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Highlights
- Numinus (NUMI) is engaged in developing therapies through psychedelic substances.
- Seeing the 52-week high of C$ 2.45 apiece, the NUMI stock seems to be undervalued at its present price.
- On September 23, Numinus Wellness completed the acquisition of the Neurology Centre of Toronto (NCT).
Stocks of Numinus Wellness Inc. (TSXV:NUMI) declined by 2.5 per cent at market open as the downward trend continued for the psychedelic stock. The stock did not rise despite gaining interest on the internet as it was among the top trending stocks in Canada before the market opened on Wednesday, September 29.
The Vancouver-based company is engaged in developing therapies through psychedelic substances. As per Numinus, it is combining the latest advances in medicines based on psychedelic compounds to develop a holistic approach to healing.
At the time of writing, NUMI stock was trading at C$ 0.78 per share, about 67.4 per cent lower than its 52-week high of C$ 2.45 apiece on December 15, 2020. Earlier this stock had shown growth potential as it seems that acceptance of psychedelic-based therapies could increase in the future due to advanced research programs.
Also read: MindMed (MNMD) & 3 more psychedelics stocks to trip on in 2021
On that note, we are exploring the stock of Numinus Wellness to find out whether it is worth your money or not.
Is Numinus Wellness (TSX:NUMI) a stock to buy?
Seeing the 52-week high of C$ 2.45 apiece, the stock of Numinus Wellness seems to be undervalued at its present price. Despite a downward trend, the Numinus stock has returned about 186 per cent in the last 12 months and has declined by 12 per cent since the past three months.
The company seems to have growth potential as it is in expansion mode. On September 23, Numinus Wellness completed the acquisition of the Neurology Centre of Toronto (NCT), one of the leading providers of neurological care.
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The acquisition of NCT will enable Numinus to expand its presence into Ontario, in addition to clinics in Quebec and a research facility in British Columbia. NCT was started by Dr Evan Lewis in 2017 and it will operate as Neurology Centre of Toronto by Numinus.
Dr Lewis is expected to transform the existing setup into a comprehensive neurology treatment center with a focus on the application of psychedelics in neurological treatment processes.
Also read: 6 best psychedelic stocks to buy
Bottom line
Numinus closed the quarter ending May 31 with a C$ 63.2 million cash position. In addition, the healthcare company generated revenues of C$ 562,076 in Q3 2021, representing an increase of 160 per cent year-over-year (YoY).
