Hydreight Technologies: Buy, Sell or Hold?

Beacon Securities analyst Gabriel Leung says a U.S. regulatory review of compounded peptides could become an incremental growth driver for Hydreight Technologies (Hydreight Technologies Stock Quote, Chart, News, Analysts, Financials TSXV:NURS).

In a July 24 update, Leung maintained his “Speculative Buy” rating and $10.00 target on Hydreight. His target is based on 17 times calendar 2027 estimated EV/EBITDA.

Leung said the FDA’s Pharmacy Compounding Advisory Committee voted to recommend that four peptides be considered for inclusion on the 503A Bulks List. If the FDA adopts the recommendation, 503A compounding pharmacies could eventually compound those peptides with a valid prescription.

The committee is scheduled to review three additional peptides, including Semax, Epitalon and Emideltide, with five more peptides expected to be reviewed around the end of February 2027.

Leung said the committee’s recommendation is advisory and not binding, with the FDA still required to accept the recommendation, begin rulemaking or reject it.

“Given that current HHS leadership initiated this review process and has publicly advocated for broader peptide use, most industry and regulatory observers believe the FDA is more-than-likely to adopt the committee’s recommendations,” Leung said.

Leung said the developments could create a demand tailwind for Hydreight’s VSDHOne platform and add more treatment options to its offering.

The analyst said Hydreight’s calendar 2026 guidance of $150-million in baseline revenue does not depend on the peptide catalyst, making the potential benefit incremental to the company’s growth outlook, particularly in calendar 2027.

For Q2, Leung forecasts revenue of $27.4-million and Adjusted EBITDA of $3.4-million. Hydreight is expected to report Q2 results in late August.

Leung expects Hydreight to generate Adjusted EBITDA of $22.6-million on revenue of $149.5-million in fiscal 2026, improving to Adjusted EBITDA of $31.6-million on revenue of $198.2-million in fiscal 2027.

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