Bullish on Pet Sector

I have decent positions in PET and ZOM, I am bullish on the sector and figured I would share the opportunity to the same folks that helped me make some money off of plays like REKR and KULR these last couple months.

Overall:

  • Pet ownership is at record levels, Especially with younger professionals (Millennials and Gen Z)
  • Pets are living longer due to routine healthcare, leading to higher frequency of diseases, and other bodily issues.
  • Due to aging pet population, higher demand for high quality pet care and disease management.
  • Vet offices are rapidly adopting advanced pet-care products that were much less common a decade ago.
  • Veterinary sector has been historically safe in times of economic downturn.

WAG Group (PET)

Position: 500 shares at 0.2134

  • Via StockAnalysis: Average Price target (low population) of $4.40
  • Via Tipranks: 5 Buy Ratings, 5 Hold Ratings
  • 13% increase in revenue in Q1 2024
  • Market Cap of 15.26 Million
  • Provides services such as on demand and scheduled pet care (think DoorDash for your dog), an insurance comparison platform that focuses on pet and auto insurance
  • Platform to help dog owners make educated food decision based off research from sector experts.
  • I grade PET as a High Risk, High Reward play.

As the digital age continues to consume more and more parts of our lives, I believe that PET has room to focus and optimize their Pet Care Services. As it stands, it can be very difficult to find cheap and/or trustworthy pet care on short notice. As young professionals move away from their support system to advance in their careers, PET offers safe, trustworthy pet care at a moments notice. I believe that PET is marching towards becoming a great resource for a modern pet household.

Zomedia Corp (ZOM)

Position: 500 shares at 0.1224

  • Average price target of 0.26
  • Revolutionary products that can assist with diagnosing and treating high-frequency disorders, such as hyper/hypothyroidism and musculoskeletal issues.
  • 33% revenue growth in 2023, 10.2% growth in 2024.
  • Market cap of 138 Million.
  • Cash reserves of 77.8 Million as of 9/30/24
  • Net loss of 6.7 Million last quarter
  • I grade ZOM as a High Risk, High Reward.

ZOM has potential to move, and is up just under 20% in the past week. I believe that this stock is a nice flier in the industry and is targeting key diseases and other issues prevalent in felines and canines. Despite the lack of profitability this company has built themselves a nice foundation and is primed for growth in 2025.

I would like to clarify that this is NOT FINANCIAL ADVICE. I am simply sharing some DD on some companies that I believe have some solid foundations and a clear path for growth.

What are your thoughts on these companies, or the industry as a whole?