'Robot pills' could one day help patients avoid needles. The stocks are cheap, but risky

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A number of early-stage drug delivery companies are flying under investors' radar. Some can help patients avoid injections or IVs.

Ask most patients if they prefer to receive medicine by swallowing a pill, by injection or infusion, and most will likely opt for the pill. But that's not always possible for drugs that use delicate molecules that can't tolerate the physical and chemical conditions in the gastrointestinal tract. That's where a number of early-stage drug delivery companies come in — and most are flying under investors' radar.

mountain Rani shares have fallen about 36% year to date. According to FactSet, all six analysts that follow Rani rate the stock a buy. Nash's $26 price target is higher than the $22 average target, and implies 568% of upside for the stock from Friday's close. A 36% decline in its value so far in 2023 puts its market capitalization at just under $188 million. Biora, which is valued at $41 million, is only covered by two analysts, according to FactSet.

analyst Julian Harrison expects Rani's RT-102 has the potential to become the preferred treatment for osteoporosis. The verstility of the Rani pill also is encouraging, according to Harrison, since it could be used with a wide range of drugs. He noted that Rani's delivery mechanism has the potential to make some drugs even more effective. Biora's technology only works with a liquid, and there are two types of therapies it's developing.

 

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