Another piece of the digital health and wellness puzzle
ImpediMed (ASX:IPD) announced on Thursday that its new SOZO product is available for global pre-order. The product allows consumers and patients to measure and track their body composition, fluid status and hydration in a variety of settings.
In terms of its overall operations, Brisbane based ImpediMed is a leading player in the development and distribution of medical devices employing bioimpedance spectroscopy (BIS) technologies for use in the non-invasive clinical assessment and monitoring of fluid status in patients.
The company has the first medical device with FDA clearance in the US to aid healthcare professionals in clinically assessing secondary unilateral lymphoedema of the arm and leg in women and the leg in men.
With regards to the SOZO product it is an intuitive digital health device and wellness platform that combines BIS technology with artificial intelligence to create a rapid, non-invasive scan of a person’s body providing a precise and repeatable snapshot of a person’s body composition, fluid status and hydration.
Predictive analytics in SOZO can access cloud-based historical health data in order to create customised plans for user’s personal health and wellness goals. The technology is compatible with iOS and android devices.
At a time when wearable devices that measure physical performance are coming under the spotlight, it could be a stock to watch. One only has to look at the success of Catapult Group International (CAT) to see the success that these stocks are having. Its shares have increased three-fold in the last 12 months from circa $1.30 to yesterday’s close of $3.94.
ImpediMed has also had a good run with its share price more than doubling from 77 cents in April to hit an intraday high of $1.71 yesterday.
The share price performances of ImpediMed or Catapult Group should not be used as a guide to future performance or be used to as a basis for an investment decision.
Scott Power from Morgans CIMB likes the stock and on Friday morning he increased his target price from $1.97 to $2.13, implying a premium of 25% to yesterday’s closing price of $1.70.
However, it should be noted that broker projections and price targets are only estimates and any investment decision should not be based solely on this information.
Power is forecasting ImpediMed to deliver a maiden profit of $16.4 million in fiscal 2018, representing earnings per share of 4.4 cents. He said his investment view remained positive and expects upcoming news flow will move the share price higher.
This should include regular updates on US L-Dex adoption and sales, as well as progress on inclusion of lymphoedema in additional cancer guidelines.