Euroz Hartleys Initiates Research Coverage

Euroz Hartleys has initiated coverage of Avecho, targeting a price of $0.043 per share. The author highlights the company’s late-stage insomnia program and proprietary TPM-enhanced CBD technology as a differentiated opportunity in the emerging OTC cannabinoid market.  

Key highlights from the report include: 

• A pivotal catalyst approaching, with Avecho running the world’s largest CBD insomnia trial (n=519) and interim results expected in June  

• A unique regulatory opportunity, with potential to become the first over-the-counter (OTC) CBD insomnia treatment approved under Australia’s Schedule 3 framework  

• Commercial validation through a licensing agreement with global pharmaceutical company Sandoz, including upfront payments, milestone potential and tiered royalties  

• A significant market opportunity, with an estimated 9.5 million Australians experiencing insomnia and no long-term OTC treatment currently available 

• Ongoing licensing discussions across multiple international territories, alongside broader pipeline potential built around Avecho’s TPM platform  

Author Seth Lizee commented:  

“Our risked valuation is based solely on AVE’s TPM-enhanced CBD receiving TGA approval in Australia for insomnia and capturing 10% market share of chronic insomniacs, incorporating the existing Sandoz licensing agreement.” 

You can access the full Euroz Hartleys report here.