We continue to see plenty of chatter on social media about Claritas Pharmaceuticals so we figured we would go ahead and do a deep dive fundamental analysis on the company. But is Claritas Pharmaceuticals a good investment? Let’s take a closer look at the fundamentals and technicals to see if there is a buy opportunity here.
Related: COVID Biotech Stock Soars 253% this Week
Claritas Pharmaceuticals (KALTD), formerly Kalytera Therapeutics, recently shifted from a CBD therapeutic company to a pharmaceutical company developing nitric oxide treatments for two indications including covid-19. The company is headquartered in San Francisco, CA. Claritas is a development stage pharmaceutical company focused on applications of nitric oxide to fight infections from vaccine-resistant covid strains. They have 2 lead compounds currently but none which are approved or for sale.
Related: 3 Pot Stocks Impacted by COVID-19
As you probably know, u is expensive to develop drug candidates. The company has reported in Q1 2021 income losses of $2.3 million with net losses of almost $14 million. Total assets were around $8 million. To fund themselves, they’ve recently turned to Obsidian Global Partners in a private placement offering with three tranches. This will work in the short term. In the longer term, the management team will have to keep searching for funding through equity financings and partnership collaborations.
Related: 3 Strong Buy & Hold Hemp Stocks for 2021
Follow Stephen Goldman as he evaluates Claritas with triple moving averages, the CCI, and the Awesome Oscillator
Bottom Line: Is Claritas Pharmaceuticals a Good Investment?
Kalytera (now Claritas) entered into an agreement to acquire the Salzman Group and develop and commercialize a covid-19 drug (R-107; nitric oxide). They used 49.9% of Kalytera’s outstanding shares to do so and approved a 20:1 reverse stock split. The Salzman Group had federal funding from the United States government ($25 million USD) to develop the nitric oxide drug to help fight covid-19 and vaccine-resistant strains.
Related: Why are we going long on Curaleaf During COVID-19?
They recently announced data demonstrating the effectiveness of nitric oxide overall (R-107 is a prodrug of nitric oxide) in patients with severe covid19 pneumonia. This is great proof of concept but we think nitric oxide treatments overall are a risky one. Either way they are a long way from a having revenue from an approved drug.
Related: GW Pharmaceuticals: High Expectations for this Hemp Stock
Interestingly, the company requested a trading halt to the IIROC in Canada. They did so on August 18th. This isn’t atypical but definitely raises eyebrows as to their thinking on a press release to come. The Obsidian deal was also announced on the 18th of August.
Is Claritas Pharmaceuticals a Good Investment? Fundamentally and technically, we believe Claritas Pharmaceuticals is not a good investment at this time.
Cannin Investment Group: Your CBD Stocks Experts
Cannin.com is your trusted resource for top CBD stocks. Our team of financial experts evaluates all emerging hemp stock investing opportunities. We aggregate hundreds of hours of market research to provide tips on the best CBD stocks for 2021.
Use Cannin as your resource for:
Is it too late to invest in CBD stocks? No! This is the perfect time to invest.
Wall Street analysts expect the global cannabis industry will have an annual value exceeding $75 Billion in the next decade. The time to invest in CBD stocks is now.
Are you interested in the best CBD stocks for 2021 like HempFusion, Inc., Charlotte’s Web, Canopy Growth, or Hemp Inc.?
Are you looking to buy stock in CBD companies or stock in cannabis companies in 2021? Interested in penny hemp stocks? Interested in leveraging the power of algorithmic stock trades to profit from CBD stocks? Looking for the best Canadian cannabis stocks? We can help.
Predict price movements of CBD stocks several hours in advance with our proprietary algorithmic stock trading software.
- +30% Gains in 2020
- +49.8% Gains in 2019
- Backtested since 2012
At Cannin, we’re so confident you’ll love our algotrading stock signals, we’re willing to give you a one-month risk-free trial to see it for yourself.
Profit from the best CBD stocks – we’ll show you how at cannin.com.
