participation in over 250 IPOs through its convenient online platform, which includes 40,000 stocks, 1,200 exchange-traded funds (ETFs) and 147,000 bonds on the largest exchanges in Asia, Europe and the U.S.

Advertisement

Best For

  • Persons from ages 30 to 65
  • Small- or medium-sized business owners
  • Customers looking for higher interest accounts
  • Experienced traders

Pros

  • Exclusive IPO access to Freedom24.com for European users
  • Minimum $2,000
  • Free promo plan
  • Free demo

Cons

  • No crypto investment opportunities
Advertisement

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IPOs

Is Heart Test Laboratories Inc. IPO a Good Buy?

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Is Heart Test Laboratories Inc. IPO a Good Buy?

Are you looking to buy an IPO? With Sofi Active Invest you can participate in upcoming IPOs before they trade on an exchange.

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  • While heart disease is the leading cause of death in the U.S., the condition is difficult to pinpoint as many patients don’t suffer from symptoms.
  • Early identification at the point of care can be a lifesaver, which is what Heart Test Laboratories aims to be with its groundbreaking ECG system.
  • Though one of the most compelling new listings to come out in recent memory, this micro-cap idea may not be appropriate for all investors.

With any dilemma, early identification is often vital to achieving a resolution, but for Heart Test Laboratories Inc., the stakes are significantly high. A medical technology firm, Heart Test specializes in advanced electrocardiogram (ECG) machines designed to be deployed in frontline medical services or at point-of-care clinics. In this manner, medical professionals can identify serious cardiovascular conditions thereby directing patients to appropriate resources.

Unlike standard ECG machines, Heart Test’s iteration is holistic in nature. According to the company’s Form S-1 disclosure, three basic categories of heart disease exist: electrical (such as an arrhythmia), structural (such as valvular disease) and ischemic (such as coronary artery disease or CAD). Conventional ECG machines have limited detection profiles, mainly focused on diagnosing cardiac rhythm abnormalities.

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The beauty of Heart Test’s ECG system — and hence interest in its upcoming market debut — is that it diagnoses all three categories of cardiovascular disease. Even better, the platform features a relatively low-cost profile, along with leveraging portability and ease of use, enabling non-specialty centers to detect serious conditions in patients who may otherwise be visiting for routine checkups.

Given that heart disease is the number one cause of death in the U.S. — killing more women than all cancers combined, according to the University of Utah — early and accurate detection is vital. Armed with Heart Test’s ECG machines, health clinics across the nation could potentially facilitate life-saving guidance.

Still, as with any new listing, careful research and due diligence is key. Below are the pros and cons to consider for Heart Test Laboratories.

What Does Heart Test Laboratories do?

One of the most exciting medical technology companies to come down the new-listing pipeline, Heart Test Laboratories aims to manufacture and distribute a comprehensive and accurate cardiac screening platform. Unlike industry standard fare, Heart Test’s ECG machine — called MyoVista wavECG — leverages innovative artificial-intelligence (AI) protocols to expand the utility of cardiovascular screening.

According to the Centers for Disease Control and Prevention (CDC), one person dies every 36 seconds in the U.S. from heart disease. This rate translates to 659,000 deaths per year, accounting for one in every four fatalities. With related conditions like hypertension called silent killers because of their lack of symptoms in many patients, early detection is pivotal.

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Fortunately, Heart Test may have the answer with its potentially paradigm-shifting platform. In addition, the company levers these key advantages:

  • Comprehensive coverage: As stated earlier, the main headwind for conventional ECG machines is their limited scope of screening ability and accuracy. The MyoVista system broadens the coverage footprint, enabling non-cardiovascular-specialty clinics to identify critical problems in patients and to direct them to appropriate treatment centers.
  • Force multiplier: Assuming the MyoVista system successfully meets regulatory requirements and that it works as advertised, Heart Test will essentially become a force multiplier by identifying cardiovascular disease without the use of onerous and expensive diagnostic platforms. This dynamic would be helpful for patients and the already-taxed healthcare infrastructure.
  • Low cost: Prior to the development of MyoVista, patients who suspect heart disease must undergo rigorous testing methods such as an echocardiogram (echo), a technology similar to ultrasound and can range between $600 to $3,000. However, the MyoVista should have an overall low-cost profile, a perfect medical mitigation for the current inflationary cycle.

On a final note, Heart Test’s first algorithm for its AI-enabled MyoVista platform is not yet approved by the Food and Drug Administration (FDA). Therefore, the long-term viability of the company’s initial public offering (IPO) — or the first time a private enterprise distributes its equity shares to retail investors — may hinge on whether it achieves regulatory success.

When is the Heart Test Laboratories IPO Date?

After a dreadful lull in public market debuts this year, the IPO calendar is finally seeing growth in entries. Though nowhere near the intensity of participation witnessed in 2020 and 2021, that sentiment for this risky category is a net positive.

Barring unusual circumstances, Heart Test is scheduled to make its entrance in the public arena on June 15, 2022. The Southlake, Texas-based company plans to raise $8.8 million through the distribution of 1.75 million units at a price range between $4.50 and $5.50. Each unit consists of one share of common stock and one warrant exercisable at the initial offering price, which is typically revealed a day prior to the IPO.

Heart Test plans to list its shares on the Nasdaq exchange under the ticker symbol HSCS. The Benchmark Company represents the sole bookrunner for this IPO.

To be clear, the inclusion of warrants adds another layer of risk to the deal. Typically (though it’s not always the case), companies that are stretched cash wise will issue warrants. Further, warrants are necessarily dilutive because their exercise results in the minting of newly issued stock as opposed to the transfer of already-outstanding stock.

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What Analysts are Saying About Heart Test Laboratories IPO

As a micro-capitalization company, mainstream analysts have not weighed in on Heart Test Laboratories. That said, the medical tech firm’s Form S-1 disclosure provides plenty of material by which you can conduct independent research.

On the bullish front, Heart Test’s MyoVista platform could be a gamechanger in the diagnostics space. Per the CDC’s data, heart disease cases cost the U.S. economy $363 billion each year between 2016 and 2017, including the cost of health care services, medicines and lost productivity from death.

In addition, the agency reports that 805,000 people in this country suffer from a heart attack every year. Even more startling, one in five heart attack cases are silent, meaning that the “damage is done, but the person is not aware of it.” To mitigate the widespread negative impact of cardiovascular disease, effective screening is necessary, playing directly into the hands of Heart Test’s AI-driven ECG machine.

Just as critically, the MyoVista platform is (relatively) low cost, accessible and intuitive. Potentially, general care clinic can deploy the system and provide lifesaving diagnostics. As well, the effectiveness of MyoVista will help prevent patients from undertaking unnecessarily intensive and costly screening alternatives.

Of course, no investment is without risk, and the main one is the capriciousness of the broader healthcare segment. Should the MyoVista algorithm fail to achieve FDA approval, investors can quickly lose patience, thus flatlining HSCS stock.

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Also, innovative medical proposals require plenty of cash to catalyze and maintain forward progress. Even if MyoVista passes regulatory trails with flying colors, the myriad distractions and headwinds of the day could sink HSCS stock.

Heart Test Laboratories Financial History

While Heart Test’s MyoVista appears to command a potential medical breakthrough, every prospective buyer must assess the company’s financial statements. Here, a harsh reality sets in.

For one thing, Heart Test generates minimal revenue: $64,182 in the year ended April 30, 2020, and only $25,604 in fiscal year 2021. In the nine months ended Jan. 31, 2022, the company rang up $10,224 against a staggering net loss of nearly $2.8 million.

With such hefty losses, Heart Test’s issuance of warrants in its IPO should raise eyebrows. Essentially, if the company cannot secure a healthy dose of funding, it’s vulnerable to intense market volatility.

Heart Test Laboratories Potential

While heart disease may be the greatest scourge on the U.S. healthcare system, the tragedy is that it doesn’t have to be. With proper diagnosing and the appropriate treatment course, many affected by cardiovascular conditions may enjoy otherwise healthy and productive lives. However, early and accurate detection is key — and this of course is central to the narrative of Heart Test Laboratories.

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At the same time, what will trip up prospective investors of HSCS stock is the underlying financials. With Heart Test suffering steep net losses against very minimal sales, it’s mostly dependent on investor funds. Unfortunately, this sentiment can dry up should regulatory speedbumps materialize.

Ultimately, HSCS stock is a high-risk, high-reward venture that can very well change the paradigm of cardiovascular diagnostics. But to be sure, it’s not an appropriate investment for everyone as the stock is potentially vulnerable to extreme volatility.

Where to Buy Heart Test Laboratories IPO Stock

If you want to participate in Heart Test’s IPO, you’ll need to know how to buy stocks. But before you take that step, you must sign up for a brokerage account. Below is a list of best brokers to consider.

HSCS Restrictions for Retail Investors

Review the Financial Industry Regulatory Authority (FINRA) rules on restricted persons before participating in an IPO. Don’t engage if you have privileged information.

HSCS Pre-IPO

Those interested in acquiring shares of Heart Test Laboratories on a pre-IPO basis — or shares at their initial offering price — can open an account with ClickIPO. Keep in mind that while buying at this favorable rate is initially advantageous, the market always has the last word.

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Is bioAffinity Technologies Inc. IPO a Good Buy?

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Is bioAffinity Technologies Inc. IPO a Good Buy?

Are you looking to buy an IPO? With Sofi Active Invest you can participate in upcoming IPOs before they trade on an exchange.

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  • Early detection is the key in addressing potentially fatal diseases like cancer, an area that bioAffinity Technologies specializes in.
  • Leveraging an early screening platform for lung cancer and related conditions, bioAffinity aims to improve health outcomes for patients.
  • While an intriguing concept, investors of new public listings must exercise extreme caution, particularly for pre-revenue and small-cap opportunities.

Getting on top of a problem quickly and accurately is the main calling card for bioAffinity Technologies Inc., one of the most innovative biotechnology firms that will soon launch a new public listing. Specializing in the diagnosis of early-stage cancer and diseases of the lung, bioAffinity seeks to improve health outcomes for patients by addressing dangerous conditions before they metastasize. Additionally, bioAffinity owns a subsidiary that engages in targeted oncological therapy.

According to the American Lung Association, the “five-year survival rate for lung cancer is 56 percent for cases detected when the disease is still localized (within the lungs). However, only 16 percent of lung cancer cases are diagnosed at an early stage. For distant tumors (spread to other organs) the five-year survival rate is only 5 percent.” Thus, it’s not just about early detection but also accurate diagnoses.

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Here, bioAffinity offers a potential game-changing platform. Using a unique iteration of flow cytometry — a technique deployed to detect and measure physical and chemical characteristics of a population of cells or particles — this advanced biotech firm can accurately find cancer cells through the patient’s sputum or phlegm. The main advantages of this mechanism are high accuracy, relatively low cost and non-invasive.

As well, bioAffinity’s subsidiary, OncoSelect Therapeutics, leverages the principles of flow cytometry to develop targeted therapeutics to fight cancer. By using porphyrins — or cancer-selective molecules — OncoSelect is on the frontlines of novel therapeutics that systemically seek and destroy cancerous cells while leaving normal functioning cells alone.

Essentially, bioAffinity provides a two-pronged attack in the oncology field, improving health outcomes through early detection and targeted therapeutics for those in the later stages of cancer. Still, plenty of biotech prospects have generated excitement only to flounder. Below are the pros and cons to consider.

What Does bioAffinity Technologies Do?

A cancer-diagnostics and oncology specialist, bioAffinity Technologies is on a mission to drastically improve patient outcomes for those suffering from diseases of the lung, particularly lung cancer. To achieve this aim, bioAffinity developed its first diagnostic test called CyPath Lung, which leverages flow cytometry to analyze single cells or particles for accurate detection of cancer and other diseases.

Recently, the company completed a 150-patient test validation trial of medical subjects who are particularly vulnerable for developing lung cancer. The test resulted in overall 88% specificity and 82% sensitivity. In the second quarter of 2022, management revealed that it plans to perform a controlled launch of CyPath Lung in Texas, followed by regional expansion.

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By the third quarter of 2023, bioAffinity will be shooting for a staged nationwide expansion of sales and marketing. In addition, below are some of the biotech’s key advantages to consider.

  • Immediate impact: Should CyPath Lung achieve continued clinical (and eventually commercial) successes, the diagnostics platform could have an immediately positive impact, not only for bioAffinity but for the broader healthcare system. Lung cancer is the most economically onerous cancer worldwide, meaning that any mechanism to detect and address this disease early can spark myriad downwind benefits.
  • Two for the money: Under the subsidiary OncoSelect Therapeutics, bioAffinity investors have access to a holistic business that delivers solutions across multiple points in the oncology spectrum. Further, the field of targeted cancer therapeutics is a burgeoning one, especially because traditional methodologies involve brute-force attacks that kill both cancerous and normal cells.
  • Easing fears: Undoubtedly, one of the many reasons why cancer goes undetected until it advances into the later stages is iatrophobia — the fear of doctors. However, because CyPath Lung is non-invasive and relatively convenient to administer, it may help those with varying degrees of iatrophobia, thus broadly improving health outcomes.

Finally, it’s important to point out that CyPath Lung is more of a complementary tool rather than a competing one. With the system, medical doctors are better able to prescribe appropriate regimens for their patients, thus mitigating the potential of unnecessary disruption in the oncology ecosystem.

When is the bioAffinity Technologies IPO Date?

One of a very few though growing number of new listings this year, bioAffinity Technologies is scheduled to launch its initial public offering (IPO) — or the first time a private enterprise distributes its equity shares to retail investors — on June 22. The biotech firm plans to list its stock on the Nasdaq exchange under the ticker symbol BIAF.

According to its amended Form S-1 disclosure with the U.S. Securities and Exchange Commission (SEC), bioAffinity plans to distribute 1.5 million units at an assumed offering price of $6.75. This setup would entail a raise of $10.1 million, though earlier reports regarding the IPO suggested that management was seeking to raise up to $15 million. WallachBeth Capital represents the sole bookrunner for the deal.

Administratively, the debut of BIAF stock presents an interesting dynamic. On the positive front, bioAffinity is one of the few new listings that will print its name on the IPO calendar. With so few companies making their public market debuts because of troubling economic conditions so far in 2022, speculative investors will be more likely to pay attention.

On the other hand, troubling economic conditions don’t exactly make for an encouraging backdrop to participate in IPOs, which are risky during the best of times. Specifically, the Federal Reserve is poised to raise the benchmark interest rate, spelling trouble for an equities sector already reeling from inflationary pressures.

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Add in the point that this IPO is a small raise for a micro-capitalization firm and BIAF stock could possibly be an eventful investment — but not in a positive way.

What Analysts are Saying About bioAffinity Technologies IPO

As a very small biotech outfit, few analysts have bioAffinity on their radar. To be blunt, this basis alone is enough to strongly imply that BIAF stock is not an appropriate opportunity for everyone. Nevertheless, if you’re looking for a name to add to your portfolio that’s earmarked for speculation, BIAF could be interesting.

Perhaps the most important potential catalyst for bioAffinity is the market growth rate. According to data provided by Global Industry Analysts, Inc., the broader push for early detection protocols has increased global demand for lung cancer diagnostics. Therefore, experts in the field project that worldwide demand should hit $3.4 billion by 2026. Of this portion, the U.S. diagnostics segment is expected to reach a valuation of $843.4 million.

Another aspect bolstering bioAffinity is increased demand for rapid-diagnosis tests. This circumstance arrived rather fortuitously for the biotech firm as the COVID-19 pandemic raised awareness for the importance and viability of the medical diagnostics industry. And because the underlying CyPath Lung platform is non-invasive, user integration should be more welcomed.

However, bioAffinity also lags from key headwinds that prospective investors should not ignore. On a fundamental basis, the company does not enjoy complete product certification, meaning that regulatory challenges still exist. As well, bioAffinity is largely an aspirational enterprise, with most of its products in the early development stage.

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bioAffinity Technologies Financial History

As with any aspirational biotech firm, the tipping point between participation and sitting on the sidelines comes down to the financials. For bioAffinity, the situation isn’t exactly pleasant and that’s based on its own risk disclosures.

Per the company’s Form S-1, since its inception in 2014, bioAffinity has generated zero sales of its CyPath Lung test, and it has funded its operations principally through private sales of equity or debt securities. Further, the company has never been profitable and as of March 31, 2022, has an accumulated deficit of $30 million.

bioAffinity Technologies Potential

The potential of BIAF stock rests on the clinical and commercial success of CyPath Lung. While OncoSelect Therapeutics’ targeted cancer-treatment protocol is exciting, it’s also reaching for the stars. Realistically, the lung-cancer diagnostics platform features greater appeal from a relatively strong track record and the ability to promote broadly positive health outcomes.

At the same time, if every piece of marketing literature from the biotech industry rang true, society at large would presumably have eliminated a vast number of debilitating diseases and conditions. Which is to say that the sector tends to promise much but deliver little in the grand scheme of things.

Ultimately, it’s of utmost importance that prospective investors conduct due diligence before wading into this volatile arena.

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Where to Buy bioAffinity Technologies IPO Stock

If you want to participate in bioAffinity’s IPO, you’ll need to know how to buy stocks. But before you take that step, you must sign up for a brokerage account. Below is a list of best brokers to consider.

BIAF Restrictions for Retail Investors

Review the Financial Industry Regulatory Authority (FINRA) rules on restricted persons before participating in an IPO. Don’t engage if you have privileged information.

BIAF Pre-IPO

Those interested in acquiring shares of bioAffinity Technologies on a pre-IPO basis — or shares at their initial offering price — can open an account with ClickIPO. Keep in mind that while buying at this favorable rate is initially advantageous, the market always has the last word.

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