$PAOG Goldman s/c Research see's 350% Potential Upside PAO Group Inc .
(STOCK: PAOG )
Current Price: $0.0036
Goldman Small Cap Research Price Target: $0.015
Float: 620M
About The Company
PAO Group , Inc. is an emerging cannabis and CBD company targeting growth via two tracks. The Company is in the early stages of developing a cannabis extract-based therapy to treat various respiratory diseases and illnesses, PAOG also owns a growing cannabis cultivation operation focused on hemp cultivation.
Investment Highlights:
Conclusion: PAO Group currently trades above its 50-day and 200 day moving averages. This bullish status, along with its recently updated financials reporting, should prompt the shares to reach new levels. Moreover, a review of the financials lends us greater confidence in the Company’s R&D financing capabilities and the achievement of key milestones. Thus, we have now introduced a 12-month target of $0.015, a nearly 5x return from current levels
Future Developments: This emerging CBD Pharma company is set to evolve from a promising preclinical firm toward a Phase I development path entity. PAOG has multiple shots on goal as it seeks to treat two major respiratory diseases that each represent billions in potential market sizes.
Next steps include engaging a CRO to initiate the process for potential FDA approval of RespRx, its COPD treatment, representing an estimated $14.1B market by 2025. We expect this application to be fast-tracked, given that the use of CBDs to treat this disease is novel and based on a natural (and likely safer) product.
Price Target/ Higher Valuation: By running concurrent development programs resulting in two IND filings within the next year, we believe that such events could support a $20M valuation, or a $0.015 price target. This targeted valuation is in line with IND-filling stocks. Moreover, with no long term debt on the books, PAOG has significant funding flexibility to continue on its R&D paths.
The Bullish Case For PAOG
Substantial Multi-Billion Dollar Market Opportunity
This emerging CBD Pharma company is set to evolve from a promising preclinical firm toward a Phase I development path entity. PAOG has multiple shots on goal as it seeks to treat two major respiratory diseases that each represent billions in potential market sizes.
Market analyst Goldman Small Cap Research slapped on a 12-month target of $0.015, a nearly 5x return from current levels.
Press Release Wednesday
Sandusky, Ohio--(Newsfile Corp. - September 16, 2020) - PAO Group, Inc. (OTC Pink: PAOG) today announced an agreement with Puration, Inc. (OTC Pink: PURA) to build a proprietary hemp cultivar development facility on PURA's Farmersville, Texas branded site.
PAOG recently acquired a hemp cultivation business from PURA and is now expanding upon that business to develop a proprietary hemp cultivar in conjunction with the company's overall pharmaceutical focus.
PAOG is developing a hemp derived cannabidiol (CBD) pharmaceutical treatment for Chronic Obstructive Pulmonary Disease (COPD).
The COPD treatment, RespRx, is derived from a patented cannabis extraction method - U.S. Patent No. 9,199,960 entitled "METHOD AND APPARATUS FOR PROCESSING HERBACEOUS PLANT MATERIALS INCLUDING THE CANNABIS PLANT."
In an initial scientific evaluation as a treatment for COPD, RespRx has demonstrated effecting significant increases in respiration rate, tidal volume and inspiratory air flow rate. Overall data from the evaluation demonstrated that RespRx can significantly improve inspiratory lung functions in instances of moderate pulmonary fibrosis.
PAOG's Farmersville cultivar development operation will include a lab and an environmentally controlled indoor growing facility. PAOG is working with current cultivars to evolve and produce an ideal plant with full spectrum, high CBD yields to support ongoing RespRx development and to support future CBD pharmaceutical developments.
PAOG is exploring opportunities to engage with university research in partnership with its hemp cultivar development initiative.
PURA recently announced a year long initiative to transition PURA from a CBD sports beverage manufacturer into a hemp conglomerate built on lifestyle brand with a broad CBD consumer products reach, and a leading industrial hemp initiative. The brand name is Farmersville Brands and as part of their strategy, PURA has entered into a letter of intent (LOI) agreement to acquire 72 acres of agricultural property in Farmersville, Texas. PURA's year long initiative includes plans to see the Farmersville Brand strategy infused with a $100 million investment.
This Friday, September 18, 2020, PAOG CEO James C. DiPrima will discuss in an interview with Donald Baillargeon of MoneyTV, PAOG's overall approach to engaging a Contract Research Organization (CRO) to advance an Investigational New Drug Application (IND) to ultimately achieve Food and Drug Administration (FDA) approval for PAOG's RespRx as a COPD treatment.
On Friday, DiPrima will also discuss the recently published Goldman Small Cap Analyst Research Update on PAOG that includes target pricing.
The Bottom Line:
PAO Group currently trades above its 50-day and 200 day moving averages. This bullish status, along with its recently updated financials reporting, should prompt the shares to reach new levels. Moreover, a review of the financials lends us greater confidence in the Company’s R&D financing capabilities and the achievement of key milestones.
This emerging CBD Pharma company is set to evolve from a promising preclinical firm toward a Phase I development path entity. PAOG has multiple shots on goal as it seeks to treat two major respiratory diseases that each represent billions in potential market sizes.
By running concurrent development programs resulting in two IND filings within the next year, we believe that such events could support a $20M valuation, or a $0.015 price target.
If you’re looking for a growth/ground floor opportunity in the multi-billion dollar CBD sector, PAOG if the opportunity you've been waiting for!By Viewing this Content, you Agree that you Have Read and are in Full Understanding of both our Disclaimer & Privacy Policy(*Remember to use a Stop-Loss Order to protect your gains, as well as limit possible losses.)
19 hours ago
