- Anika Therapeutics' share price is being punished by the market owing to some possibly over-ambitious growth projections made in June last year.
- Management believed it could nearly double revenues, to $230m, by 2024, but after a so-so 2021, these plans have been abandoned.
- Anika is attempting to pivot from pain management and its Monovisc and Orthovisc injectables, to joint preservation, having acquired two businesses in 2020.
- Progress has not been bad - Anika is growing revenues, is profitable, and has nearly $100m cash - but it hasn't been as good as promised.
- I'm not entirely sure about Anika's long-term prospects, since it's moving away from its core revenues generating business into a new field, but I do think the market undervalues the business at current market cap of ~$350m.
For further details see:
Anika Therapeutics: New Share Price Low May Imply New Upside Opportunity