In today’s briefing:
- Diamond Hill Small-Mid Cap Fund Q1 2022 Market Commentary
- GC Cell (144510 KS): Enviable Portfolio of Cell Therapy Funded by Sample Test Service Business
- IRay Technology (688301.CH) – Limited Market Space Casts Doubt on Future Growth Potential
Diamond Hill Small-Mid Cap Fund Q1 2022 Market Commentary
- Diamond Hill invests on behalf of clients through a shared commitment to its valuation-driven investment principles, long-term perspective, capacity discipline and client alignment.
- Amid a rocky market quarter overall, our portfolio’s negative returns still outpaced the Russell 2500 Index by a healthy margin in Q1.
- From current levels, equity market returns over the next five years are likely to be below historical averages.
- We believe we can achieve better-than-market returns over the next five years through active portfolio management.
GC Cell (144510 KS): Enviable Portfolio of Cell Therapy Funded by Sample Test Service Business
- Green Cross LabCell (144510 KS) (now known as GC Cell) the world’s largest cell therapy product producer with its top selling anticancer drug, Immunecell-LC. The drug has label expansion scope.
- The company has developed a pipeline of late and early-stage cell therapy candidates for solid tumors. It also has a strong position in global cell therapy CDMO business.
- GC Cell’s unrivaled position in the specimen test services in Korea acts as the main cash cow to feed its future growth engine of cell therapy development.
IRay Technology (688301.CH) – Limited Market Space Casts Doubt on Future Growth Potential
- IRay’s performance has shown a trend of accelerating growth in 2021/2022Q1, mainly driven by the mobile DR sales during COVID-19 as well as the dental (CBCT) and industrial security businesses.
- The sales of mobile DR would slow down after COVID is under control. The decreasing price due to fierce competition in grassroots markets would finally drag down gross profit margin.
- The concern is that the market space (DR/dental/industrial fields) is not big, with obvious growth ceiling. So, we lowered our revenue/profit margin forecast and we think iRay is overvalued
Before it’s here, it’s on Smartkarma
