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SeeThruEquity Issues Update on Innovus Pharmaceuticals (INNV) with a Price Target of $0.65

Friday, 17 November 2017 06:00 AM

SeeThruEquity

NEW YORK, NY / ACCESSWIRE / November 17, 2017 / SeeThruEquity, a leading independent equity research and corporate access firm focused on smallcap and microcap public companies, today announced it has issued an update on Innovus Pharmaceuticals, Inc. (OTCQB: INNV) with a price target of $0.65.

The report is available here: INNV November 2017 Update Note.

Innovus Pharmaceuticals, Inc. (OTCQB: INNV, "Innovus") is a fast-growing commercial stage pharmaceutical company that delivers safe, innovative and effective over-the-counter (OTC) medicine and consumer care products to improve men and women's health, respiratory disease and vitality.

Investment Highlights

On November 14, 2017, Innovus reported 3Q17 results which demonstrated both sequential and YoY revenue growth, reflecting a growing portfolio of OTC products. Importantly, the company officially launched its newest and highest profile product line, FlutiCare™, a nasal steroid which management expects to have a transformational impact on the company. Highlights were as follows:

  • FlutiCare™ launches. INNV announced the official launch of FlutiCare™ OTC in the US on November 14, 2017. FlutiCare™ was the leading prescribed nasal steroid and form, and its OTC formulation is expected to be a significant driver of growth for Innovus in 4Q17 and 2018.
  • Innovus revenues rose by 18% to a record $2.2mn in 3Q17 versus $1.9mn in 3Q16 and were up sequentially from $2.0mn in 2Q17. Revenues for the first nine months of 2017 were $6.4mn, more than double $3.1mn in the comparable year-ago period.
  • Innovus is likely to come in towards the bottom of its guidance for $10- $15mn in revenues in 2017, due in part to the impact of weather disruptions in key markets.

FlutiCare™ should be game-changing event for Innovus

Innovus officially launched FlutiCare™, a generic reformulation of Flonase® fluticasone propionate nasal spray for allergy symptoms, on November 14, 2017. The company has been building to the launch for the last year, and has previously commented that FlutiCare™ could reach annualized revenues of greater than $10mn+ by the end of its first year on the market. Although Innovus launched FlutiCare™ mid-quarter, we do expect Fluticare™ to be meaningful to sales due to pre-orders, as well as shipments in the channel through distributors Amerisource Bergen and McKesson. FlutiCare™ is expected to be available in 10,000 independent pharmacies, as well as online through INNV's Beyond Human platform, Amazon.com and Walmart.com.

Core products drive growth in 3Q17

Innovus reported 18% annual top line growth for its fiscal third quarter. Revenues rose to a record $2.2mn in 3Q17 versus $1.9mn in 3Q16, and were up 9% sequentially from $2.0mn in 2Q17. Revenues for the first nine months of 2017 were $6.4mn, well ahead of $3.1mn in the year-ago period. Revenue was driven by steady performance from the company's top five product families: Vesele®, UriVarx™,Sensum+®, Prostogorx® and Apeaz™, each of which are tracking at an annualized revenue run rate of greater than $1mn, according to management.

Price target of $0.65 for Innovus

Our price target is $0.65 for Innovus to $0.65, which if achieved, represents substantial upside potential from the recent price of $0.09. The main driver of our thesis is our expectations for dramatic growth as a result of the expanding portfolio of products sold by Innovus, which should only accelerate with the launch of a potentially game-changing new product line in Fluticare™.

Please review important disclosures at www.seethruequity.com.

About Innovus Pharmaceuticals, Inc.

Headquartered in San Diego, Innovus Pharma is an emerging OTC consumer goods and specialty pharmaceutical company engaged in the commercialization, licensing and development of safe and effective non-prescription medicine and consumer care products to improve men's and women's health and vitality and respiratory diseases. Innovus Pharma delivers innovative and uniquely presented and packaged health solutions through its (a) OTC medicines and consumer and health products, which we market directly, (b) commercial partners to primary care physicians, urologists, gynecologists and therapists, and (c) directly to consumers through our on-line channels, retailers and wholesalers. The Company is dedicated to be a leader in developing and marketing new OTC and branded Abbreviated New Drug Application ("ANDA") products, men's and women's health supplements, related diagnostics and medical devices. The Company is actively pursuing opportunities where existing prescription drugs have recently, or are expected to, change from prescription (or Rx) to OTC, as well as related products. Innovuspharma.com.

About SeeThruEquity

Since its founding in 2011, SeeThruEquity has been committed to its core mission: providing impactful, high quality research on underfollowed smallcap and microcap equities. SeeThruEquity has pioneered an innovative business model for equity research that is not paid for and is unbiased. SeeThruEquity is the host of acclaimed investor conferences that are the ultimate event for publicly traded companies with market capitalizations less than $1 billion.

SeeThruEquity is approved to contribute its research reports and estimates to Thomson One Analytics (First Call), the leading estimates platform on Wall Street, as well as Capital IQ and FactSet. SeeThruEquity maintains one of the industry's most extensive databases of opt-in institutional and high net worth investors. The firm is headquartered in Midtown Manhattan in New York City.

For more information visit www.seethruequity.com.

Contact:

Ajay Tandon
SeeThruEquity
[email protected]

SOURCE: SeeThruEquity

Topic:
Company Update
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