Conversation 183: A look at the fundamentals of USCOM - [ASX:UCM] an Australian medical device company - to see if claims of it being grossly undervalued stack up.

Apr 13

The Founder and Chairman of Uscom, Professor Rob Phillips put out an email to the media recently in which he claimed the company was 63% undervalued despite continued share price growth over the past 8 years.. This was based on Simply Wall Street’s algorithmic valuation system.

From email:

revenue income and share price history.PNG

As a result I was keen to discuss the issue in more detail and in my a interview with Prof. Philips, he expressed his confusion as to why the company is currently trading at virtually the same price it was 8 years ago, despite having achieved a siginifcant amount, in terms of product development., sales and market penetration- not to mention revenue growth and profitability.

About USCOM:

The company was founded in 2000 on translational cardiovascular research by Associate Professor Rob Phillips at the University of Queensland. Uscom has sold over 1000 1A units into leading hospitals and clinics worldwide.

Since then Uscom has acquired what it calls “practice changing” and “complimentary non-invasive cardiovascular and pulmonary technologies.” Uscom acquired Pulsecor Limited in 2013, and Thor Laboratories in 2015.

Uscom are the experts in circulation delivering, non-invasive cardiovascular and pulmonary monitoring devices.

Uscom markets the USCOM 1A advanced hemodynamic monitor, the BP+ and BP+ Reporter, and SpiroSonic digital ultrasonic spirometer series and the proprietary SpiroReporter software. These devices are changing the way cardiovascular and pulmonary medicine is practiced. Uscom has sold over 1000 1A units into leading hospitals and clinics worldwide.

Uscom claims abundant IP and a strong product pipeline projecting well into the next 10 years. Visit their website here.