Breaking The Hospital Chain: Analyst On How KORU's Self-Administered Therapies Promise 20% CAGR Through 2026

B. Riley has initiated coverage of KORU Medical Systems Inc KRMD with a Buy rating and a price target of $4.50. 

The analyst Neil Chatterji notes that KORU Medical's innovative Freedom Infusion System represents a significant advancement in medical treatment by delivering drugs subcutaneously (under the skin). 

The system primarily targets the growing subcutaneous immunoglobulin (SCIg) market, valued at approximately $500 million, catering to patients with immunodeficiency and other related conditions. 

Moreover, it is poised to transform into a versatile therapy delivery platform, tapping into a substantial market opportunity exceeding $2 billion.

The Freedom Infusion System encompasses large-volume infusion pumps and approved consumables available in more than 25 countries, benefiting over 35,000 patients. 

With the option of self-administering SCIg therapy at their convenience, patients can avoid scheduled hospital visits, reducing treatment costs by approximately 30% to 50%. This approach also lowers the risk of infection for immunocompromised individuals and ensures more consistent immunoglobulin (Ig) drug levels with fewer side effects compared to traditional intravenous Ig (IVIg) administration.

Notably, KRMD is the exclusive provider of pumps approved for prefilled Ig therapy and has established 15 collaborations with pharmaceutical companies to deliver large-volume subcutaneous therapies. 

The analyst is confident that KORU Medical Systems is well-positioned to achieve a remarkable 20% compound annual growth rate in its top-line revenue through 2026. 

Price Action: KRMD shares are up 5.56% at $2.66 on the last check Thursday.