Analysts at Daol Securities (Thailand) maintain a “Buy” recommendation for MEDEZE Group Plc. (SET: MEDEZE), with a target price of 8.60 baht per share. This positive outlook is largely driven by the increasing clarity surrounding the Advanced Therapy Medicinal Products (ATMPs) Sandbox project, which is expected to boost confidence and future demand for stem cell storage. MEDEZE’s stock has already outperformed the SET Index by approximately 6% over the past month due to ATMPs Sandbox progress—a trend anticipated to continue.
Operationally, the ATMPs Sandbox has approved two research project facilities. Vachira Phuket Hospital will focus on degenerative disc disease, facial skin regeneration, and colon cancer, while Bangrak Medical Centre will work on knee osteoarthritis and anti-aging. Research. Studies are expected to commence in Q4 2025 for six months. The goal is to submit research in Q2 2026, leading to the issuance of advanced medical product indications by mid-2026, with management targeting two indications annually. This initiative is expected to significantly increase future demand for stem cell utilisation.
Financially, Daol Securities projected MEDEZE’s net profit for 2025 at 368 million baht, a 9% increase from 339 million baht in 2024, with total revenue estimated at 893 million baht. The CEO, Dr. Veerapol Khemarangsan, targets a 25–30% growth in sales and services revenue for 2025, reaching approximately 890 million baht. While Q2 2025 is anticipated to be stable due to being a low season, strong growth is expected in H2 2025. This is attributed to the business’ high season and revenue from MEDEZE Hair Renaissance, Asia’s first hair root cell cryobank, which aims to serve 5,000 cases by 2030.
In terms of strategic expansion, MEDEZE plans to acquire a 30-rai plot of land for 550 million baht to expand its Stem Cell Banking operations, with 19 buildings to be constructed over the next decade to accommodate increased storage.
Daol Securities noted that the company also sought to acquire a 10% stake in Singapore’s Cordlife Group, though the deal is unlikely to conclude in this round due to the current stock price exceeding the offer. Despite this, management remains committed to the acquisition, recognising potential synergy benefits. The growing customer base for various stem cell services further contributes to the positive outlook.
