1. Kamada Ltd. (NASDAQ:KMDA)
Short Interest as % of Shares Outstanding: 0.06%
Number of Hedge Fund Investors In Q2 2024: 3
Kamada Ltd. (NASDAQ:KMDA) is a small Israeli drug manufacturer that makes treatments for virus based and other diseases. It is one of the few companies in the world that focuses almost exclusively on making plasma based drugs. The firm currently generates revenue from six drugs, and it benefits from a global presence in 30 countries. Kamada Ltd. (NASDAQ:KMDA)’s top two drugs on which its hypothesis depends are KEDRAB and CYTOGAM. Kamada Ltd. (NASDAQ:KMDA) is also currently focusing on developing a treatment for a rare lung disease called AAT or alpha-1 antitrypsin deficiency. This treatment is currently in phase three clinical trials, and the market for this disease is estimated by some researchers to be worth $10 billion by 2033. Should Kamada Ltd. (NASDAQ:KMDA) secure regulatory approval and commercialize its inhalable AAT drug then an early mover advantage coupled with robust patents could enable it to add another viable product to its $142 million a year revenue generating portfolio.
Kamada Ltd. (NASDAQ:KMDA)’s management shared key details for the AAT therapy during its Q2 2024 earnings call:
“So as described during the call, we did submit the revised Statistical plan to the FDA during the second quarter. We expect feedback before the end of the year. We hadn’t — we didn’t receive feedback yet. So we’re just waiting now to get the initial feedback and if needed, there’s going to be additional discussion between us and the FDA in order to have a clear road map in regards to that previous discussion about potentially changing the p-value for efficacy. Enrollment continues, we are around 40% to 45% into the study enrollment. In general, being a rare disease and being a placebo-controlled study, recruitment is always a challenge in those type of studies, but we are making progress.
We opened additional sites recently, and we expect to complete enrollment to the study by end of next year. The impact of reducing — potentially reducing number of patient — number of subjects will be reflected in a matter of a few months difference in terms of recruitment into the study.”
KMDA is a cheap pharma stock with low short interest percentage. But our conviction lies in the belief that some AI stocks hold greater promise for delivering higher returns and doing so within a shorter timeframe. If you are looking for an AI stock that is more promising than KMDA but that trades at less than 5 times its earnings, check out our report about the cheapest AI stock.
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