Submitted by David Gould as part of our contributors program.
While large pharmaceutical companies, like Pfizer (PFE), fell modestly as SCOTUS deemed Obamacare constitutional, other healthcare industries actually yielded positive returns. Shares of Neptune Technologies & Bioresources (NEPT) went 6.6% higher on Thursday amidst increased volume as volume climbed above 1M, or more than 3x the average volume over the last 30 days. According to Reuters, the catalyst was a speculation over the announcement of a long anticipated dividend distribution. This comes on top strong momentum has sent shareholder value booming over the last 1 month (21.4%), 3 month(45.6%), and 6 month (100.9%) periods.
Neptune Technologies is engaged in the nutraceutical, cardiovascular, and neurological markets. The first of these divisions goes under the firm’s flagship brand name and markets a formulation of marine omega-3 phospholipids. Neptune makes health ingredients out of marine marine biomasses, like krill, and this adds considerable antioxidant power. To give you a sense of the value of the nutraceutical industry at large consider that the firm’s NKO product (made from 100% Antarctic Krill) has demonstrated superior bioavailability, a validated safety & long-term stability profile, over 300 times greater antioxidant power than Vitamins A & E, among other factors. More to the point, the product has clinically evidenced benefits to cardiovascular, joint, and brain health. By extracting compounds from natural matter, nutraceutical are able to isolate the healthy components for commercialization.
ChromaDex (CDXC.OB) is another nutraceutical producer that has seen impressive returns over the recent term. During the last month, shareholder value has gone up by 27.2%. The firm has developed a formulation of pterostilbene, a natural compound found in blueberries, and is marketing the product, pTeroPure, through its BluScience division. Like NKO, pTeroPure has demonstrated impressive health benefits: (1) richness in D3, B3, B6, and B12, and (2) support for healthy metabolism. pTeroPure has further yielded prolonged antioxidant activity and improved bioavailability to aid in weight loss reduction.
19%-owner billionaire Phillip Frost brought on Jeff Himmel as CEO to lead the company’s BluScience division. So compelled by the line’s superior access to nutraceutical demand, the originator of Ovaltine even made a $1M investment upon recruitment.
With healthcare costs growing, consumers are looking for preventative measures to stem the chances of catastrophes. By isolating Earth’s enriching ingredients in their purest form, the nutraceutical market offers an answer to many of our dietary woes.
One need only look at the excitement surrounding weight loss treatments for evidence about the growing demand for healthy diets. Just Wednesday, the FDA approved anti-obesity drug lorcaserin, which is marketed by Arena Pharmaceuticals (ARNA). This is one of four candidates that are seeking approval.
Disclaimer: The distributor of this research report, Gould Partners, is not a licensed investment adviser or broker dealer. We are a consultant to a third-party representing ChromaDex and have received four hundred dollars for independent research. Investors are cautioned to perform their own due diligence as information contained within this report has been derived from public sources and cannot be guaranteed by us to be fully accurate. Always discuss investments with a licensed professional before making any financial decision. Statements made herein are often “forward-looking statements” as defined under Section 27A of the Securities Act of 1933, Section 21E of the Securities Act of 1934, and the Private Securities Litigation Reform Act of 1995. Since these statements are uncertain, actual results may be materially different from those expected.