Realheart: First Animal Surgery Only Days Away - Analyst Group

Scandinavian Realheart AB (publ) (”Realheart” or the ”Company”) holds the world’s first unique and patented four chamber Total Artificial Heart (”TAH”), which mimics the human heart’s blood flow. With a cash position that still remains strong, which in times like these can’t be valued high enough, the Company is closing in on live animal studies. Expectations of human trials are set for H1 2024, meaning that we now estimate market launch during the latter part of 2025. From this point, sales could increase rapidly, with revenues still reaching SEK276 M in 2028 in our Base scenario. Based on an applied P/S multiple of 5x (6), hence slightly more conservative due to current market conditions, and an applied discount rate of 18%, this yields a present value per share of SEK 9.4. Before market launch, we see several key value-driving activities, where steps in right direction could reduce the current valuation discount.