Profound Medical Corp (PROF)

[chocolate man]

I also find it interesting that the stock dropped 25% before he made his downgrade public! I'm not sure what the stock will do Monday, but aren't you a little surprised that the stock did not drop more and volume was relatively lite today.

[chocolate man]

They have the best mouse trap, but for whatever reason they apparently can't get their act together! I have to believe RJ knows they aren't getting insurance approval for January 2024, hence the downgrade today.

[hayfarmer]

It's already down a lot. If I sell any I'm waiting for the C code news.

[hayfarmer]

I just saw Raymond James downgraded PROF this morning and lowered target to 23 from 28. I see now a week ago a story RJ had reduced it's holdings also in the 1st qtr by 37%. This explains the weakness

[chocolate man]

RJ downgraded PROF this morning. I've been selling stock all day.

[hayfarmer]

Breaking well below 200 day moving avg now. Not good but down so many days in a row on no known news is very odd.

[chocolate man]

Thanks for the reply, I'm going to hang tight and wait for their earnings report.

[hayfarmer]

It is down 9 out of the last 10 days so must be getting really oversold. I keep waiting for the C code news but it hasn't happened. I just checked and last year they reported Aug 4 so that is going to be late too. I'm guessing the company is waiting for C code news to report the quarter.

Maybe sales are not great? I don't know what else could be wrong.

[chocolate man]

Something is not right with this stock!

[chocolate man]

I bought more stock today at $12.00.

[hayfarmer]

I am also on Investorvillage.com where you can PM me if you ever want to. There is also a PROF board there but I was the only one posting so I stopped using it.

[chocolate man]

I've been in and out of that stock many times over the last few years. I feel your pain and if they get approval you will make a lot of money.

[hayfarmer]

I've been in the CRMD I mentioned for years. They have a fantastic drug that will save many lives but so far the FDA has denied it twice for manufacturing reasons. They are on the third try now. Want to talk about frustrating?

[chocolate man]

I agree 100%, it just gets very frustrating at times.

[hayfarmer]

I agree with you, this is an unknown stock. At one time when I first invested a few years ago I read 80% was privately held. IMO, the low float and unknown combination will be explosive some day once the growth is big enough for everyone to notice. They have the best solution imo for most patients so it's just a matter of time and patience.

[chocolate man]

Thanks for the quick reply! Sometimes I feel like we are the only retail investors in this stock. I wonder why RJ isn't banging the table at this price. It could be because they are being cautious before the C code news.

[hayfarmer]

The only problem I see is how long it's taking for the growth. The C code news could be any day and that should help; assuming it's good news as I expect. Holding 12 would be nice. There seems to be a lot of support there. I'm not selling any.

[chocolate man]

Hayfarmer, do you think there is a problem with PROF?

[chocolate man]

I bought 100 shares this morning at $12.76. this was my fill.

3 ea @ 9.56.48am
3 ea @ 9.59.06am
94 ea @ 9.59.45am

[hayfarmer]

C code news coming soon. Maybe that will spark a rally

[chocolate man]

New report out from RJ. He reiterates his $20.00 price target. He expects them to receive approval for the expansion of the C-code for ASCs in JUly or August. He said revenue inflection will be pulled forward in YR24. We escalate our revenue estimate accordingly. He said the recent price drop in the stock which fell 15% in recent trading sessions have no basis in fundermentals

[chocolate man]

Hoping the seller is done!

[hayfarmer]

Another company I'm invested in is CRMD if you want to check it out. They have under FDA review a catheter lock solution that cuts catheter related infections by over 70%. They have gotten 2 CRL's for manufacturing issues so far so it's been frustrating but I think it has a lot of potential if they can ever get approval.

[chocolate man]

I ended up buying some stock just before the close. I think I made a good move, time will tell.

[chocolate man]

PRN on the Toronto exchage has only traded 23,000 shares as 3.15pm.

[chocolate man]

I want his to close above $15.00 today

[chocolate man]

I thought it was a buy order. The stock then ran $15.49. I would love to know what's going on.

[hayfarmer]

Over 42k shares traded in one block at 15. Appeared to be a sell order. I don't think it means much. It's had a decent run and no news expected until July now when a decision on the outpatient C code should be made.

[hayfarmer]

I agree with you Dr's should recommend it however many don't know about it and the financial motive is for the doctor to recommend a service he can provide. An ad campaign to inform patients would help but that is expensive.

When I first invested I think I read only 20% of shares were in the float which is something a liked. Not sure if it is the same now. The coimpany is still an unknown which is our advantage right now.

[chocolate man]

Raymond James has 8,400 financial advisors throughout USA, Canada and overseas. If only 5% would recommend PROF to their clients this would be a $20.00-$25.00 stock in no time.

[chocolate man]

Your post is very interesting, I would think that Raymond James is a big brokerage and they don't have any problems covering PROF. I wonder how much of a float is really out there for PROF? I wonder why the two of us are the only people conversing back and forth? I think we both know with the insurance coverage now approved we have a tremendous opportunity to make a lot of money with PROF. I wonder how many shares could be short in this company? I would love to see more insider buying! When word gets out about this company, i don't where people will get any weight ( shares ) to buy. They will have to pay up and the price will explode. If the docs aren't recommending Tulsa to their patients they are doing them a great disservice!!

[hayfarmer]

One of my brokers is with UBS and he can't buy this because it is not covered by CFRA Marketscope Advisor. I emailed Investor relations to let them know and asked them to look into how to get coverred. UBS is a big brokerage. I wonder if other big brokers can't buy it. That could be holding down the price.

He said he can't buy it in any managed account.

[chocolate man]

It would be great to get coverage from one of the big boys.

[chocolate man]

I won't be able to listen to the live webinar tonight. I hope someone can fill me in what was said during the call.

[chocolate man]

Thank you!

[hayfarmer]

Another target raise from 14 to 18

https://www.cantechletter.com/2023/06/profound-medical-wins-target-raise-with-leede-jones-gable/#

[chocolate man]

I read it in BioTuesdays. I know this is the real deal! There is so little stock floating around, when a big guy wants in he will have to buy it in small lots. Tomorrow and Wednesday should be very interesting. This company is still so unknown that when the retail buyers find out about it we will be the 20's in no time.

[hayfarmer]

Thanks for posting. Do you have any links to reports?

My impression of this CEO is he may be interested in a buyout at some point. I read somewhere on this board or somewhere that is what he did with the last company he ran. But I think it's too early for him to sell it.

This stock is the real deal imo. I hope Lazerking still in and is ok. This company still mostly unknown. The broker who manages my IRA can't even buy it at UBS because not enough analyst coverage. I'm willing to wait 2 or 3 years when I think it could easily bring a buyout in 3 figures, meaning north of 100.

I may sell some shares on rips and try to buy back but I have a core position I won't be selling unless something fundamentally changes.

[chocolate man]

Research Capital raised it's price target to $17.25 from $10.90. Dr Uddin said with the CPT code essentially in hand he said Profound could now be acquired,

[chocolate man]

RJ raised their price target for PROF to $20.00.

[chocolate man]

Thank you, I wonder what happened to Lazerking?

[hayfarmer]

I seem to remember they payment going up this year to about 13,000 but I don't think PROF gets that. It goes to the provider. PROF gets roughly 8000 per procedure in rent and disposables. But where PROF will gain is in more procedures being done since it is not all cash now from the patient.

[chocolate man]

I agree, we should be able to get approval and it will blow the top off this stock. Do we know how much PROF receives for each procedure?

[Goosey]

Arun Menawat

Yes, Rahul, I didn't cover that in the prepared remarks, but we have separate from this CPT activity, we have applied directly with CMS to expand the use of the C code at AFCs.
May 10, 2023-Arun Menawat responding to Raymend James, (Rahal):
As you know, there are over 5,000 of those in the United States, many of them already have MRs. And based upon the clinical data and the commercial data that we submitted to the CMS, it clearly shows that it is a daytime procedure.

And because there is no incision in this procedure, the risk of needing a hospital in emergency is very low. And so the meeting did take place in March with -- from our perspective, did go well.

The CMS will publish their proposed remarks by end of July or early August this year and finalize them by October this year. And if indeed they accept that our recommendation, that will actually become applicable as of January 2024.

So, the idea is that we are -- majority of our patients today are cash patients. But I think that we could be transitioning to using the C code more effectively as of January 2024. And then by 2025, if the AMA accepted the application, then that the permanent code will become effective. So, I think that's sort of the series of events that we're looking forward to.

[hayfarmer]

We also have the C code news coming and I would expect to get approval for that since it really makes no sense for it just to apply to hospitals. I think the government is seeing the ultimate savings of this outpatient procedure as compared to surgery requiring a hospital bed.

[chocolate man]

My thinking is that RJ will wait and come out with a new price target after he hears the interim 5 year follow-up data from the TACT pivotal study.

[chocolate man]

I don't think my email had anything to do with it! The stock is acting very positively to the announcement. I think next week this stock will really explode after the upgrades come out and the webinar on Tuesday night. I have to admit i was somewhat concerned about us getting the approval.

[hayfarmer]

I wonder if your email spurred the PR? 1:40 pm is an odd time for this to come out. It's also strange nothing is in federal register that I could find.

[chocolate man]

We just got the approval!!!!

[chocolate man]

I sent an email to IR a couple of hours ago asking if the June 2nd date was correct. I will let you when I get a responce back from them.