CorMedix Analyst Says Investors Could Be Further Rewarded

Last week, CorMedix Inc. CRMD said one of its large dialysis organization (LDO) customers has started ordering, with implementation planned for the second half of 2025.

The company said that implementation of its DefenCath catheter lock solution will initially target at least 50% more patients than previously planned, with an opportunity for even further expansion.

As a result, CorMedix made adjustments to its agreement with the customer and now expects a modest revenue increase in June with continued growth anticipated in the second half of the year.

The company updated its second-quarter net sales guidance from $31 million to a range of $35 million to $40 million to reflect the expected increased use of product by the customer.

Also Read: CorMedix Stock Hits New 52-Week High On Updated Guidance: The Details

DefenCath is a catheter lock solution to reduce the risk of catheter-related bloodstream infections (CRBSIs) in adults with kidney failure undergoing chronic hemodialysis via a central venous catheter. The FDA approved the product in 2023.

HC Wainwright initiated coverage on CorMedix, citing “good things are worth the wait…”

Analyst Brandon Folkes wrote, “We believe DefenCath’s strong launch to date is indicative of good results these operators are seeing in practice, and in our view, this real world experience, along with the more formal real-world study DefenCath in undertaking is likely to support a more durable DefenCath long term revenue stream in CRBSIs than is currently reflected.”

HC Wainwright initiated with a Buy rating, with a price forecast of $20.

The company is in the initial t-year of the Transitional Drug Add-on Payment Adjustment (TDAPA) period and will enjoy a further three years post this initial reimbursement period, albeit at a lower level. The analyst sees potential for further outperformance in CorMedix stock.

Folkes added, “As we see longer-term revenue expectations come closer together and remove the uncertainty and wide variation, we believe CRMD investors could be further rewarded.”

On Friday, CorMedix priced its previously announced underwritten public offering of 6.6 million, with gross proceeds expected to be approximately $85 million.

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