(PRWEB) August 23, 2012
ChromaDex is both the authority source in phytochemical reference materials and a producer of vitamins for the dietary supplement, food, beverage, pharmaceutical, and cosmetic industries. Leveraging its ability to get an early pulse on market demand from this legacy business, ChromaDex is able to release the right ingredients at the right time. Their scientific formulation of pterostilbene “pTeroPure”, a photochemical naturally-occurring in blueberries, has been called the “Most Promising North American Ingredient in 2010″ by independent research firm Frost & Sullivan. Gould Partners believes it makes ChromaDex an undervalued stock by solidifying a leading role in both the reference- and product-ends of the ingredient business.
Pterostilbene is a derivative of resveratrol, which is found in wine and has been widely reported to be the answer to the “French Paradox”–the apparent observation that France has a leading average life span despite diets very high in cholesterol and saturated fat. While resveratrol has shown to have chemopreventive and cardiovascular benefits, pterostilbene has shown even better efficacy thus far. In regard to anti-tumorigenesis, pterostilbene has demonstrated better inhibition of the enzyme that converts substances like pesticides and cigarette smoke into carcinogens. Other research has shown that pterostilbene is a better activator of various antioxidant enzymes that support a healthy life.
What makes ChromaDex a particularly exciting investment is that it has a top scientific foundation. Aside from the fact that the company is nearly 20% backed from billionaire healthcare legend Dr. Phillip Frost, pTeroPure, for example, is marketed under five different lines that have patented health claims from the USDA. These lines–which include TrimBlu, Blu2Go, HeartBlu, MemoryBlu, Eternal Blu–target everything from weight loss to anti-aging support and are marketed under the “BluScience” segment. Recent second quarter sales were terrific as demand grew across the board. These BluScience products follow:
HeartBlu contains ingredients that are believed to aid in the absorption of ingested cholesterol so that less stress is placed on the body to make its own native cholesterol. This, in turn, as the name suggests, helps support a healthy heart. In addition to containing pterostilbene, HeartBlu has phytosterois to help low “bad” LDL cholesterol.
EternalBlu can provide anti-aging activity through potent antioxidants – resveratrol, quercetin, and catechins, among others – that support the cell membrane. Pterostilbene has demonstrated not only an ability to improve brain health but to also aid in cognitive & memory function in animal models. This is possible since EternalBlu is oil-soluble and small enough to cross the blood-brain barrier and interact with the memory center of the brain, the hippocampus.
MemoryBlu supports cognitive function through also crossing the blood-brain barrier. It protects the memory component of the central nervous system from free radical damage.
TrimBlu aids not only in weight loss but also in weight management. It is often harder to maintain an optimal weight once the pounds are lost than to lose the pounds in the first place. TrimBlu optimizes metabolism and inhibits hunger through enriching the body with D3, B3, B6, and B12 – vitamins that enable a more efficient use of energy. The joint regulation of glucose levels from pterostilbene aids in the product function.
Blu2Go helps with alertness and mental focus by enhancing the positive effects of caffeine and eliminating the subsequent “caffeine crash”. It is able to eliminate the crash through supporting vasodilation and rechanneling unprocessed caffeine so that cellular energy is not wasted.
BluScience has been able to expand its horizons through partnering with leading firms, like Hasbro, Pillsbury, Haagen-Dazs, Frito Lay, Pfizer, Nestle, M&Ms, Trident, and Welch’s, among several others. While products that are currently marketed on bluscience.com have already seen impressive interest, greater expansion into brick-and-mortar channels will take the business to the next level. Gould Partners believes that ChromaDex will substantially increase free cash flow from gaining product partners via its legacy business in phytochemical reference standards.
The company is due to release the largest human clinical study on pterostilbene near the end of 3Q12 at the American Heart Associaton’s High Blood Pressure Research 2012 Sessions. Safety data has already come out all positive, and existing research on pterostilbene is pointing towards solid results on the efficacy data. The results will be based on a randomized double-blind study conducted by the USDA and ChromaDex over a period of 8 weeks on 80 adults. Endpoints include blood pressure, weight loss, and cholesterol levels.
The efficacy data is likely to be a major milestone for ChromaDex, since it will establish an authority position for pterostilbene. While the science has already been backed by prolific research, clinical data has yet to come out. Should it mirror what we have seen in the past, the stock will head north where the fundamentals belong.
Disclaimer: The distributor of this research report, Gould Partners, is not a licensed investment adviser or broker dealer. We are a consultant to a third-party representing ChromaDex and have received three thousand five hundred dollars for independent research. Investors are cautioned to perform their own due diligence as information contained within this report has been derived from public sources and cannot be guaranteed by us to be fully accurate. Always discuss investments with a licensed professional before making any financial decision. Statements made herein are often “forward-looking statements” as defined under Section 27A of the Securities Act of 1933, Section 21E of the Securities Act of 1934, and the Private Securities Litigation Reform Act of 1995. Since these statements are uncertain, actual results may be materially different from those expected.