Could Segmentation Hold the Key for Creative Medical Technology Holdings Inc (OTCMKTS:CELZ)? by James Hudson

There aren’t many legit biotechs with momentum in the micro-cap space, but Creative Medical Technology Holdings Inc (OTCMKTS:CELZ), a small float player riding a wave of momentum in the alternative erectile dysfunction treatment space, certainly shows flashes in that direction. The company just announced today the formation of CaverStem International LLC, a majority-owned subsidiary focused on commercializing stem cell therapy for erectile dysfunction to international physicians and their patients.

“Due to the enthusiastic response from international attendees at the American Urological Association conference held in May 2018, we’ve determined it is in the best interest of the company to form a subsidiary to pursue commercialization with physicians from around the world,” said Timothy Warbington President and CEO of Creative Medical Technologies, Inc. and Managing Member of CaverStem International LLC.

Creative Medical Technology Holdings Inc (OTCMKTS: CELZ) bills itself as a company that is engaged in stem cell research and applications for use to treat male and female sexual dysfunction, infertility and related issues. It holds a patent for its erectile dysfunction (“ED”) treatment and was granted a license by Los Angeles Biomedical Research Institute at Harbor-UCLA Medical Center, a non-profit biomedical research and education institute (“LABIOMED”), for the infertility treatment.

It has also filed a patent application focused on physical manifestations of female sexual arousal disorder, as an extension of the work with stem cell therapies for ED. Following testing of its ED treatment, Creative Medical intends to market treatment kits to physicians for use with their patients suffering from ED. During first quarter 2016, it commenced a 15-month clinical trial study being conducted at UCLA by LABIOMED on the efficacy and safety of the ED treatment.

The study involves testing on 40 subjects. Following further testing, Creative Medical also intends to market licensed products under its infertility technology license and the female sexual dysfunction patent application.

According to company materials, “Creative Medical Technology Holdings, Inc. is a clinical-stage biotechnology company currently trading on the OTCQB under the ticker symbol CELZ.”

The chart shows approaching 130% tacked on to share pricing for the stock in the past month, a rally that has pushed up against longer standing distributive pressure in the stock. In addition, the stock has registered increased average transaction volume recently, with the past month seeing 31% above the average volume levels in play in this stock over the longer term.

This last point should not be overlooked due to the extremely small float size in the stock (just 16 million shares).

“I am pleased to take on this expanded role as a Manager and Member of CaverStem International. As a treating physician I have experienced first-hand the safety and efficacy of the CaverStemTM procedure and I’m excited to introduce our technology to my peers in the international urology community. Since beginning to offer the CaverStem procedure in December 2017 I have treated multiple patients of which approximately 90% have reported positive improvements. These are all patients for which pharmacological interventions such as Viagra and Cialis do not work,” said Dr. Alexander Gershman, an internationally renowned urologist, lecturer, inventor, and Scientific Advisory Board Member at Creative Medical Technology Holdings, Inc. who will take on an expanded role with CaverStem International.

At this time, carrying a capital value in the market of $19.6M, CELZ has a bankroll ($102K) of cash on the books, which compares with about $509K in total current liabilities. One should also note that debt has been growing over recent quarters. CELZ is pulling in trailing 12-month revenues of $14K. In addition, the company is seeing recent top-line growth, with sequential quarterly revenues growing at 100%. This is an exciting story, and we look forward to a follow-up chapter as events transpire. Sign-up for continuing coverage on shares of $CELZ stock, as well as other hot stock picks, get our free newsletter today and get our next breakout pick!

Source: https://oracledispatch.com/2018/06/26/segmentation-hold-key-creative-medical-technology-holdings-inc-otcmktscelz/