Added to YB: 2026-04-15
Pitch date: 2026-04-14
LFCR [bullish]
Lifecore Biomedical, Inc.
-5.56%
current return
Author Info
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Company Info
Lifecore Biomedical, Inc., together with its subsidiaries, operates as an integrated contract development and manufacturing organization that serves customers in the United States, Belgium, the Netherlands, and internationally.
Market Cap
$184.9M
Pitch Price
$5.22
Price Target
12.00 (+143%)
Dividend
N/A
EV/EBITDA
42.10
P/E
-5.33
EV/Sales
2.78
Sector
Life Sciences Tools and Services
Category
special_situation
Pharmageddon
LFCR: US CDMO spun from Landec, trading <50% replacement value (~$1,350/sqft vs ~$3,000 rebuild cost). Recent activist involvement replaced mgmt; CEO Josephs' comp targets $7.50-$35 price (80% sale probability by 2028 per 10-K). 80% capacity unutilized post-expansion; 8 new contracts since May '25, revenue inflection '27. FY26 guide $120-125M rev, $10M FCF; '29 target 12% CAGR, 25%+ EBITDA margin. US injectables CDMO shortage till '29 (GLP-1 demand, BIOSECURE Act). Alcon 10yr take-or-pay deal to double rev. $50M preferred redemption risk June '26, but holders own 42% common—aligned. Replacement NAV $670M vs $353M EV; private comps $2,930/sqft. Conservative case: 6.7x EV/EBITDA, 14% yield, 2-5x upside vs peers 11-17x. Risk: execution, dilution, competition post-'29.
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