SeeThruEquity Issues Update on Pressure BioSciences (OTCQB: PBIO), Raises Price Target to $1.75

NEW YORK, NY / ACCESSWIRE / May 26, 2016 / SeeThruEquity, a leading independent equity research and corporate access firm focused on small-cap and micro-cap public companies, today announced it has issued an update on Pressure BioSciences, Inc. (OTCQB: PBIO).

“Importantly, PBIO’s growth came from its core products and services segment, which we see as offering insight on the pace at which the company is gaining traction in the market. This is particularly true considering its recent co-marketing agreement with SCIEX, a global leader in mass spectrometry and scientific lab analysis, and a wholly-owned subsidiary of Danaher Corporation – a $60bn holding company, which has not even factored into PBI’s revenue growth as of yet. We believe this represents tremendous unrealized value for PBIO,” stated Ajay Tandon, CEO of SeeThruEquity. “Based on the results over the past year and expectations for the near future, we are increasing our price target to $1.75 per share.”

The report is available here: PBIO May 2016 Update Note. SeeThruEquity is an approved equity research contributor on Thomson First Call, Capital IQ, FactSet, and Zack’s. The report will be available on all of these platforms. The firm also contributes its estimates to Thomson Estimates, the leading estimates platform on Wall Street.

Additional highlights from the update note are as follows:

Strong opening to 2016 at PBIO

PBIO has had an impressive start to 2016, continuing momentum from 2015, when the company grew total revenues by 30% over 2014. PBIO reported 16% YoY top line growth in 1Q16 (described in more detail below), supported by 26% growth in its Products and Services segment, which we see as the key to long term growth and expanding margins for the company. We are hopeful this momentum will continue given the recent new strategic relationship with mass spectrometry leader SCIEX. Additionally, PBIO management continues to execute on the corporate development front, raising $1.4mn of fixed-rate convertible debt during the quarter from its now completed PIPE offering. In a recent investor call, the company also reiterated its plans to up-list to a national exchange, such as the NASDAQ and/or NYSE.

Robust growth in products in 1Q16

PBIO began 2016 with a strong start, with 1Q16 revenues climbing 16% YoY to reach $454,350. Most impressively, the company grew revenues in its Products & Services segment by 26.4%. Although we expect the company to continue to generate high margin grant revenues (which management expects to bounce back later this year), clearly the key to the investment thesis for PBIO is a growing adoption of its instruments and consumables in the market – and 26.4% growth is impressive progress in this area. The quarter was highlighted by a 41% rise in new instrument sales, which should drive future consumable sales, which have recurring-like attributes with high incremental margins, as the instruments are adopted by PBIO customers.

Looking for continued growth in 2016 over 2015

Although PBIO did not provide specific guidance in its 1Q16 release, management did state that the company is striving for “rapid and dramatic growth in the near future.” Considering this statement, as well as the recently announced co-marketing agreement with mass spectrometry leader SCIEX, we have increased confidence in PBIO’s ability to execute its growth plan. We are expecting continued healthy double-digit growth in products and services throughout 2016E, and are eager to learn more about the extent to which the SCIEX arrangement can layer incremental growth on top of PBIO’s own sales efforts. We note that SCIEX is a global leader in mass spectrometry and scientific lab analysis, and a wholly-owned subsidiary of Danaher Corporation – a $60bn holding company. We see the deal as supporting PBIO’s claims for the potential of its PCT product line, as well as an expedient means to accelerate growth given the much more extensive sales distribution at SCIEX, which we expect to see manifested in the quarters to come.

Increasing target to $1.75 for PBIO

Nice 1Q16 top line growth and improving performance in the company’s products and services business has increased our confidence in PBIO’s ability to execute its growth strategy. Considering this, as well as the evident progress made by the company in attracting industry leading partners, such as SCIEX, we are increasing our price target $1.75 for the company.

Please review important disclosures on our website at www.seethruequity.com.

About Pressure BioSciences, Inc.

Pressure BioSciences, Inc. (“PBI”) (PBIO) develops, markets, and sells proprietary laboratory instrumentation and associated consumables to the estimated $6 billion life sciences sample preparation market. Our products are based on the unique properties of both constant (i.e., static) and alternating (i.e., pressure cycling technology, or PCT) hydrostatic pressure. PCT is a patented enabling technology platform that uses alternating cycles of hydrostatic pressure between ambient and ultra-high levels to safely and reproducibly control bio-molecular interactions. To date, we have installed over 250 PCT systems in approximately 160 sites worldwide. There are over 100 publications citing the advantages of the PCT platform over competitive methods, many from key opinion leaders. Our primary application development and sales efforts are in the biomarker discovery, drug discovery & design, and forensics areas. Customers also use our products in other areas, such as bio-therapeutics characterization, soil & plant biology, vaccine development, and counter-bioterror applications.

About SeeThruEquity

SeeThruEquity is an equity research and corporate access firm focused on companies with less than $1 billion in market capitalization. The research is not paid for and is unbiased. The company does not conduct any investment banking or commission based business. SeeThruEquity is approved to contribute its research to Thomson One Analytics (First Call), Capital IQ, FactSet, Zacks, and distribute its research to its database of opt-in investors. The company also contributes its estimates to Thomson Estimates, the leading estimates platform on Wall Street.

For more information visit www.seethruequity.com.

Contact:

Ajay Tandon
SeeThruEquity
info@seethruequity.com

SOURCE: SeeThruEquity

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