Today, Kate’s guest on The MarketBeat Podcast is Randy Baron, portfolio manager at Pinnacle Associates. The three stocks Randy discusses today have small market capitalizations. In a market pullback, small stocks get hit first but are also the ones that do best in a new rally. These are companies engaged in businesses likely to grow more important in the not-so-distant future.
Amyris is in the synthetic biology space.
How Amyris is leveraging the consumer business to attract enterprise customers to license the technologies
Its consumer products are based upon a molecule called hemisqualene
Why Randy believes Amyris could double revenue beyond what analysts are expecting and why he sees the stock price rising in the next 18 months to two years
What value Randy sees in a small U.K.-based healthcare stock called Renalytix that addresses the issue of chronic disease
The biggest companies in the dialysis space are DaVita (DVA) and Fresenius (FMS), but Renalytix offers another approach to treating kidney disease before the late stages
Why Randy believes the market is valuing health technologies incorrectly
Why Randy sees potential in another small British company, WANdisco, which is available over the counter to U.S. investors
WANdisco owns the algorithm that allows live data migration to the cloud
This algorithm can be used by big end users globally, including Microsoft, Google or Alibaba.
In May, WANdisco announced the largest contract in the history of the company. The stock began a big move.
Why Randy says consensus estimates for WANdisco revenue is too low
Why Randy believes being listed in the U.K. has impeded WANdisco’s ability to grow
Stocks mentioned in this episode:
Amyris (NASDAQ: AMRS)
Renalytix (NASDAQ: RNLX)
The video Randy refers to, to learn more about Amyris’ plant in Brazil:
How to learn more about Randy and Pinnacle:
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