CorMedix: Infected With Hype, Valuation Swollen

CorMedix: Infected With Hype, Valuation Swollen CorMedix’s only clinical drug candidate, Neutrolin, targets an indication with numerous treatment options that are at least as effective and less costly.Neutrolin has been on the market in Europe and Middle East since 2013 yet has generated less than $1.4mn in cumulative sales.Competition from a newly developed, more convenient and likely cheaper preventative solution has recently been approved in the US.CorMedix faces a steep regulatory hurdle attempting to convince FDA to allow an NDA filing based on one instead of two Phase 3 trials.Even if Neutrolin is approved, we believe realistic market assumptions imply a valuation below $1/share. We believe CorMedix (CRMD) represents the classic case of an extremely overvalued small-cap biotech due to a large and enthusiastic retail shareholder base greatly overestimating a market opportunity. At the same time, in the next several months a critically important binary event is due – the FDA w...