BALTIMORE, Maryland, March 12, 2019 /PRNewswire/ -- Goldman Small Cap Research, a stock market research firm specializing in the small cap and microcap sectors, announced today that it has released a new Company Spotlight article on high profile biomedical company Q Biomed Inc. (QBIO). To view this article, along with disclosures and disclaimers, or to download them in their entirety, please visit http://www.goldmanresearch.com.
In the Goldman Small Cap Research Company Spotlight article, analyst Rob Goldman features an analysis of recent events and his take on the future impact it will have on Q Biomed.
Biomarker Could Revolutionize Glaucoma Detection and Progression Measurement
Yesterday, Q Bio announced that it exercised its option to exclusively license "GDF15", a diagnostic marker for determining the severity of glaucoma using the expression levels of Growth Differentiation Factor 15 (GDF15) from the Washington University in St. Louis. In our view, this is a landmark event not just for Q Bio but for current and future sufferers of glaucoma, whose numbers could reach 80-100 million by 2020, according to market research sources. Glaucoma is the second leading cause of blindness and it is a lifelong disease, once diagnosed. There is no cure for the progressive disease and current therapies tend to reduce intraocular pressure elevation, which is one of the key factors that can lead to glaucoma progression.
One of the scary characteristics of the disease is its propensity to progress or change without warning---making the use of GDF15 so potentially critical in diagnostic tools. Currently, there is no single examination or diagnostic test to accurately predict progression of the disease. Thus, we believe that this biomarker could be used to develop an industry standard by which physicians can detect and determine the rate of progression for all sufferers. Moreover, if accuracy is proven in future trials and studies, it could ultimately be used as a surrogate biomarker to ocular therapy clinical trial endpoints.
Importantly, glaucoma is diagnosed via a comprehensive eye exam, including visual field testing and tonometry, which measures pressure inside the eye as a means to determine if increased risk factors for glaucoma exist. While the gold standard in intraocular therapy testing, this method is not truly counted on for diagnostic purposes as it relates to determining progression. With the advent of GDF15, perhaps the market does not need wait much longer for a proper solution. Against this backdrop, we believe GDF15 could become a standard-bearer and a patient quality-of-life enhancer in all stages of the glaucoma market, estimated to reach $3.3B in 2026 by 2026, according to Transparency Market Research.
GDF15: Precision Medicine for Ocular Sciences
GDF15 was recently identified as a novel and promising biomarker for glaucoma, and its expression correlated with disease severity and progression. GDF15 has been validated in both mouse and rat models of glaucoma, and confirmed in human patients with glaucoma. Beyond reduction of intraocular pressure, the desired goal of any glaucoma therapeutic is neuroprotection, or to be more specific, protection and survival of retinal ganglion cells (RGCs). As a result, this biomarker of damage to cells in the eye (found in the fluid) could be used to monitor severity and progression of glaucoma and facilitate treatment decisions and their effectiveness. The biomarker's inherent advantages including early detection over conventional clinical tests positions Q Bio and its technology partner Mannin Research.
For example, Q BioMed and Mannin Research Inc. are currently developing MAN-01, small molecule therapeutic with a novel mechanism of action, to treat Primary Open-Angle Glaucoma, with the intent of bringing innovation to the global glaucoma market.
Future Value to Be Unlocked in QBIO's Shares
Given Q Biomed's current market cap and likely revenue going forward, essentially no value is being assigned to GDF15, despite the fact that it could be transformative for the company for broad use in glaucoma progression measurement and determination. For example, it is possible that the Company out-licenses the technology to be used as a surrogate biomarker to ocular companies' clinical trial endpoints---thus creating a true standard-bearer.
Interestingly while a great deal of innovation has occurred in personalized or precision medicine for the oncology arena, it has lacked such innovation in the ocular sciences, save perhaps for industry leader Glaukos. In our view, the value of GDF15 to QBIO is substantial and once the Street digest its unique and distinct properties, along with its enviable potential, we believe that these shares will be driven broadly higher. As a corollary, it is instructive to note that many ocular companies (Glaukos, Ocular Therapeutics, Eyepoint, etc.) trade at a price/sales ratio of 10x or more. Depending upon the QBIO path, we believe given its clear advantages at this stage, that the stock could warrant similar valuations, down the road.
About Goldman Small Cap Research: Founded in 2009 by former Piper Jaffray analyst and mutual fund manager Rob Goldman, Goldman Small Cap Research produces sponsored and non-sponsored small cap and microcap stock research reports, articles, stock market blogs, and popular investment newsletters.
Goldman Small Cap Research is not in any way affiliated with Goldman Sachs & Co.
This press release contains excerpts of our most recently published sponsored company spotlight article on Q Biomed Inc. The information used and statements of fact made have been obtained from sources considered reliable but we neither guarantee nor represent the completeness or accuracy. Goldman Small Cap Research relied solely upon information derived from Q Biomed Inc. authorized press releases or legal disclosures made in its filings with the U.S. Securities and Exchange Commission http://www.sec.gov.
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About Q Biomed Inc.:
Q BioMed Inc. (QBIO) aims to accelerate the monetization of biomedical technologies through rapid innovation and collaborative partnerships with industry leading researchers. Q BioMed believes its assets in oncology, vascular disease, and rare orphan diseases address unmet medical needs and large markets. The Company's FDA approved, non-opioid drug Metastron, which relieves cancer bone pain, is expected to begin generating revenues in 2019. Metastron is also approved for sale in 21 other countries. In addition to treating pain, Metastron has shown evidence of treating the cancer itself and extending survival. Q BioMed plans to conduct Phase IV trials to support label extension and cancer survival benefit using Metastron.
For more information, please visit: www.Qbiomed.com
Goldman Small Cap Research
Rob Goldman, Analyst