Stock - why is the stock less than MiMedix?

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Mimedx has better operational efficiency and profitability. Their CAC is lower. And they manufacture their product with better margins then ORGO. So while they bring in less revenue, they do it with much better business acumen. From an investor standpoint, it’s a safer bet, with more upside.
 


They also have much better mix of institutional ownership. ORGO is basically owned by a couple insiders and they cannot attract new shares as anyone with a brain can read through their bullshit. It's also clear investors think renu is a dog.
 


anonymous said:
Mimedx has better operational efficiency and profitability. Their CAC is lower. And they manufacture their product with better margins then ORGO. So while they bring in less revenue, they do it with much better business acumen. From an investor standpoint, it’s a safer bet, with more upside.
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I wouldnt invest into any of these primarily office/hopd based skin sub companies unless I felt confident that a bigger company would buy them. Mimedx could be attractive for such a purchase because of its institutional market share, payor coverage, brand, and studies, but it would be on the higher end for a purchaser, and the moat for human amnions isnt great. a Solventum or Molylecke could buy a stimlabs for cheaper and just build up.

That said, the other issue is that no one really sells human amnions outside of the US (just epifix in Japan), so while the US market is lucrative, those limit you to one market. And the US market is going to contract at some point due to reform, so that diminishes the shine of human amnios
 


anonymous said:
I wouldnt invest into any of these primarily office/hopd based skin sub companies unless I felt confident that a bigger company would buy them. Mimedx could be attractive for such a purchase because of its institutional market share, payor coverage, brand, and studies, but it would be on the higher end for a purchaser, and the moat for human amnions isnt great. a Solventum or Molylecke could buy a stimlabs for cheaper and just build up.

That said, the other issue is that no one really sells human amnions outside of the US (just epifix in Japan), so while the US market is lucrative, those limit you to one market. And the US market is going to contract at some point due to reform, so that diminishes the shine of human amnios
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Orgo has big expectations for Renu. Unfortunately, the risk profile of placental raw material acquisition increases dramatically at scale. Good luck selling the stuff once the adverse reactions start rolling in.
 


anonymous said:
I wouldnt invest into any of these primarily office/hopd based skin sub companies unless I felt confident that a bigger company would buy them. Mimedx could be attractive for such a purchase because of its institutional market share, payor coverage, brand, and studies, but it would be on the higher end for a purchaser, and the moat for human amnions isnt great. a Solventum or Molylecke could buy a stimlabs for cheaper and just build up.

That said, the other issue is that no one really sells human amnions outside of the US (just epifix in Japan), so while the US market is lucrative, those limit you to one market. And the US market is going to contract at some point due to reform, so that diminishes the shine of human amnios
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Basically, they try to go global because:
  1. Relying only on the US market is way too risky. One new healthcare rule there and the whole company could be toast.
  2. You gotta grow or die. Once the US market is tapped out, going global is the only way to keep investors happy.
And you're dead right. The person who got epifix launched in Japan is a legend. That's like playing the game on expert-level hard mode.
 


anonymous said:
Basically, they try to go global because:
  1. Relying only on the US market is way too risky. One new healthcare rule there and the whole company could be toast.
  2. You gotta grow or die. Once the US market is tapped out, going global is the only way to keep investors happy.
And you're dead right. The person who got epifix launched in Japan is a legend. That's like playing the game on expert-level hard mode.
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Except that their Japanese market has been absolutely nominal as in a loss so far. The market and acceptance of Epifix in Japan has been much more negative than they expected according to their earnings call.
 


Have you actually looked at the financials?
There are smaller companies selling skin subs at much higher revenues.
For all of the tools at their disposal, Organo finds ways to waste their margins and churn their customers.
Ask them the LTV of their customers and their average length of time under contract don’t be surprised when they don’t know and it’s <1 year
 


anonymous said:
Basically, they try to go global because:
  1. Relying only on the US market is way too risky. One new healthcare rule there and the whole company could be toast.
  2. You gotta grow or die. Once the US market is tapped out, going global is the only way to keep investors happy.
And you're dead right. The person who got epifix launched in Japan is a legend. That's like playing the game on expert-level hard mode.N
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No one at Mimedx or there stock holders think the Japan deal was good, in fact on their earnings call they more or less admitted to it being a failure.
 



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