- SRGA (a medical device company in spine and digital surgery) is trading like an underfollowed penny-stock at an incredible P/S of 0.55 versus competitors' with P/S profiles of ~3.0.
- The company is underfollowed and experienced an unjustified sell-off due to short-term headwinds (COVID and quality/regulatory issues in the legacy spine portfolio).
- Investors are pricing the company as if it's about to declare bankruptcy, whereas the balance sheet demonstrates surprising strength.
- Management has made some tall claims, to which I provide a qualitative subject-matter-expert assessment.
- Everything hinges on FDA Approval of Holo Surgical.
For further details see:
Surgalign Holdings: Pinocchio Has A Happy Ending