Below I report an in-depth and detailed research on a rapidly growing company, able to simulate, thanks to its technology, the effects of drugs without causing the adverse effects they cause.Its technology was licensed from parent company Emulate therapeutics, now in a Phase 3 brain cancer treatment.Now the technology, with the associated global patents, belongs to hapbee
Investment RationaleOver 70% of Americans suffer from some sort of sleep disorder and in 2021 spent over $65 billion onsleep stimulants to combat it. That number is estimated to grow to $120 billion by 2027. Generationaldemand, increased focus on sleep, and digital wellness as routine are the catalysts for growing demand in the industry. Hapbee’s revenue is growing at a CAGR of 40% for the past 3 years.
Based on DCF valuation, we estimate Hapbee’s EV to be ~$87 million, which is more than 10 times its current EV. This projection is in line with our relative valuation analysis. Companies similar in size and operations as Hapbee – Nyxoah SA, Biotricity Inc, and Senzime AB – are trading at an average PS multiple of 29, compared to Hapbee’s multiple of 2.8. That implies more than 10x upside for Hapbee stock.
Right now, Hapbee is selling products only to online consumers and the opportunity to expand is enormous. Retail sales are now just beginning to happen for Hapbee and we expect to see them have a material impact on revenues over the next few years. This growth with further be boosted by sales to Enterprise and military/government. In light of this, I believe in current growth projections are conservative.
Business Overview
Hapbee Technologies, Inc. was founded in 2019 and has its head office in Vancouver. On October 30, 2020, the company’s Subordinate Voting Shares were listed on the TSX Venture Exchange (TSXV: HAPB). It is also listed on OTCQB: HAPBF .
Hapbee is a digital wellness company focused on helping people sleep better, stress less, and perform optimally - without chemicals or stimulants. Its patented technology delivers the effects of compounds like melatonin, caffeine, nicotine, (and many others) digitally – without ingesting them. The companymakes and sells wellness wearables like Wearable Neckbands and Smart Sleep Pad that createsensations (impact) through electromagnetic field technology. The impacts can be divided into mood,performance, and sleep. All is controlled by the Hapbee App from any mobile device.
Hapbee is based on technology developed by the US Navy and is being used by pro athletes, active & retired military service members, everyday people, and a growing community of health & wellness professionals. In August 2023, Hapbee received its largest retail distribution commitment to date from Target. Starting October 2023, Hapbee’s Smart Sleep Pad will be available for retail purchase in the Digital Health department of 104 Target retail stores and on Target.com. In July 2023, Hapbee was awarded Nexus Certification by Grey Team, which recognizes Hapbee as an effective tool in suicide prevention among members of the United States Military Community.
The Hapbee App available on both iOS and Android smartphones is used to operate Hapbee devices.On the Hapbee App, many signal blends and routines can be used to create an extensive range ofexperiences using the company's patented ultra-low radio frequency energy (ulRFE®) technology. The app requires users to subscribe monthly or annually. The company has acquired exclusive global licenses to adapt the ulRFE technology for a non-medical consumer product aimed at the wellness industry. This technology is developed by EMulate Therapeutics, Inc. They have received 47 global patents on technologies relating to the Hapbee Wearable Wellness Product.
For more info read the following research article (source):
https://drive.google.com/file/d/1c7F9Wu9S9zu0d5mW_lE2S1EI-SJVK4AK/view
Submitted September 03, 2023 at 06:10AM by WilliamBlack97AI https://ift.tt/De1RaVP
