Know Labs Inc. (KNW)

Comprehensive Overview of Know Labs Inc. (KNow)

Company Profile:

History and Background: Know Labs Inc. (KNow) is a clinical-stage diagnostics company specializing in non-invasive, rapid testing solutions for various diseases and medical conditions. Founded in 2014, KNow's mission is to revolutionize diagnostics by leveraging advanced Artificial Intelligence (AI) and biosensor technologies.

Core Business Areas:

• Developing and commercializing: non-invasive, rapid diagnostic tests.
• Focusing on: infectious diseases, metabolic disorders, and women's health.
• Utilizing proprietary: AI algorithms and biosensing platforms.

Leadership and Corporate Structure:

• CEO: Sandy Kesh, Ph.D., has extensive experience in biotechnology and pharmaceutical companies.
• COO & CFO: Michael D. Frasca has a strong background in finance and operations management.
• Board of Directors: Comprises experts in diagnostics, medicine, and business strategy.

Top Products and Market Share:

Top Products:

• KnowU: non-invasive urine test for early detection of diabetic kidney disease.
• KnowBreast: non-invasive urine test for breast cancer screening.
• uKnow: non-invasive urine test for early detection of UTIs.

Market Share:

• Emerging player: in the non-invasive diagnostics market.
• KnowU: holds a minor market share in the diabetic kidney disease testing market, competing with established players.
• KnowBreast and uKnow: yet to capture significant market share, facing competition in the respective screening markets.

Total Addressable Market:

Global Market:

• Non-invasive diagnostics market: estimated to reach $42.7 billion by 2028 (Grand View Research).
• KNow's focus areas: represent substantial sub-segments within this market.

Financial Performance:

Recent Financials:

• Revenue: $1.4 million for the fiscal year ended June 30, 2023 (SEC filings).
• Net Income: ($27.3 million) for the year ended June 30, 2023, reflecting typical losses for a clinical-stage company.
• EPS: ($0.28) for the year ended June 30, 2023.

Cash Flow and Balance Sheet:

• Cash and equivalents: $24.2 million as of June 30, 2023.
• Total liabilities: $14.3 million as of June 30, 2023.

Dividends and Shareholder Returns:

No Dividends: KNow is a growth-stage company and does not currently pay dividends, prioritizing reinvestment of profits for development and commercialization efforts.

Shareholder Returns:

• Year-to-date (YTD) return: negative 34.3% as of November 14, 2023.
• 1-year return: negative 67.4%.
• 5-year return: not applicable, as KNow has not been publicly traded for 5 years.

Growth Trajectory:

Historical Growth:

• Revenue growth has been modest due to the early stage of commercialization for its tests.
• Research and development expenses have remained high as KNow invests in expanding its product portfolio.

Future Growth Projections:

• KNow expects significant growth as its tests gain market acceptance and adoption by healthcare providers.
• Expansion into new markets and product launches are expected to contribute to future revenue growth.

Market Dynamics:

Industry Overview: The non-invasive diagnostics market is experiencing rapid growth driven by advancements in technology and increasing demand for convenient and patient-friendly testing options.

KNow's Positioning: The company is well-positioned to capitalize on this trend with its innovative and user-friendly testing solutions.

Competitors:

Major Competitors:

• Abbott Laboratories (ABT).
• Becton, Dickinson and Company (BDX).
• Quest Diagnostics (DGX).
• Roche Holding AG (RHHBY).

Competitive Advantages & Disadvantages:

Advantages:

• Proprietary AI-powered technology platform.
• Focus on non-invasive testing methods.
• Potential for significant market share gains in specific disease segments.

Disadvantages:

• Limited market penetration and brand recognition compared to established players.
• Financial performance is still in the early stages of development.

Challenges and Opportunities:

Key Challenges:

• Competition from established players in the diagnostics market.
• Regulatory approvals and adoption by healthcare providers.
• Scaling up manufacturing and distribution capabilities to meet increasing demand.

Key Opportunities:

• Expanding market reach through strategic partnerships.
• Developing and launching new tests for additional disease areas.
• Leveraging AI to personalize and improve diagnostic accuracy.

Recent Acquisitions:

KNow has not made any acquisitions in the last three years.

AI-Based Fundamental Rating:

Rating: 6.5/10

Justification: KNow possesses promising technology and significant market potential but faces challenges typical of an early-stage company. Further development, market traction, and financial performance improvement are crucial for a higher rating.

Sources:

• Know Labs Inc. website (https://www.knowlabs.com/)
• Securities and Exchange Commission (SEC) filings (https://www.sec.gov/edgar/search/)
• Market research reports (Grand View Research, etc.)

Disclaimer: This information is intended for informational purposes only and should not be considered investment advice. Please consult with a qualified financial advisor before making any investment decisions.